Comprehensive Guide to Online Stock Trading in Vietnam

Online stock trading today has become the investors’ preferred choice due to its convenience, fast processing speed, and significantly lower costs compared to traditional trading. However, to succeed in this market, you need to understand the market structure, types of investments, and how to choose the right online stock trading platform.

The Two Main Types of Stock Investment in Vietnam

1. Equity and warrant investment

In Vietnam, equity and warrant investments constitute a large proportion of stock trading activities. Currently, the two largest stock exchanges, HOSE and HNX, list over 750 stocks. Additionally, the Upcom platform has 872 registered stocks, creating a total of over 1,600 domestic securities that investors can participate in.

Profit and loss mechanism: When trading stocks, your profit or loss is calculated by the formula:

Profit/Loss = Selling Price − Initial Purchase Price − (Tax + Trading Fees)

Payment methods: You can use cash to buy stocks or apply for margin trading (margin) by pledging the purchased stocks with a securities company to borrow capital. According to the State Securities Commission regulations, the maximum margin ratio for domestic stocks is 50%, equivalent to a leverage of 1:2. Margin interest rates range from 10% to 18% annually.

Important notes:

• Settlement time T+2 (2 business days after transaction confirmation)
• Trading fees range from 0.15% to 0.5% of the transaction value, depending on the exchange
• Margin interest rates are quite high; you need about 20% profit annually to break even (after deducting interest and income tax)

2. Derivative stock trading − Futures contracts

Domestic derivatives trading mainly focuses on the VN30 index, which includes 30 stocks with the largest market capitalization and liquidity on the HSX. The advantage of this form is that you can place short or long orders to profit, meaning you can earn gains even when the market declines.

Leverage: When trading derivatives domestically, you can use a maximum leverage of 1:10, allowing small-capital investors to achieve higher profits.

Important notes:

• Settlement time T+0 (trades occur immediately after confirmation)
• The derivatives market is highly volatile, requiring good technical analysis skills
• Higher risk than the underlying market, but also greater profit opportunities

Stock trading hours in Vietnam

Domestic online stock exchanges follow a common schedule:

From Monday to Friday:

• 8:45 − 9:00: Pre-order entry phase
• 9:00 − 11:30: Morning trading session
• 11:30 − 13:00: Lunch break
• 13:00 − 14:45: Afternoon trading session
• 14:45 − 15:00: Closing phase

No trading on weekends and public holidays.

Major online stock exchanges in Vietnam

HOSE − Ho Chi Minh City Stock Exchange

HOSE is a subsidiary of the National Securities Commission, serving as the listing authority for stocks, bonds, and limited warrants nationwide. Currently, this exchange has over 700 securities trading.

Features:

• Trading hours: 9:00 − 15:00
• Order matching: periodic, continuous, negotiated
• Trading units: odd lots (10, 20, 30…)
• Order types: ATO, LO, MP
• Settlement time: T+2 (except bonds T+1)

HNX − Hanoi Stock Exchange

HNX was established in 2005, supporting and coordinating stock and warrant trading activities. According to plans, HNX will mainly focus on derivatives and bonds, while stock trading will be transferred to HOSE.

Upcom Exchange

Upcom is the platform for trading stocks that do not meet the listing requirements on HOSE and HNX. It currently manages over 800 securities including stocks, futures contracts, warrants, and ETFs.

Features:

• Large price fluctuation margins (over 15% daily, double that of HOSE)
• High product diversity
• Lower transparency compared to HOSE and HNX

OTC Market

OTC (over-the-counter) is where stocks listed on Upcom and unlisted stocks are traded under the “buy-sell agreement” rule. OTC trading can occur on exchanges, over-the-counter, or through brokerage organizations.

Note: OTC products carry high risks due to lack of transparency and limited liquidity.

SSI Trading Platform

SSI is a large and long-established online stock trading platform in Vietnam. Many individual investors choose this platform for domestic stock investments.

Supported products:

• Stocks
• Secured warrants
• ETFs
• Bonds
• Derivative securities
• Open-end funds
• KHCN investment trust services

Online stock investment strategies

Strategy 1: Long-term investment in indices and strong stocks

Long-term investors typically allocate funds into stable indices like Nasdaq, S&P 500, or large-cap stocks with steady growth, such as leading technology companies. This strategy is less risky, safer, and offers stable returns.

Strategy 2: Short-term investment in growth stocks

Despite economic fluctuations, there are always stocks with strong growth, especially in healthcare, medical, and information technology sectors. Short-term investors can focus on breakout stocks to generate higher profits.

Strategy 3: Swing trading in derivatives market

The derivatives stock market offers opportunities to profit in both directions. Investors can use short-selling techniques to earn gains even when the market declines, providing greater flexibility than traditional investing.

Benefits of online stock trading

Trading stocks online on modern platforms offers many advantages:

• Convenience: Trade anytime, anywhere via computers or mobile devices
• Lower costs: Trading fees are lower than direct transactions at exchanges
• Speed: Orders are matched instantly
• Support tools: Platforms provide analysis tools, technical indicators, economic calendars
• Risk management: Features like stop-loss and take-profit help protect capital

Tips for online stock trading

1. Start small: When entering the market, begin with a small amount, the smallest lot size, and low leverage
2. Record and analyze: After each trade, note your decisions and results to learn lessons
3. Always set stop-loss orders: This helps avoid losing all your capital during sudden market movements
4. Continuous learning: Understand investment products, risk tolerance, and develop your own strategy
5. Manage psychology: Avoid impulsive decisions driven by emotions; always follow your plan

Conclusion

Online stock trading is an effective way to participate in the capital market. The most important thing is to choose an online stock trading platform that suits your needs, understand the different investment types, and build a solid risk management strategy.

Vietnam’s stock market is increasingly developing with new opportunities. By mastering knowledge, selecting appropriate strategies, and managing risks wisely, you can create an effective investment portfolio and achieve sustainable financial growth.