Securities companies promote margin lending

VPS Securities Company, the broker with the largest market share in the market today, said that from August 19, it will launch a new margin program, with no trading conditions required, and a preferential interest rate of only 8%/year for the first 30 days. The preferential loan balance limit is 500 million VND/customer. According to VPS, all customers opening advanced service accounts and existing customers will enjoy the preferential program when borrowing new loans.

Some investors who are opening accounts at VPS said that the above interest rate is significantly lower than the average of about 13.5%/year at this securities company. However, the preferential interest rate only applies for the first 30 days, then increases according to the total transaction fee (scale of each account), so investors are considering it.

Mirae Asset Securities Company has also just applied a margin loan package with an interest rate of 7.68%/year when customers simultaneously meet the following conditions: opening a new account, having a consultant to take care of when opening an account... Mirae Asset applies an interest rate of 7.68% in the first month of opening an account and an interest rate of 8% in the next 2 months; the outstanding balance limit applied for the first 3 months is up to a maximum of 10 billion VND.

Previously, since the beginning of August, a number of large securities companies in the market have announced a 0.5% reduction in interest rates for new and old investors with margin debt. In addition, many brokers have also applied a transaction fee of 0 VND to attract investors to open accounts.

The business results report for the second quarter and the first half of 2024 shows that the margin lending balance of securities companies has increased sharply compared to the same period last year. The lending market share of the companies has also continuously expanded. In particular, TCBS Securities Company has expanded its margin lending market share to 11.46% - taking the leading position in the entire market, SSI Securities Company accounts for 9.28%... Securities companies HSC, VPBankS, MBS have also increased their lending market share quite well in recent quarters.

Source: https://nld.com.vn/cong-ty-chung-khoan-day-manh-cho-vay-ky-quy-196240818193410644.htm