Saigon Securities Inc Asset Management Company (SSIAM) is launching an initial public offering (IPO) for its SSI Bond Fund (SSIBF) from July 4 to 31.

The initial minimum capital mobilisation is VND50 billion (US$2.2 million). The SSIBF will begin operating by mid-August.

The SSIBF is the third domestic exchange-traded fund (ETF) managed by SSIAM, after the open-end SSI Sustainable Competitive Advantage Fund (SSI-SCA) and the ETF SSIAM HNX30 Fund. It will adopt an active investment strategy based on comprehensive assessments of macroeconomic policy, economic outlook and financial status of issuers.

The investment portfolio of the SSIBF will be structured towards diversification, combining low-risk and high-risk assets to achieve long-term investment objectives, as well as to ensure financial security. Accordingly, the SSIBF will allocate a minimum investment of 80 per cent on bonds, certificates of deposit and fixed-income instruments, and a maximum investment of 20 per cent in shares, including listed stocks and stocks that are following the preparation process for listing.

SSIAM will flexibly take advantage of market opportunities to add value to the fund in the short term. Investors can also easily buy and sell the SSIBF Fund Certificate to the fund management company and earn profit during the investment period.

Managed by SSIAM’s experts, SSIBF will follow aggressive investment strategies.

The SSIBF’s supervising bank is the Bank for Investment and Development of Viet Nam (BIDV)’s Ha Thanh branch, and its transfer agent is the Viet Nam Securities Depository (VSD).

SSIAM CEO Le Thi Le Hang said the bond fund is targeted at individuals and organisations who are looking to grow their long-term assets.

SSIBF is also an optimal choice for small-scale capital investors who want to allocate earnings to bonds and fixed-income assets, for investors who want an interest rate higher than deposits, but with easy liquidity, Hang said.

“With a safe investment portfolio, we hope SSIBF will become the best option to help investors indirectly and effectively invest in assets such as government and corporate bonds,” she said. — VNS