Assessing Financial Market Integration in Vietnam: A Price – Based Approach

Authors

  • Tran Thi Xuan Anh State Bank of Vietnam, Banking Academy, Vietnam
  • Ngo Thi Hang State Bank of Vietnam, Banking Academy, Vietnam
  • Nguyen Thi Lam Anh State Bank of Vietnam, Banking Academy, Vietnam

DOI:

https://doi.org/10.36941/ajis-2020-0066

Abstract

This paper investigates the existence of financial market integration between Vietnam and the region (ASEAN, ASIAN) as well as the world using price-based indicators. Our paper is the first to assess the overall integration of the Vietnam financial market based on two different datasets for different sub-capital markets, the bond market and stock market, during the period of 2009 - 2018. The empirical results show that Vietnam, compared to other countries in research, holds lower regional and international integration levels in both the bond market and the stock market, but demonstrates considerably strong signs of progressing regional and global stock market integration over the period. Especially, the absolute values estimated from the beta coefficient and beta convergence approaches for the Vietnamese stock market are larger than for the bond market, proving better convergence degree and speed of Vietnamese stock market over the bond market. These bring policymakers and regulators new thoughts and more challenges in designing appropriate policies towards the development of the financial markets in the future.

Downloads

Download data is not yet available.

Downloads

Published

2020-07-10

How to Cite

Anh, T. T. X. ., Hang, N. T. ., & Anh, N. T. L. . (2020). Assessing Financial Market Integration in Vietnam: A Price – Based Approach. Academic Journal of Interdisciplinary Studies, 9(4), 105. https://doi.org/10.36941/ajis-2020-0066

Issue

Section

Research Articles