TCB Leads Proprietary Trading Net Buys Near Record as VN-Index Rises

Overview

On August 10, proprietary trading desks at Vietnamese securities firms recorded net buying of VND 309 billion, with Techcombank (TCB) leading at VND 121 billion, nearly matching its historical record. The VN-Index rose 0.49% to 1,776.77 points, supported by broad-based buying across banking, retail, and technology stocks.

Key Facts

• Proprietary desks net bought VND 309 billion on August 10, the second-highest in the last eight sessions, after VND 540 billion on August 3.
• TCB saw net buying of VND 121 billion, the second-largest ever for the stock, just VND 5 billion below its record of VND 126 billion set on June 20, 2024.
• In the 20 sessions prior, proprietary desks had net sold TCB an average of VND 3.5 billion per session.
• MWG ranked second with VND 100 billion in net buying, over 13 times its 20-session average of about VND 7.5 billion.
• Other net-buy leaders included VPB, CTG, HPG, FPT, and VIC, each with over VND 25 billion.
• On the selling side, GMD saw the largest net selling at VND 24.5 billion, followed by VNM (VND 14.4 billion), GEL (VND 10.8 billion), and MSB (VND 7.5 billion).
• BSR and BID broke net-selling streaks, with BSR seeing net buying of VND 1.8 billion after eight sessions of selling, and BID VND 1.1 billion after five sessions.

What Happened

According to data from HoSE, proprietary trading desks at securities companies net bought VND 309 billion on August 10, with total purchases of VND 980 billion and sales of VND 671 billion. Matched-order trading accounted for net buying of VND 490 billion, while block trades showed net selling of VND 176 billion in DMX, which had no matched trades during the session.

Techcombank (TCB) was the top net-buy target, with purchases of VND 186.1 billion and sales of VND 65.1 billion, resulting in net buying of VND 121 billion. This marked the second-highest net-buy level in the stock’s history, just below the VND 126 billion record set on June 20, 2024. Notably, in the 20 sessions before this, proprietary desks had been net sellers of TCB, averaging VND 3.5 billion per session.

Market Context

TCB closed at VND 31,350 on August 10 on the HOSE, near its historical high. The broader VN-Index rose 0.49% to 1,776.77 points, reflecting positive sentiment. The proprietary buying spree was broad-based, with MWG, VPB, CTG, HPG, FPT, and VIC all seeing net buying above VND 25 billion. This suggests institutional and proprietary traders are rotating into large-cap names, particularly banks and consumer-related stocks.

Strategic Significance

For long-term investors, the surge in proprietary buying of TCB signals renewed confidence in the banking sector, which has been under pressure from margin concerns and asset quality. TCB’s strong net-buy activity, near its record, may indicate that institutional players view the stock as undervalued relative to its earnings growth. The shift from net selling to net buying after a prolonged streak could mark a turning point in sentiment, potentially supporting further upside in the stock and the broader market.

What to Watch

• TCB’s price action in the coming sessions to see if it breaks above its historical high.
• Continued net buying by proprietary desks in TCB and other banks, which would confirm the trend.
• Upcoming quarterly earnings reports from TCB and other banks for fundamental confirmation.
• Any regulatory changes affecting proprietary trading or margin lending.
• Foreign investor flows, as they often follow domestic institutional moves.