REG - VietNam Holding Ltd - Monthly Investor Report

VietNam HoldingAnnouncement

19/08/2025 07:02

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RNS Number : 8739V  VietNam Holding Limited  19 August 2025

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

Monthly Investor Report

A report detailing the activities of the Company for the month of July 2025
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://www.vietnamholding.com/media/uxnpsdni/vnh-investor-report-july-2025.pdf)
and a summary of the report is included below.

Manager Commentary: Keep on moving

Vietnam's equity market rallied in July, defying tariff headwinds and evolving
global geopolitical uncertainties. The VN-Index rose around 9% during the
month, peaking at an all-time high of 1,557 points. Record daily liquidity
underpinned the momentum, with strong earnings and improved sentiment keeping
valuations attractive. In the backdrop, Vietnam's economy expanded by 7.52% in
the first half of 2025 (H12025), the fastest H1 pace in 15 years - keeping it
firmly on track to meet the government's 8% growth target for the whole year.
In addition, Vietnam saw its accumulated trade surplus increase further in
July - reaching US$10.2 bn. That and a 27.3% increase in registered foreign
direct investment to US$24.1 bn for the first seven months of 2025 (7M2025)
reduced FX risk and provided confidence that Vietnam's position on the global
stage remains secure.

Manufacturing sentiment also improved impressively in July, with the PMI
rebounding into expansionary territory at 52.4, its first positive reading in
four months. Policy remains supportive and Phạm Minh Chính, the prime
minister, reaffirmed the government's US$36 bn public spending programme, a
key component of its efforts to propel Vietnam beyond the middle-income trap.
Combined with fiscal and monetary easing, these commitments have been building
momentum for sustained domestic growth. The external environment is less
straightforward. Trump's tariff policies continue to cast a shadow, though the
recent agreement capping most export tariffs at 20% has eased the more
pressing fears. While some sector-specific vulnerabilities remain, Vietnam's
increasing reliance on domestic demand and infrastructure investment is
cushioning the economy from external turbulence.

For investors, the conditions have created fertile ground. Earnings growth
across sectors remains strong, keeping price-to-earnings multiples appealing.
The prospect of locally listed ETFs and MSCI rebalancing, alongside the
longer-term potential for an upgrade to emerging market status, offers
additional catalysts for a market re-rating.

Against this setting, the Fund maintains a high-conviction, concentrated
allocation, with over 60% of NAV in its top ten holdings, led by leading banks
such as Sacombank, MB Bank, and Asia Commercial Bank, as well as consumer
champions like Mobile World Corp and industrial leader Hoa Phat Group. EPS
growth remains the portfolio's primary driver. At the same time, a slight
increase in exposure to larger-cap and higher-liquidity stocks positions it to
benefit from the index-tracking flows likely to follow ETF launches and an
eventual FTSE upgrade.

In July, VNH's NAV per share rose by 6.5%, a solid reflection of the
portfolio's earnings-driven positioning, even as performance lagged the
benchmark index mainly due to our underweight in Vingroup shares. Over the
longer term, the results remain compelling: the Fund has delivered nearly 20%
compound annual growth over the past five years, comfortably outperforming the
market by around 500 basis points. With a supportive macro environment, strong
earnings, and growing institutional investor interest, VNH is well-placed for
the second half of the year, and we expect to close the short-term performance
gap while continuing to compound value for shareholders.

Overall, July was a milestone month for Vietnam's equity market. Resilient
growth, a widening trade surplus, and record-breaking market liquidity all
point to an economy and stock market that are entering a new phase of
maturity. Vietnam keeps on moving and, for investors, its market is very much
back to life.

The Investment Manager will be in London, Dublin and Zurich from 17th to 25th
September. If you would like to arrange a meeting, don't hesitate to get in
touch with us below. Also, please mark 3rd and 4th December in your diaries
for the Dynam Investor Days in Ho Chi Minh City - more details to follow.

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

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