OVERALL PERFORMANCE REPORT FROM THE BOARD OF MANAGEMENT 
2018 BUSINESS PERFORMANCE 

2018 witnessed strong volatility of the Vietnam Stock Market and many adverse impacts from the international market. VN-Index surpassed the historical high, setting a record on April 10, 2018 with 1,211 points. However, it was also from this new peak then fell sharply, upon the closing of the last session in 2018, VN-Index stood at 892.54 points, down by 26.3% from the peak, and by 9.32 % YoY. Securities companies in general and SSI in particular were faced with multiple difficulties in business operations. However, with the position of the leading securities company with a sustainable development strategy, SSI still recorded effective business results, outperforming the business plan’s targets approved by the General Meeting of Shareholders, growing all aspects of market share, customer base, services and products, branch network and human resources. In the context of challenging business environment and fierce competition from many other securities companies including foreign securities companies operating in Vietnam, SSI remained committed to diversifying products and services in core businesses, including Retail Brokerage and Institutional Brokerage (brokerage, custody, investment advisory), Investment Banking (financial advisory for corporate customers), Principal Investment, Treasury and Asset Management, to provide customers with a full range of services, enabling customers to optimize investment capital and business flexibility. 

The company recorded a total operating revenue and other consolidated income in 2018 of VND 3,997 billion, growing by 30.9% YoY and exceeding the business plan by 17.2%. Pre-tax accounting profit reached over VND 1,623 billion, growing by 15.5% YoY and also exceeding the business plan. Total assets grew strongly to reach VND 23,825.6 billion and owner's equity reached VND 9,155.6 billion. SSI has a healthy financial structure with high bank loans being backed by a large deposit balance as a reciprocal source. Operating costs are strictly controlled within the budget. 
 
 

Regard to Securities Services, SSI focuses on both institutional clients and individual clients, providing periodic and specialized analysis reports, improving the quality of investment advisory and efficient transaction support, expanding the network of branches and brokers, offering financial products and services, investing in improving trading technology. 2018 is the 5th year in a row SSI topped the brokerage market share for the whole year on HOSE and HNX, respectively at 18.7% and 11.89%. Customer base grew strongly to over 153 thousand accounts - an increase of 20% compared to the previous year. The revenues in 2018 from Securities Service reached over VND 1,893.6 billion or an increase of 42.6%. 


Investment Banking focus on advisory on share issuance for businesses, seeking for investors, providing high quality advisory and active support for enterprises. SSI has secured many landmark deals in the market in 2018. Investment Banking’s results also exceeded the business targets, reaching VND 125 billion. 


Treasury plays a major role in effective management of the Company’s capital, assisting customers to safeguard their business capital, making payment in a flexible and prompt manner, actively expanding cooperating relationships with commercial banks with strong brand names, pioneering in the launch of new products and services, striving to coordinate with Securities Services to expand margin lending activities to serve retail clients. In 2018, Treasury activities recorded a revenue of VND 759.1 billion, exceeding the business targets.


Principal Investment experienced a challenging year due to adverse developments of the market. However, the Company always pursues the investment strategy in the primary economic sector, which has the potential for sustainable development and timely divestment from mature sectors or in other words, no longer have potential to grow to make funds available for investment opportunities in 2019. The total revenue from Principal Investment mounted to VND 1,093 billion in 2018.


SSI Asset Management Ltd. (SSIAM) is responsible for fund management, actively seeking investors, further diversifying product distribution channels, developing a number of funds to raise capital from foreign institutional investors and launching products for retail investors with large investment needs. At the end of 2018, SSIAM had total assets of VND 5,573 billion under its management, revenue from fund and portfolio management in 2018 reached VND 65.5 billion.