HOSE Reinstates Margin Trading for TNI and SMC Stocks

Overview

The Ho Chi Minh City Stock Exchange (HOSE) removed TNI (Thành Nam Investment Group JSC) and SMC (SMC Investment Trading JSC) from its list of stocks ineligible for margin trading, effective April 19, 2026. This regulatory update allows investors to resume margin trading in these two securities, which had previously been restricted due to unspecified compliance issues that the companies have now addressed.

Key Facts

• Effective date: April 19, 2026.
• Ticker TNI (Thành Nam Investment Group JSC) and ticker SMC (SMC Investment Trading JSC) removed from HOSE’s margin-ineligible list.
• Total stocks on HOSE’s margin-restricted list: 68 securities as of April 19, 2026.
• Criteria for margin ineligibility include financial situation, warning/control status, and listing time.
• Recent precedent: Novaland (NVL) was reinstated for margin trading in early April 2026 after addressing negative consolidated net profit issues.
• Counterexample: Đức Giang Chemicals (DGC) was added to the margin-ineligible list for delayed audited 2025 financial statement disclosure.
• Stocks like AFX, ANT, CRV remain ineligible due to listing time under 6 months.

What Happened

HOSE updated its list of stocks ineligible for margin trading, removing TNI and SMC after both companies resolved the underlying issues that led to their initial restriction. The exchange’s announcement, based on regulatory filings, did not specify the exact reasons for TNI and SMC’s prior ineligibility but noted they have been “addressed.” This follows a pattern of recent reinstatements, including Novaland (NVL) in early April 2026, which was removed after correcting negative consolidated net profit in its 2025 semi-annual reviewed financial statements.

Conversely, the exchange added Đức Giang Chemicals (DGC) to the margin-ineligible list for failing to disclose its audited 2025 financial statements within the required timeframe, exceeding the deadline by more than five working days. HOSE maintains strict criteria for margin eligibility, covering financial health, regulatory warning/control status, and minimum listing duration, with 68 securities currently restricted as of April 19, 2026.

Market Context

TNI and SMC trade on HOSE, where margin trading restrictions can significantly impact liquidity and investor interest. The reinstatement comes amid ongoing regulatory adjustments by HOSE, which has recently both added and removed stocks from the margin-ineligible list based on compliance updates. For TNI and SMC, regaining margin eligibility may support trading volume and price stability, as margin access typically attracts more active participation from leveraged investors. The broader context includes 68 HOSE-listed stocks remaining margin-ineligible, highlighting ongoing scrutiny of financial and regulatory standards in Vietnam’s securities market.

Strategic Significance

For long-term investors, this regulatory change signals improved corporate governance and financial compliance at TNI and SMC, as HOSE only reinstates margin trading after issues are resolved. It enhances the investability profile of both stocks by restoring a key liquidity mechanism, potentially reducing volatility and broadening the investor base. In Vietnam’s developing capital markets, margin eligibility serves as a credibility marker, distinguishing companies that meet exchange standards from those under warning or control status, which dominate the restricted list.

What to Watch

• Next HOSE margin eligibility list update, typically published periodically with new effective dates.
• TNI and SMC’s upcoming financial disclosures (e.g., Q2 2026 reports) to confirm sustained compliance with HOSE criteria.
• Trading volume and liquidity metrics for TNI and SMC in the weeks following reinstatement.
• Regulatory actions on other margin-ineligible stocks, particularly those in warning/control status like HVN, BCG, or DLG.
• Any further additions to the margin-ineligible list, especially ahead of financial reporting deadlines.