Vietnam is set to launch the third stock index this October to make it easier to track the performance of the country's two bourses and give the market a major boost, local media have reported.
The VNX Allshare is composed of 388 stocks, or half of all the stocks currently listed on Hanoi Stock Exchange and Ho Chi Minh City Stock Exchange. The benchmarks of the two bourses are the HNX and the Vn-Index.
The stocks selected for the new index will account for around 87.5 percent of the combined market capitalization of the two bourses, news website Thoi Bao Tai Chinh said.
Stocks will be selected based on their float and liquidity.
It is unclear if the two exchanges will keep their current benchmarks.
According to a plan reported by local media in April, the two bourses would be merged and share one index. But since, no specific plans have been announced and the intention to launch the VNX Allshare may or may not be related to such a merger.
In another news, the State Securities Commission of Vietnam has entered a partnership with financial information provider StoxPlus, an associate company of Japan's Nikkei Inc. and Quick Corp, the news website reported.
The collaboration is expected to improve the transparency of Vietnam's stock market and thus helping upgrade its status from a frontier to emerging market.
Under an agreement signed on Friday, StoxPlus will help listed companies release information in English and transparently.
The company will also provide support in systematizing database for the purpose of analysis and forecast, and increasing foreign investors' access to information.
Vietnam's two bourses posted a combined market capitalization of more than VND1,402 trillion (US$62.17 billion) on Friday. That was equivalent to around 16 percent of Thailand's market cap.