Derivatives market more attractive to investors hinh anh 1Derivatives market more attractive to investors (Illustrative image. Source: VNA)

Hanoi (VNA)
– The derivatives market proved its attractiveness when the value of transactions in the second quarter doubled the amount recorded in the previous quarter to over 417.7 trillion VND (18.4 billion USD), according to the Hanoi Stock Exchange (HNX).

The trading volume during the April-June period stood at nearly 4.2 million contracts, increasing the total traded contracts in the first six months to nearly 5.54 million.

An average of 45,767 contracts were reached in each session over the six months ending in June, quadrupling the figure seen over the same period last year.

Liquidity remained strong on the market in May and June, with an average of 74,567 and 94,568 contracts traded in each session, respectively.

Total Open Interests (OI) remained stable in in the six month period and reached 11,812 contracts on June 29, a year-on-year hike of 46.24 percent.

The increasing interest from investors in the derivatives market was proved by the growth of new trading account numbers in June, which doubled the amount seen at the end of 2017, to 35,275 accounts.

The derivatives market has been touted as a magnet for foreign investors when there was a strong surge in their transactions, especially in May and June. In June alone, foreign transactions accounted for one third of the six-month period’s total transactions.

Foreign transactions on the market totalled 13,567 contracts, or 0.12 percent of the market’s number. Overseas institutions started transactions in April, trading 2,209 contracts over the past three months.

The HNX said the derivatives market has been an effective risk-management instrument, helping stabilise the investors’ sentiment and anticipate market trends. -VNA