Vietnam’s benchmark VN-Index projected to jump 80%: Pyn Elite
The move reflected Pyn Elite Fund’s view of Vietnam’s positive economic outlook and the robust profit growth of listed companies, as well as its belief in the continuous modernization of Vietnamese financial market.
Pyn Elite Fund, an independent Finnish fund manager, upgraded long-term target for the benchmark VN Index to 1,800 points, from the close of 1,024 on Thursday, said the fund in a report.
The move reflected Pyn Elite Fund’s view of Vietnam’s positive economic outlook and the robust profit growth of listed companies, as well as its belief in the continuous modernization of Vietnamese financial market, stated the report.
Remarkably, the revised Securities Law is expected to be approved by the National Assembly at the end of November. This will be very positive news and pave the way for resolving the barriers on market upgrade, foreign ownership limit and non-voting depositary receipt (NVDR) in the following years, added Pyn Elite.
In October, VN-Index attempted to break the psychological level of 1,000 points, ended with a marginal gain of 0.9% month-on-month, led by banking stocks such as Joint Stock Bank for Foreign Trade of Vietnam (Vietcombank), Bank for Investment and Development of Vietnam (BIDV) and Ho Chi Minh City Development Bank (HDBank).
Average daily trading value on the two main exchanges declined 1.9% month-on-month to US$191.4 million.
In October, nearly 600 companies from Ho Chi Minh City Stock Exchange and Hanoi Stock Exchange, accounting for 97% of total market cap, have reported results in the first nine months. Overall, their revenues grew modestly 8% year-on-year while net profit soared more decently 14.1% year-on-year. Sector-wise, retail enjoyed the highest earnings growth of 31.1% year-on-year, followed by real estate with 30.2% and banks with 25%.
The headline Nikkei Vietnam Manufacturing Purchasing Managers' index (PMI) posted at 50, on the same level with neighboring economies such as Thailand, Malaysia, Taiwan (China), Indonesia and South Korea, amid a slowdown in output and employment in the region.
However, other macroeconomic aspects of Vietnam remain resilient. Inflation was calm, retail real growth surged 9.4% year-on-year while foreign direct investment (FDI) numbers showed improvement with disbursed amount up 8% year-on-year and registered FDI up 33.7% year-on-year in October, bringing total registered FDI to US$18.3 billion year-to-date.
As of October, Pyn Elite managed assets worth EUR412 million (US$453 million), in which cash accounted for 9% and the remaining were equities.
- The Vietnam-US comprehensive partnership facilitates investment activities: PM
- Vietnam's securities accounts surpass 5-million mark
- Finance ministry proposes extending tax payments worth US$870 million for domestic cars
- Foreign capital returns to Vietnam's stock market in 2022: SSI
- Vietnam’s easing monetary policy unlikely to reverse amid Fed’s rate hike
- Shinhan Financial to acquire 10% stake in Vietnamese e-commerce Tiki
- Banks cut lending rates to support businesses
- Gov’t aims at transparent, sustainable stock market
- KEB Hana Bank committed to long-term presence in Vietnam
- Corporate bond issuance in Vietnam declines sharply in Q1
SEA Games 31: Vietnam and Thailand to compete for football gold medal
Hanoi earmarks US$1 billion for Ring road No.4 project
Where to go and what to do in Hanoi for locals and tourists?
Exhibitions mark President Ho Chi Minh’s 132nd birthday anniversary
The Vietnam-US comprehensive partnership facilitates investment activities: PM
FPT opens new office in New York, 10th in US
Vietnam’s e-commerce: driver for economic recovery in post-Covid-19
Vietnam, Qualcomm boost cooperation for 5G development
SEA Games 31 delegates get free Hanoi Bus Tour