Solid performers on UpCoM to be selected for new classification system.
The Hanoi Stock Exchange (HSX) is to introduce a new classification system called UPCoM Premium for the Unlisted Public Company Market (UPCoM).
From June 24, qualified stock on UpCoM will be selected and brought into UPCoM Premium.
Changes to UpCoM Premium and UpCoM will be announced at least 30 days prior to taking effect.
UpCoM Premium will help in classifying large caps, which in turn will assist investors to make a more accurate comparison of unlisted stocks.
HNX plans for UpCoM Premium to initially include 60-100 large caps.
The purpose of introducing UpCoM Premium is to increase the attractiveness of the market via the transparency and good performance of enterprises trading on UpCoM and will also prepare unlisted stocks in terms of trading and information disclosure before being listed.
Financial indicators such as equity, charter capital, and return on equity (ROE) will be used to select stocks for UpCoM Premium.