Vietnam National Oil and Gas Group (PetroVietnam-PVN) is going to announce the PVN Index of local and foreign investors on August 3.
Accordingly, PVN Index will include shares of PVN’s member companies that listed or registered to trade shares on three bourses namely Hochiminh Stock Exchange (STC), Hanoi Stock Exchange (HNX) and Unlisted Public Company Market (UPCoM).
Since the first equitisation of PVN’s member in 2005 so far, PVN’s members that have been successfully equitised have earned a capital surplus for the state at nearly 25 trillion dong.
Currently, there are 32 subsidiaries of PVN listing and registering to trade shares on the stock market. These firms accounted for 3.8 percent in volume but amounted to 14.3 percent of the capitalisation value of the whole stock market.
The PVN Index will include 88 sub-indexes and will be divided into three main groups, including the group of representative index, a group of investment index and group of industry index.
The group of representative index will comprise all listed companies on three bourses.
The group of investment index (namely PVN10) will include 10 leading companies in terms of capitalisation value with adjustments on volume of freely traded shares and liquidity.
The group of industry index of PVN Index will be classified under the ICB international standard (Industry Classification Benchmark) developed by FTSE Co, including six key areas: oil and gas, basic materials, finance, industry, consumer services and utility services.
All indicators in the three aforementioned groups are calculated by two methods: price index and total return index. In addition, the PVN – Index will be converted into four currencies: US dollar, euro , Japanese yen and dong.
PVN Index is the stock index to meet international standards such as: (i) being calculated according to the end of day (end of day) and real time, (ii) being measured by total return and stock price (price return), (iii) being converted into common currencies, (iv) giving adjustments to have ratio of each share at not exceed 15 percent in each indicator – to reduce the excessive influence of large stocks, (v) stocks meeting the standards of market capitalisation and liquidity.