Vietnam Proposes Electronic Contracts for Securities Firms, Boosting Digital Transformation

Overview

The Ministry of Finance has proposed amending the Securities Law to permit securities companies to sign contracts with investors electronically, rather than only in paper form. This change, if enacted, would reduce administrative costs and align with the digital transformation trend already seen in banking. ACB Securities (a subsidiary of ACB) is among the firms already using electronic contracts for domestic individual investors, but the new regulation would formalize and expand the practice.

Key Facts

• The Ministry of Finance proposes allowing securities companies to sign contracts with investors via electronic means, not just paper.
• Current regulations require written contracts for all securities services, which the Ministry says is “not suitable” for the digital era.
• The proposal aims to align with the Law on Electronic Transactions and reduce operational costs, document storage, and processing time.
• Many large securities firms, including ACB Securities, already execute full electronic contracts for services like account opening, margin trading, and bond trading.
• ACB Securities uses third-party digital certificates for electronic contracts and sends email confirmations, but still offers paper contracts at branches for those who prefer.
• Electronic contracts are currently only available to domestic individual investors; institutional and foreign investors still require paper documentation.
• Vietnam had 13.1 million securities accounts as of end-May, with 1.3 million new accounts opened year-to-date.

What Happened

The Ministry of Finance has released a draft law amending several articles of the Securities Law for public comment. One key proposal is to allow securities companies to sign contracts with investors electronically, removing the current requirement for written (paper) contracts. The Ministry argues that the existing rule is outdated, increases costs, and slows down procedures, especially as the banking sector has already moved to digital authentication via biometrics and OTP.

A representative of ACB Securities confirmed that the firm already uses electronic contracts for domestic individual investors, but still requires paper for institutional and foreign clients. The proposed change would provide a legal framework for broader adoption, potentially reducing paperwork and accelerating account opening for all investor types.

Market Context

ACB (HOSE: ACB) closed at VND 26,250 on June 4, 2026, up 0.96% with volume of 46.9 million shares. The stock has been supported by strong earnings growth and a stable banking sector. The proposed regulatory change is positive for ACB Securities, which is a key subsidiary of the bank, as it could lower operating costs and improve customer acquisition efficiency. The broader securities sector, including other major firms like SSI and VND, would also benefit from reduced compliance burdens.

Strategic Significance

For ACB, the proposal reinforces its digital strategy, which already includes electronic contract signing. If enacted, the regulation would level the playing field, allowing all securities firms to offer fully digital onboarding, potentially increasing competition and market penetration. This aligns with the government’s push for digital transformation and financial inclusion. For investors, lower costs and faster account opening could boost retail participation, supporting trading volumes and brokerage revenues across the sector.

What to Watch

• Final approval of the amended Securities Law by the National Assembly, expected in late 2026.
• Implementation timeline and any transitional provisions for existing paper contracts.
• Adoption rate of electronic contracts among securities firms, especially for institutional and foreign investors.
• Impact on account opening growth and trading volumes in the following quarters.
• Potential cost savings disclosed by major securities firms in their earnings reports.