Circular No. 127/2018/TT-BTC dated December 27, 2018 of the Ministry of Finance on prescribing prices of services in securities sector rendered by the Stock Exchanges and Vietnam Securities Depository

THE MINISTRY OF FINANCE

Circular No. 127/2018/TT-BTC dated December 27, 2018 of the Ministry of Finance on prescribing prices of services in securities sector rendered by the Stock Exchanges and Vietnam Securities Depository

Pursuant to the Law on Securities dated June 29, 2006; the Law on amendments to the Law on Securities dated November 24, 2010;

Pursuant to the Law on Charges and Fees dated November 25, 2015;

Pursuant to the Law on Pricing dated June 20, 2012;

Pursuant to the Law on Public Debt Management dated November 23, 2017;

Pursuant to the Decree No. 177/2013/ND-CP dated November 14, 2013 and the Decree No. 149/2016/ND-CP dated November 11, 2016 by the Government on amendments to some articles of the Government’s Decree No. 177/2013/ND-CP dated November 14, 2013 elaborating and guiding the implementation of some articles of the Law on Pricing;

Pursuant to the Decree No. 58/2012/ND-CP dated July 20, 2012 and the Decree No. 60/2015/ND-CP dated June 26, 2015 by the Government on amendments to some articles of the Government’s Decree No. 58/2012/ND-CP dated July 20, 2012 elaborating and guiding the implementation of some articles of the Law on securities and the Law on amendments to some articles of the Law on Securities;

Pursuant to the Government’s Decree No. 86/2016/ND-CP dated July 01, 2016 on investment and trading requirements in securities and the Decree No. 151/2018/ND-CP dated November 07, 2018 on amendments to some Decrees on investment and trading requirements in sectors under the management of the Ministry of Finance;

Pursuant to the Government’s Decree No. 42/2015/ND-CP dated May 05, 2017 on derivatives and derivatives market;

Pursuant to the Government’s Decree No. 91/2018/ND-CP dated June 26, 2018 on government guarantee issuance and management;

Pursuant to the Government’s Decree No. 93/2018/ND-CP dated June 30, 2018 providing for provincial-government debt management;

Pursuant to the Government’s Decree No. 95/2018/ND-CP dated June 30, 2018 providing for issuance, registration, listing and trading of government debt instruments in securities market;

Pursuant to the Government’s Decree No. 87/2017/ND-CP dated July 26, 2017 defining functions, tasks, powers and organizational structure of the Ministry of Finance;

At the request of the Director of the Department of Price Management and the Chairman of the State Securities Commission of Vietnam;

The Minister of Finance promulgates Circular prescribing prices of services in securities sector rendered by Stock Exchanges and Vietnam Securities Depository.

Article 1. Scope of regulation

This Circular provides regulations on prices of services in the securities sector rendered by the Stock Exchanges (hereinafter referred to as “SE”) and Vietnam Securities Depository (hereinafter referred to as “VSD”) in accordance with applicable laws.

Article 2. Subjects of application

1. Providers of services in the securities sector as regulated herein, including SEs and VSD which are duly established and operate in Vietnam.

2. Organizations and individuals that use securities-related services rendered by the service providers mentioned in Clause 1 of this Article, including trading members of SEs (including trading members in derivatives), members of VSD (including depository members and clearing members), organizations applying for listing, listed organizations, fund management companies, issuers, organizations whose accounts are opened directly at VSD, organizations/individuals transferring their securities ownership without using the SE’s trading system, the State Treasury, issuers of government-guaranteed bonds as regulated in the Law on public debt management, and Provincial-level People’s Committees that issue municipal bonds.

3. Other relevant organizations and individuals.

Article 3. Prices of services in securities sector rendered by SEs and VSD

1. The prices of services in securities sector rendered by SEs and VSD are elaborated in the Price Schedule and the Appendix enclosed herewith.

2. Prices of services in securities sector prescribed herein are not subject to value-added tax in accordance with regulations of the Law on value-added tax and relevant documents on amendments thereof (if any).

3. SEs and VSD shall themselves decide the prices of their services other than those prescribed in the Price Schedule hereof in conformity with their provision of such services and in accordance with regulations of the Law on pricing and relevant laws.

4. SEs and VSD must post and announce the prices of services they provide, and comply with regulations of the Law on pricing, the Law on securities and relevant instructional documents.

Article 4. Payment of service charges in securities sector

1. If an organization applies for re-registration as a trading member of the SE, it must pay charges on the following services, including registration as trading member in derivatives, management of trading members, online connection maintenance and use of terminal devices, as it applies for the trading membership for the first time.

If an organization applies for re-registration as a depository member or clearing member of VSD, it must pay the same service charges as those incurred by the applicant for such membership for the first time, including charges on depository member or clearing member management service and registration as clearing member service.

2. In case a trading member has its trading membership or transactions or online connection suspended by the SE for a period lasting into the following year without withholding its trading membership, it must also pay charges on trading member management service, online connection service and terminal devices service for the following year.

In case VSD suspends the provision of depository, clearing and securities settlement services for a depository member or clearing member, or a depository member or clearing member has its depository, clearing and securities settlement transactions suspended by VSD for a period lasting into the following year without withholding its depository or clearing membership, it must also pay charges on depository/clearing member management service for the following year.

3. If a trading member has its trading membership or transactions or online connection suspended by the SE for carrying out procedures for withholding of its trading membership in the same year, it must not pay charges on trading member management service, online connection service and terminal devices service for the following years.

If VSD suspends the provision of depository, clearing and securities settlement services for a depository member or clearing member, or a depository member or clearing member has its depository, clearing and securities settlement transactions suspended by VSD for withholding its depository or clearing membership in the same year, it must not pay charges on depository/clearing member management service for the following years.

4. The prices of trading services payable by market makers may be reduced by up to 80% of the corresponding prices specified in Point 4 Section I Part A of the Price Schedule and up to 70% of the corresponding prices specified in Point 3 Section I Part B of the Price Schedule after they have fulfilled their market-making obligations as regulated by laws and specific requirements imposed by competent authorities.

Article 5. Time limits for collection or return of service charges in securities sector

1. With regard to service charges annually paid according to the corresponding prices specified in the Price Schedule enclosed herewith, service users must make payments to SEs or VSD by January 31 every year.

2. With regard to service charges monthly paid according to the corresponding prices specified in the Price Schedule enclosed herewith, service users must make payments to SEs or VSD by the 15^th of the following month.

3. An organization that applies for registration as a new member of the SE or VSD, or applies for listing for the first time must pay charges on registration service for trading member in derivatives, trading member management service, listing management service, periodical online connection service, terminal devices service or registration service for clearing member, depository member/ clearing member management service within 05 (five) business days after the SE issues a Decision on approval of trading membership or Decision on acceptance of listing, or VSD issues a Certificate of depository or clearing membership.

4. The SE or VSD shall return the collected charges on trading member management service, periodical online connection service, terminal devices service, or depository member/ clearing member management service to its member within 05 (five) business days after the SE issues a Decision on termination of trading membership or VSD issues a Decision on revocation of Certificate of depository or clearing membership.

5. The SE shall collect additional charges or return charges on listing management service to the listed organization or the fund management company within 05 (five) business days from the date on which the SE issues a Decision on acceptance of changes to listed securities or the listing cancellation becomes effective.

Article 6. Managing and using revenues from provision of services in securities sector

1. After having made compulsory payments to the state budget as regulated, SEs and VSD shall manage and use the remaining amounts of revenues from their provision of services in securities sector in accordance with regulations of prevailing laws.

2. VSD shall regulate the allocation of its revenue from the provision of securities ownership transfer service as prescribed in Point 17 (excluding Point 17.1c and 17.5) Section II Part A of the Price Schedule enclosed herewith to SE according to terms and conditions of the signed assurance service contract provided that the amount transferred to the SE shall not exceed 50% of total revenue from the provision of ownership transfer service of securities listed or registered for trading on the SE’s system.

3. SEs and VSD shall consider extending the payment deadline or take actions against the service users who make late payments or fail to pay sufficient service charges according to SE’s or VSD’s internal regulations.

4. When collecting service charges in securities sector, SEs and VSD shall issue service invoices in accordance with the Government’s Decree No. 51/2010/ND-CP dated May 14, 2010, the Government’s Decree No. 04/2014/ND-CP dated January 17, 2014, the Government’s Decree No. 119/2018/ND-CP dated September 12, 2018, the Circular No. 39/2014/TT-BTC dated March 31, 2014 by the Minister of Finance, the Circular No. 37/2017/TT-BTC dated April 27, 2017 by the Minister of Finance, the Circular No. 26/2015/TT-BTC dated February 27, 2015 by the Minister of Finance, and relevant superseding or amending documents (if any).

Article 7. Implementation

1. This Circular takes effect on February 15, 2019 and supersedes the Circular No. 241/2016/TT-BTC dated November 11, 2016 by the Minister of Finance. Regulations laid down in Point b and Point c Clause 2 Article 3, Clause 5 Article 3, Article 4, Point a Clause 1 Article 5, and Clause 2 Article 5 of the Circular No. 15/2018/TT-BTC dated February 07, 2018 by the Minister of Finance shall be abrogated.

2. SEs and VSD shall neither return nor collect the difference between the service charges paid by service users before the effective date of this Circular and the service charges payable in accordance with regulations herein.

3. Difficulties that arise during the implementation of this Circular should be promptly reported to the Ministry of Finance for consideration./.

For the Minister

Deputy Minister

Tran Van Hieu 

SCHEDULE

OF PRICES OF SERVICES IN SECURITIES SECTOR RENDERED BY STOCK EXCHANGES AND VIETNAM SECURITIES DEPOSITORY
 (Enclosed with the Circular No. 127/2018/TT-BTC dated December 27, 2018 by the Minister of Finance)

A. PRICES OF SERVICES RENDERED IN UNDERLYING SECURITIES MARKET

B. PRICES OF SERVICES RENDERED IN DERIVATIVES MARKET

APPENDIX

GUIDANCE ON SERVICE PRICES IN SECURITIES SECTOR PRESCRIBED IN THE PRICE SCHEDULE
(Enclosed with the Circular No. 127/2018/TT-BTC dated December 27, 2018 by the Minister of Finance)

A. PRICES OF SERVICES RENDERED IN UNDERLYING SECURITIES MARKET

1. Trading member management

a) The service price is prescribed in Point 1 Section I Part A of the Price Schedule.

b) Charged period:

- If an organization is currently a trading member of the SE and is not subject to the withholding of trading membership in the same year, the charged period shall be 12 months from January 01 of the charging year.

- If an organization is a new trading member and is not subject to the withholding of trading membership in the same year, the charged period shall be calculated from the month after the month in which the SE issues a decision on approval of trading membership to December of the same year inclusively.

- If an organization is currently a trading member of the SE but is subject to the suspension of transactions or operations for the purpose of voluntary or compulsory withholding of trading membership in the same year, the charged period shall be calculated from the beginning month of the year to the end of the month in which its transactions or operations are suspended at the SE’s request.

- If an organization is a new trading member of the SE but is subject to the suspension of transactions or operations for the purpose of voluntary or compulsory withholding of trading membership in the same year, the charged period shall be calculated from the month after the month in which the SE issues a decision on approval of trading membership to the end of the month in which its transactions or operations are suspended at the SE’s request.

c) If an organization becomes a trading member after the consolidation, merger, full or partial division, transfer or repurchase which requires the conduct of procedures for registration as a new trading member, it must pay the same service charge as that incurred by an applicant for registration of new trading membership.

d) Return of the collected service charge:

If a trading member has its membership withheld, the SE shall return the difference between the collected service charge in the year and the actual service charge payable, which is calculated by adopting the formula and instructions in Point a and Point b of this Clause, to that trading member.

2. Securities listing service

a) The service price is prescribed in Point 2 Section I Part A of the Price Schedule.

b) In case an organization has its securities listed but then voluntarily or involuntarily delisted, the listed organization, the fund management company or the issuer of covered warrants cannot claim the refund of the paid listing service charge.

3. Securities listing management service

a) For the listing of shares, corporate bonds, investment fund certificates and debt instruments defined in the Law on public debt management:

a1) Service price:

- The service price is prescribed in Point 3.1 and Point 3.2 Section I Part A of the Price Schedule corresponding with each securities type and listed value.

- If an organization has different types of securities listed on the same SE, the service price of each listed securities type shall be calculated.

a2) Charged period:

- In case the security is currently listed and not subject to the delisting in the same year, the charged period shall be 12 months commencing from January 01 of the charging year.

- In case an organization applies for securities listing for the first time and is not subject to the delisting in the same year, the charged period in the first year shall be calculated from the month after the month in which the SE issues a Decision on acceptance of listing to the end of December of the same year.

- In case the security is currently listed but then delisted in the same year, the charged period shall be calculated from the beginning month of the year to the end of the month in which the delisting becomes effective.

- In case the security is listed for the first time but then delisted in the same year, the charged period shall be calculated from the month after the month in which the SE issues a Decision on acceptance of listing to the end of the month in which the delisting becomes effective.

a3) In case the listed organization or the fund management company makes changes to the listing resulting in change in the service charge payable (except ETFs), the charge payable on the securities listing management service is the sum of:

- The service price which is calculated according to the listed securities type, previous listed value and the charged period from the beginning month of the year (or from the month after the month in which the SE issues a Decision on acceptance of listing if the security is listed for the first time in the year) to the end of the month in which the SE issues the Decision on acceptance of changes to listing of the same year; and

- The service price which is calculated according to the listed securities type, the new listed value and the charged period from the month after the month in which the SE issues the Decision on acceptance of changes to listing in the year to the month in which the SE issues the following Decision on acceptance of changes to listing or to the end of December of the same year.

a4) Return or additional collection of charge on listing management service of shares, corporate bonds, investment fund certificates and debt instruments defined in the Law on public debt management:

- If the security is delisted in the year, the SE shall return the difference between the collected service charge in the year and the actual service charge payable, which is calculated by adopting the formula and instructions provided in Point a1 and Point a2 of this Clause, to the listed organization or the fund management company.

- If any change to the securities listing results in the increase or decrease in the service charge payable after the change in comparison to the collected service charge, the SE shall calculate and additionally collect or return the difference to the listed organization or the fund management company.

b) For listing of covered warrants:

Service charge payable = Service price x Charged period (months)

b1) The service price is prescribed in Point 3.4 Section I Part A of the Price Schedule.

b2) Charged period:

- The charged period is calculated from the month in which the SE issues a Decision on acceptance of listing of covered warrant to the end of the final month of the term of that covered warrant.

- In case a covered warrant is currently listed but then delisted in the same year, the charged period shall be calculated from the month in which the SE issues a Decision on acceptance of listing to the end of the month in which the delisting becomes effective.

b3) Return of the charge on listing management service of covered warrants

If a covered warrant is delisted in the year, the SE shall return the difference between the collected service charge in the year and the actual service charge payable, which is calculated by adopting the formula and instructions provided in Point b1 and Point b2 of this Clause, to the listed organization.

4. Trading service

a) For trading in shares, fund certificates, corporate bonds, and debt instruments defined in the Law on public debt management, and covered warrants:

- The service price is prescribed in Point 4 Section I Part A of the Price Schedule.

b) The service charge on a repo transaction in a debt instrument as defined in the Law on public debt management shall be charged once on the first transaction (buy transaction) and not charged on the sell back transaction.

c) The service charge on a sell/buy back in a debt instrument as defined in the Law on public debt management shall be charged once on the first transaction (sell transaction) and not charged on the buyback transaction. d) The service charge on borrowing/ lending of a debt instrument as defined in the Law on public debt management shall be charged once on the value of the borrowing/ lending transaction and not charged on the repayment of debt instrument borrowed/ lent.

5. Online connection service

The charge on an online connection service includes the charge on initial connection and the charge on periodic connection maintenance.

a) The charge on initial connection:

- The service price is prescribed in Point 5.1 Section I Part A of the Price Schedule.

- If an organization becomes an online trading member after the consolidation, merger, full or partial division, transfer or repurchase, the service charge on the initial online connection shall be calculated as follows:

+ The charge on initial online connection service shall be imposed on the member whose operations are not based on the existing material facilities, information technology system and trading software of one of members participating in that consolidation, merger, full or partial division, transfer or repurchase.

+ The charge on initial online connection service shall not be imposed on the member whose operations are based on the existing material facilities, information technology system and trading software of one of members participating in that consolidation, merger, full or partial division, transfer or repurchase.

b) The charge on periodical connection maintenance:

- The service price is prescribed in Point 5.2 Section I Part A of the Price Schedule.

- Charged period:

+ If a trading member is currently an online trading member and does not has online connection suspended by the SE for carrying out procedures for withholding of its trading membership in the year, the charged period shall be 12 months from January 01 of the charging year.

+ If an organization is a new online trading member and does not has online connection suspended by the SE for carrying out procedures for withholding of its trading membership in the year, the charged period shall be calculated from the month after the month in which the SE issues a Decision on acceptance of online trading member to the end of December in the same year.

+ If a trading member is currently an online trading member and has online connection suspended for carrying out procedures for withholding of its trading membership in the year, the charged period shall be calculated from the beginning month of the year to the end of the month in which the SE suspends the online connection.

+ If an organization is a new online trading member and has online connection suspended for carrying out procedures for withholding of its trading membership in the year, the charged period shall be calculated from the month after the month in which the SE issues a Decision on acceptance of online trading member to the end of the month in which the SE suspends the online connection.

c) If an organization becomes a trading member after the consolidation, merger, full or partial division, transfer or repurchase which requires the conduct of procedures for registration as a new online trading member, it must pay the same charge on periodical online connection maintenance as that is incurred by a new online trading member.

d) Return of the collected service charge:

If a trading member has its online connection suspended for withholding its membership, the SE shall return the difference between the collected service charge on periodical online connection maintenance in the year and the actual service charge payable, which is calculated by adopting the instructions in Point b of this Clause, to that trading member.

6. Terminal devices service

a) The service price is prescribed in Point 6 Section I Part A of the Price Schedule.

b) Charged period:

- If a securities company is currently a trading member of the SE and is not subject to the suspension of transactions or operations at the SE’s request for the purpose of voluntary or involuntary withholding of its trading membership in the year, the charged period shall be 12 months from January 01 of the charging year.

- If an organization is a new trading member and is not subject to the suspension of transactions or operations at the SE’s request for the purpose of voluntary or involuntary withholding of its trading membership in the same year, the charged period shall be calculated from the month after the month in which the SE issues a decision on approval of trading membership to December of the same year inclusively.

- If a securities company is currently a trading member of the SE but is subject to the suspension of transactions or operations for the purpose of voluntary or compulsory withholding of its trading membership in the same year, the charged period shall be calculated from the beginning month of the year to the end of the month in which its transactions or operations are suspended at the SE’s request.

- If an organization is a new trading member of the SE but is subject to the suspension of transactions or operations at the SE’s request for the purpose of voluntary or compulsory withholding of trading membership in the same year, the charged period shall be calculated from the month after the month in which the SE issues a decision on approval of trading membership to the end of the month in which its transactions or operations are suspended at the SE’s request.

c) If an organization becomes a trading member after the consolidation, merger, full or partial division, transfer or repurchase which requires the conduct of procedures for registration as a new trading member, it must pay the same service charge on using terminal devices as that incurred by an applicant for registration of new trading membership.

d) Return of the collected service charge:

If a trading member has its membership withheld, the SE shall return the difference between the collected service charge on terminal devices in the year and the actual service charge payable, which is calculated by adopting the instructions in Point a and Point b of this Clause, to that trading member.

7. Auction and competitive offering at the SE

a) The service price is prescribed in Point 7 Section I Part A of the Price Schedule.

b) The value of other shares/ securities sold out, which is employed to calculate the service charge on an auction/ competitive offering, includes the proceeds from shares/ securities sold out by direct negotiation with investors participating in the auction (in case the SE carries out direct negotiation for selling the quantity of shares/ securities that are undelivered in the auction).

c) In case of failure to organize the auction or competitive offering, the service charge payable shall be VND 20 million/ auction or competitive offering.

8. Depository member management

a) The service price is prescribed in Point 11 Section II Part A of the Price Schedule.

b) Charged period:

- If an organization is currently a depository member of the VSD and is not subject to the VSD’s revocation of Certificate of depository membership in the year, the charged period shall be 12 months from January 01 of the charging year.

- If an organization is a new depository member of VSD in the year and is not subject to the VSD’s revocation of Certificate of depository membership in the same year, the charged period shall be calculated from the month after the month in which the VSD issues a Decision on issuance of Certificate of depository membership to December of the same year inclusively.

- If an organization is currently a depository member of the VSD and has its Certificate of depository membership revoked by VSD in the year, the charged period shall be calculated from the beginning month of the year to the end of the month in which VSD issues a Decision on revocation of Certificate of depository membership.

- If an organization is a new depository member of VSD in the year and then has its Certificate of depository membership revoked by VSD in the same year, the charged period shall be calculated from the month after the month in which the VSD issues a Decision on issuance of Certificate of depository membership to the end of the month in which VSD issues a Decision on revocation of Certificate of depository membership.

c) If an organization becomes a depository member after the consolidation, merger, full or partial division, transfer or repurchase which requires the conduct of procedures for registration of depository membership with VSD, it must pay the same service charge as that incurred by an applicant for registration of new depository membership.

d) Return of the collected service charge:

If a depository member has its Certificate of depository membership revoked, VSD shall return the difference between the collected service charge in the year and the actual service charge payable, which is calculated by adopting the formula and instructions in Point a and Point b of this Clause, to that depository member.

9. Securities registration service

a) The service price is prescribed in Point 12 Section II Part A of the Price Schedule.

b) If an issuer’s registration of securities is accepted and then voluntarily or compulsorily cancelled, the charge on securities registration service paid by the issuer shall not be returned.

10. Securities depository service

a) The service price is prescribed in Point 13 Section II Part A of the Price Schedule.

b) Calculating ∑Vi

Vi is the quantity of securities deposited in the day i and is the sum of balances on all securities depository accounts serving securities brokerage and proprietary trading.

i = 1->n is the days in a month in which deposited securities balances occur.

Daily deposited securities balance is determined at the end of the day according to documents certified by VSD.

11. Securities transfer

a) The service charge on the transfer of securities between the investor’s accounts opened at different depository members:  

The service charge payable in the month is total charge on securities transfer service in the day i

 (i = 1->n is the days in a month in which securities are transferred between the investor’s accounts opened at different depository members)

The charge on securities transfer service in the day i = ∑(Service price x Vj)

Where:

- The service price is prescribed in Point 14.1 Section II Part A of the Price Schedule.

- Vj is the quantity of securities of code j on each securities depository account to be transferred in the day i at the request of the depository member representing the transferor with VSD’s certification (j = 1->m is codes of securities to be transferred between the investor's accounts opened at different depository members in the day i).

b) The service charge on the transfer of securities for settlement purpose

The service charge payable in the month is total charge on securities transfer service for settlement in the day i (i = 1->n is the days in a month in which securities are transferred for settlement of securities selling transactions)

The charge on securities transfer service for settlement in the day i = ∑(Service price x Pj)

Where:

- The service price is prescribed in Point 14.2 Section II Part A of the Price Schedule.

- Pj is the quantity of securities of code j (j = 1 ->m is codes of securities to be transferred for settlement of securities selling transactions in the day i) to be transferred for settlement purpose in the day i according to VSD’s notice of trading result.

12. Corporate actions service

a) The service price is prescribed in Point 15 Section II Part A of the Price Schedule.

b) The charge on corporate actions service is calculated according to the number of persons owning securities of the issuer (regardless of whether or not the security is deposited) on the list of securities owners made by VSD when announcing the record date for providing corporate actions.

13. Handling errors after trading

The charge on post-trade error handling service includes the charge on post-trade error rectification and the charge on delayed settlement handling.

a) Charge on post-trade error rectification service:

- The service price is prescribed in Point 16.1 Section II Part A of the Price Schedule.

- n is the number of trading errors to be handled by VSD

b) Charge on delayed settlement handling service:

- The service price is prescribed in Point 16.2 Section II Part A of the Price Schedule.

- n is the number of transactions for which the delayed settlement is handled by VSD.

c) In case trading errors occur in case of force majeure events such as technical problems, the charge on post-trade error handling service shall be calculated in each specific case according to instructions in Point a and/or Point b of this Clause provided that total charge payable by a depository member shall not exceed VND 100 million/ member/ error.

14. Transferring securities ownership without using the SE’s trading system

a) The service price is prescribed in Point 17 Section II Part A of the Price Schedule.

b) The securities price employed to calculate the value of transferred securities shall be determined as follows:

- For securities listed or registered for trading:

+ In case of securities ownership transfer, the securities price shall be the price specified in the transfer agreement provided that it shall not be lower than the reference price announced in the day in which the transfer of securities ownership is performed by VSD.

+ In case of securities ownership transfer due to donation or inheritance or in case the transfer agreement is unavailable or does not specify the transfer price, the securities price shall be the reference price announced in the day in which the transfer of securities ownership is performed by VSD.

+ In case of unavailability of the bond's reference price, the securities price shall be calculated according to the bond's face value.

+ In case of ownership transfer due to selling securities through auction, the securities price is the investor’s successful bid.

- For securities which are not listed or registered for trading, the securities price shall be the face value.

c) The transferors (specified in Point 17.1, Point 17.3 Section II Part A of the Price Schedule) or the transferees (specified in Point 17.2, Point 17.4 Section II Part A of the Price Schedule) or investors carrying out swap with ETFs (buy/ sell backs of ETF certificates) or investors requesting the exercise of covered warrants (specified in Point 17.5 Section II Part A of the Price Schedule) shall be liable to pay charges on securities ownership transfer service through the depository members where depository accounts of parties engaged in the securities ownership transfer are opened with regard to deposited securities or through the issuers with regard to undeposited securities.

15. Borrowing and lending securities via VSD’s system

The charge on securities borrowing/ lending service = ∑(Service price x Vi)

Where:

The service price is prescribed in Point 18 Section II Part A of the Price Schedule.

Vi: The value of securities lent/ borrowed, determined in the day i

i = 1 -> n is the borrowing days

B. PRICES OF SERVICES RENDERED IN DERIVATIVESMARKET

1. Registration as trading member in derivatives

a) The service price is prescribed in Point 1 Section I Part B of the Price Schedule.

b) If a trading member in derivatives has its trading membership voluntarily or compulsorily withheld, the service charge paid when carrying out procedures for registration as derivatives trading member shall not be returned.

2. Management of trading members in derivatives

a) The service price is prescribed in Point 2 Section I Part B of the Price Schedule.

b) Charged period:

- If an organization is currently a trading member in derivatives of the SE and is not subject to the withholding of trading membership in the year, the charged period shall be 12 months from January 01 of the charging year.

- If an organization is a new trading member in derivatives of the SE in the year and is not subject to the withholding of trading membership in the same year, the charged period shall be calculated from the month after the month in which the SE issues a decision on approval of derivatives trading membership to December of the same year inclusively.

- If an organization is currently a trading member in derivatives of the SE but is subject to the suspension of transactions or operations for the purpose of voluntary or compulsory withholding of trading membership in the same year, the charged period shall be calculated from the beginning month of the year to the end of the month in which its derivatives transactions or operations are suspended at the SE’s request.

- If an organization is a new trading member in derivatives of the SE but is subject to the suspension of transactions or operations for the purpose of voluntary or compulsory withholding of derivatives trading membership in the same year, the charged period shall be calculated from the month after the month in which the SE issues a decision on approval of derivatives trading membership to the end of the month in which its derivatives transactions or operations are suspended at the SE’s request.

c) If an organization becomes a derivatives trading member after the consolidation, merger, full or partial division, transfer or repurchase which requires the conduct of procedures for registration as a new derivatives trading member, it must pay the same service charge as that incurred by an applicant for registration of new derivatives trading membership.

d) Return of the collected service charge:

If a trading member in derivatives has its membership withheld, the SE shall return the difference between the collected service charge in the year and the actual service charge payable, which is calculated by adopting the formula and instructions in Point a and Point b of this Clause, to that derivatives trading member.

3. Derivatives transactions

Where:

Total number of futures contracts of each member = The number of buy contract + The number of sell contract.

The service price is prescribed in Point 3 Section I Part B of the Price Schedule.

4. Registration as clearing members

a) The service price is prescribed in Point 4 Section II Part B of the Price Schedule.

b) If a clearing member has its clearing membership voluntarily or compulsorily withheld, the service charge paid when carrying out procedures for registration as clearing member shall not be returned.

5. Clearing member management

a) The service price is prescribed in Point 5 Section II Part B of the Price Schedule.

b) Charged period:

- If an organization is currently a clearing member of the VSD and is not subject to the VSD’s revocation of Certificate of clearing membership in the year, the charged period shall be 12 months from January 01 of the charging year.

- If an organization is a new clearing member of VSD in the year and is not subject to the VSD’s revocation of Certificate of clearing membership in the same year, the charged period shall be calculated from the month after the month in which the VSD issues a Decision on issuance of Certificate of clearing membership to December of the same year inclusively.

- If an organization is currently a clearing member of the VSD and has its Certificate of clearing membership revoked by VSD in the year, the charged period shall be calculated from the beginning month of the year to the end of the month in which VSD issues a Decision on revocation of Certificate of clearing membership.

- If an organization is a new clearing member of VSD in the year and then has its Certificate of clearing membership revoked by VSD in the same year, the charged period shall be calculated from the month after the month in which the VSD issues a Decision on issuance of Certificate of clearing membership to the end of the month in which VSD issues a Decision on revocation of Certificate of clearing membership.

c) If an organization becomes a clearing member after the consolidation, merger, full or partial division, or transfer or repurchase which requires the conduct of procedures for registration of clearing membership with VSD, it must pay the same service charge as that incurred by an applicant for registration of new clearing membership.

d) Return of the collected service charge:

If a clearing member has its Certificate of clearing membership revoked, VSD shall return the difference between the collected service charge in the year and the actual service charge payable, which is calculated by adopting the formula and instructions in Point a and Point b of this Clause, to that d clearing member.

6. Positions management

a) The service price is prescribed in Point 6 Section II Part B of the Price Schedule.

b) Calculating ∑Vi

- V_i is the contract balance in the day i and calculated by adding contract balances on all accounts of the investor/ clearing member.

i = 1 -> n is the days in a month in which contract balance occurs

- Daily contract balance is determined at the end of the day according to certification documents/messages certified by VSD.

7. Margins management

The charge on margins management service payable by a clearing member in a month: P = P₁ + P₂

Where:

P is the charge on margins management service;

P₁ is the charge on cash margin management service;

P₂ is the charge on securities margin management service;

- Cash margin management:

Payer: Clearing member having cash margin balance

The charge on cash margin management service payable by a clearing member in a month: P_{1 =} ∑Pi

Pi = Service price x margin balance in the day i

Where:

P_i is the charge on margin management service in the day i

i = 1->n is the days in a month in which cash margin balance occurs

The service price is prescribed in Point 7 Section II Part B of the Price Schedule.

- Securities margin management:

Payer: Clearing member having securities margin balance

The charge on securities margin management service payable by a clearing member in a month: P_{2 =} ∑P_i

P_i= Service price x ∑(V_j x k)

Where:

P_i is the charge on securities margin management service in the day i;

i = 1->n is the days in a month in which securities margin balance occurs;

k is the face value of securities of the code generating balance in the day i;

V_j is total balance of securities used as margins of code j on securities margin account opened at VSD in the day i;

j = 1->m is codes of securities of which balance occurs in the day i;

The service price is prescribed in Point 7 Section II Part B of the Price Schedule.