Fledgling property-backed bond market is tempting investors into the wager for its inviting high yields but experts still warn investors of potential risks of the products.
Bond yield rates are forecast to increase in the short term as the Government looks at ways to support the socio-economic recovery once the coronavirus crisis abates.
Bond issuance is becoming a popular channel for firms to raise capital for its efficiency and convenience. To attract investors, some companies have even raised bond yield rates higher.
Viet Nam’s dairy maker TH Group, famous for its TH True Milk brand, officially inaugurated the TH high-yield dairy farm in Russia’s Volokolamsk District, Moscow Oblast, on Wednesday.
VinaLand Limited, a part of VinaCapital, sold its stake in the $4
billion Nam Hoi An casino resort to Gold Yield Enterprises Limited, a
unit of Hong Kong based Chow Tai Fook, on September 4.
The Vietnamese bonds market improved as the two-year yield went down to a five-week low and foreign investors returned to buy, said Trinh Viet Dung from Vietcombank Securities Company.
The Vietnam Bank for Social Policies (VBSP), in an auction on July 4,
sold out VND500 billion 3-year government-backed bonds at the yield of
8% p.a., up 0.4% from the previous auction on June 21.
The yield on Government two-year bonds declined 33
points to reach a record low of 6.8 per cent on Tuesday, Ha Noi Stock
Exchange announced. Yields on other bonds also had significant falls.