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RNS Number : 9379P  VietNam Holding Limited  22 January 2026

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

Monthly Investor Report

A report detailing the activities of the Company for the month of December
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/h0ehjthb/vnh-investor-report-december-2025.pdf)
 and a summary of the report is included below.

Manager Commentary: On the up (The Stone Roses)

Vietnam ended 2025 on the right track. For a start, it achieved its 8% GDP
growth target for the year - the highest rate in Southeast Asia, well ahead of
estimations for Indonesia (4.9%), Thailand (2.4%), the Philippines (6.1%) and
indeed the US (2.5%) and China (5%). Vietnam's outperformance was particularly
notable given the trade-war uncertainties that emerged earlier in the year,
when Trump threatened tariffs across the world, including a 46% tariff on
Vietnamese goods in April. Vietnam's successful negotiation of this (down to
20% by July), combined with continued strong FDI inflows and manufacturing
momentum (trade surplus of US$20bn), demonstrated the country's policy agility
and economic resilience in today's volatile global environment. Now, Vietnam's
government has set an ambitious 10% growth target for 2026. If its macro stats
for December say anything, Vietnam continues to move in that direction: with
its PMI at 53 - ahead of most developed and emerging markets globally -
exports up 17% for the year, and FDI reaching a five-year high of US$27.6bn.
December also reflected how the country's administration reform is setting a
solid foundation, with clear results in stronger public investment (hitting
US$30.5bn, 83.7% of target) and accelerated infrastructure development.

Vietnam's equity market told a more nuanced story in December. The VN-Index
ended the year near all-time highs, but returns were anything but evenly
distributed. A handful of mega-caps captured most of the month's gains while
many quality, mid-sized companies saw their shares consolidate despite sound
business fundamentals. For VNH, this translated to a 1.6% NAV gain, with
performance shaped more by a market increasingly divided between the very
largest names and the rest of the market. Within VNH's holdings, Vinhomes
(VHM) led the way with a 20.9% surge, driven by announcements of major
residential project launches. Mobile World (MWG) gained 11%, demonstrating the
ongoing strength of Vietnam's consumer sector as retail sales rebounded to
9.8% growth in December following November's weather-related disruption.
Banking positions also contributed positively. MB Bank rose 9.1%, showing the
sector's strong performance following 19% credit growth across the system in
2025.

December also highlighted the challenges of navigating a market where
performance became increasingly concentrated in the very largest names.
Vingroup (VIC) - not a portfolio holding - rose 30.3% in December, and given
its substantial index weight, this single stock accounted for a
disproportionate share of headline returns. VNH has maintained a measured view
on VIC, prioritising other companies with clearer earnings visibility and more
attractive valuations. While this positioning weighed on relative performance
in December, it reflects the Fund's discipline around sustainable,
risk-adjusted returns rather than short-term index tracking. Our top holdings
offer scale, competitive advantages, and solid balance sheets. The portfolio
trades at 9.5x forward earnings with forecast earnings per share growth of
18%.

Looking ahead, Vietnam's macro picture for 2026 is already proving compelling.
Manufacturing remains in expansion mode and inflation continues to be
relatively under control at 3.3%. These aren't cherry-picked numbers - they're
the fundamentals of an economy firing on multiple cylinders. Additionally,
underlying market earnings growth will remain the key driver of Vietnam's
equity performance. To meet the 10% growth target for 2026, Vietnam will need
to shift gears from cost-competitive manufacturing toward higher-value,
innovation-driven sectors. Credit growth is expected to moderate to 15% (still
robust), the property sector should broaden beyond mega-caps, and the FTSE
reclassification on September 21, 2026 will bring fresh capital flows and
better market infrastructure. But what matters most is Vietnam's ongoing
transformation: deeper capital markets, enhanced governance, rising domestic
consumption, and a manufacturing base that's proven remarkably resilient
considering the global geopolitical uncertainties that have become the norm.
VNH remains positioned for Vietnam's structural growth while maintaining
discipline around valuations and liquidity - factors that matter over full
market cycles, not just single months. After a year of exceptional economic
growth, navigating trade policy uncertainties with notable agility, and
setting the stage for an even more ambitious 2026, Vietnam's playlist looks
even stronger for the road ahead.

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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