Investment funds involved in Viet Nam’s equity market reported positive growth in net asset value (NAV) in August due to a stock market upturn.

The VN-Index enjoyed an increase of 10.43 per cent in August, reaching 881.65 points. This was also reported as the strongest increase among markets around the world, according to statistics from Stock.

The local exchange-traded fund VFMVN Diamond ETF, operated by the Vietnam Fund Management Co (VFM), had a NAV of VND1.9 trillion (US$81.6 million) as of the end of August. In August alone, the NAV per certificate increased 16.7 per cent, reaching more than VND12,724.

This fund focuses on stocks that have reached their limit of foreign ownership. Many of those stocks recorded high price increases in August such as Mobile World Group (MWG), Refrigeration Electrical Engineering Corporation (REE), Phu Nhuan Jewelry (PNJ), logistics firm Gemadept Corporation (GMD), FPT Corporation (FPT), Vietinbank (CTG) and Techcombank (TPB).

The SSIAM VNFIN LEAD, managed by SSI Asset Management Co Ltd (SSIAM), had initial capital of VND262 billion which had risen to VND779 billion by the end of last month. In August alone, the fund's NAV per certificate increased by 14.4 per cent.

This fund's portfolio mostly comprises of leading financial stocks. In August, stocks in banking, securities and insurance climbed including Vietinbank (CTG), insurer Bao Viet Holdings (BVH) and Saigon Securities Company (SSI).

Other ETFs also enjoyed NAV growth including VFMVN30 ETF, up 11.6 per cent, SSIAM VNX50 ETF, gaining 11.2 per cent, SSIAM VN30 ETF, climbing 11.2 per cent and VinaCapital VN100 ETF, rising 10.5 per cent.

Active funds

Pyn Elite Fund, the Finnish fund which focuses on Vietnamese shares, led the uptrend with positive NAV growth of 12.76 per cent in August.

The fund attributed the growth to rising banking and retail shares, such as Vietinbank (CTG), increasing by 21.2 per cent, HDBank (HDB), rising by 18.4 per cent and Mobile World Group (MWG), up by 25.4 per cent.

Dragon Capital's billion-dollar VEIL fund also witnessed NAV growth of 12.1 per cent in August, with a portfolio size of $1.39 billion. VEIL's biggest investments also include banking stocks which account for about 26 per cent.

Vietnam Holdings, a fund managed by Dynam Capital, reported a NAV increase of 11.1 per cent in August. The fund manages more than $126 million in assets with the largest proportion in the portfolio invested in FPT Corporation (FPT), Hoa Phat Group (HPG) and Mobile World Group (MWG).

However, some investment funds still reported poor NAV growth such as LionGlobal Vietnam Fund, JPMorgan Vietnam Opportunities Fund, Tundra Vietnam Fund and VOF. — VNS