REG - VietNam Holding Ltd - Monthly Investor Report

VietNam HoldingAnnouncement

24/12/2024 07:15

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20241224:nRSX2638Ra&default-theme=true

RNS Number : 2638R  VietNam Holding Limited  24 December 2024

VietNam Holding Limited ("VNH" or the "Company")

Monthly Investor Report

A report detailing the activities of the Company for the month of November
2024 has been issued by Dynam Capital Limited, the investment manager of the
Company. Electronic copies of the report have been made available to
shareholders on the Company's website
(https://vietnamholding.com/media/dltcli2a/vnh-investor-report-november-2024.pdf)
 and a summary of the report is included below.

Manager Commentary: Economic momentum and market moves

Vietnam's economic and stock market continued to make strides in November. Key
highlights include a record high trade surplus of USD 24.3bn for the first 11
months of 2024, robust export and import growth, and resilient export
performance across major markets.  Exports grew by 14.4% year-on-year (YoY),
underlining Vietnam's ongoing sustainable recovery in global demand. Key
export products such as computers, electronic products, phones, machinery, and
textiles showed significant growth. This was complemented by exports to major
markets like China, the US, Korea, Japan, and the EU recording substantial
increases for the month. Imports grew by 16.4% YoY, further supporting
economic activity.

Public investment also accelerated in November, achieving 73.5% of the annual
target by November, with USD 22.9bn disbursed, reflecting a YoY rise of
2.4%.  Retail sales remained healthy thanks mainly to growth in hospitality,
food services and tourism. While retail sales have performed strongly
throughout 2024, the pace remains slower than before Covid.

November was also notably highlighted by the government's big plans to further
fuel economic growth over the next five years, and this includes the approval
of a USD 67bn high-speed railway project. Infrastructure is the backbone of
the economy and society, and as we discussed in a recent article, 'Planes,
trains, and automobiles
(https://www.linkedin.com/pulse/planes-trains-automobiles-dynamcapital-sfzqc/?trackingId=Q5WpVWyWS3S84QnF3vIomg%3D%3D)
', this new fast line linking Hanoi and Ho Chi Minh City in just five hours
will be a game-changer for both cheaper and environmentally-friendly
connectivity in promoting rapid economic growth.

The real high point is the attractive valuations for long-term growth that
Vietnam's equity market continued to offer, despite foreign investors net
selling. VNH's NAV per share saw a slight decline of 2.4% in November,
underperforming the VNASTR index, but as awards season continues, we were
proudly named as the winner in another magazine, accepting the UK Investor
Magazine's Award for Best Emerging Markets Trust
(https://ukinvestormagazine.co.uk/awards-2024-winners/) .

Additionally, the approval of the amended Securities Law by the National
Assembly on November 29 marked a significant step forward for Vietnam's stock
market, laying the groundwork for its long-term development and aspirations of
achieving emerging market status.

The revised law introduces several pivotal provisions, including strengthening
the responsibilities of issuers, advisory units, and auditors in the issuance
licensing process. It is expected to enhance the responsibilities of market
participants, improve transparency, and boost regulatory monitoring
capabilities. These measures will not only strengthen investor confidence but
also provide a robust foundation for the Ministry of Finance and the State
Securities Commission to refine the legal framework and operational systems
necessary for a market upgrade over 2025 to 2026.

Looking ahead to 2025, forecasts suggest continued economic growth of 6-8% and
stable inflation. The World Bank projects a 6.5% GDP increase, while the
International Monetary Fund anticipates a 6.1% rise, supported by strong
external demand and resilient foreign direct investment. Global economic
uncertainties and trade policy shifts, particularly given President-elect
Trump's plans, will still pose challenges. Vietnam's Prime Minister has urged
the U.S. to lift certain high-tech export restrictions, emphasising the
importance of bilateral relations.

Overall, while Vietnam's economy and stock market have shown extraordinary
resilience and growth in 2024, maintaining this momentum into 2025 will
require navigating both domestic reforms and international economic dynamics.
VNH portfolio is well-positioned for the year ahead, focusing on domestic
consumption, urbanisation, and industrialisation, with top holdings in sectors
like banking, retail, and telecommunications. Wishing you all happy holidays!

For more information please contact:

Dynam Capital Limited

Craig
Martin
Tel: +84 28 3827 7590

 

info@dynamcapital.com (mailto:info@dynamcapital.com) |www.dynamcapital.com
(http://www.dynamcapital.com)

 

www.vietnamholding.com (http://www.vietnamholding.com/)

Cavendish Capital Markets Limited

Corporate Broker and Financial Advisor
               Tel: +44 20 7220 0500

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  DOCQKQBBNBDKDBB