Key Takeaways
- • VinaCapital Vietnam Opportunity Fund reported NAV per share of USD7.73 at June 30, up 8.4% from USD7.13 a year earlier, according to Alliance News.
- • NAV total return for the year ended June 30 was 11%, recovering from negative 2.2% a year earlier, but trailed the VN Index's 37% return.
- • The fund did not invest in Vingroup, a decision the company said affected relative performance as Vingroup's share price rose more than 350% over the period.
- • VinaCapital maintained its dividend at 7.25 US cents per share and said it initiated a Vingroup position after year end.
- • Chair Kathryn Matthews said Vietnam "remains an attractive place to invest," while noting geopolitical uncertainty could make the government's 10% annual GDP growth target more challenging.
Summary
VinaCapital Vietnam Opportunity Fund Ltd, a Guernsey-domiciled investment company that invests in listed and private Vietnamese businesses, reported a recovery in net asset value for the year ended June 30, according to Alliance News. NAV per share rose 8.4% to USD7.73 from USD7.13 a year earlier, and NAV total return improved to 11% from negative 2.2%. Shares were up 0.2% at 424.58 pence in London on the morning of the report.
The fund nonetheless significantly underperformed its benchmark, the VN Index, which returned 37% over the same period. VinaCapital attributed the gap to "extreme share price movements among Vingroup companies." Vingroup JSC's share price rose more than 350% over the period, and its ecosystem now accounts for one-third of the VN Index's market capitalisation. The manager said it did not invest in Vingroup during the year due to concerns about valuations that were disproportionately high relative to the broader market and the company's significant leverage to its early-stage electric vehicle business. That decision, the company said, affected relative performance. VinaCapital noted it initiated a position after the year end. The company described its NAV performance as "respectable" and close to its long-term annualised return record.
The board maintained the dividend at 7.25 US cents per share. VinaCapital highlighted Vietnam's economic backdrop, citing GDP growth of 8.0% in 2025 and the government's objective of average GDP growth of 10% annually over the medium term. It said Vietnam had benefited from high-tech manufacturing growth, resilient foreign direct investment, public infrastructure investment, and resilient domestic consumption despite headwinds linked to the US-Iran conflict.
Chair Kathryn Matthews said Vietnam "remains an attractive place to invest" and that strong growth and attractive valuations should support a broader stock market recovery and create investment opportunities in 2027. She cautioned that geopolitical uncertainty could make the 10% growth target more difficult to achieve.
The fund nonetheless significantly underperformed its benchmark, the VN Index, which returned 37% over the same period. VinaCapital attributed the gap to "extreme share price movements among Vingroup companies." Vingroup JSC's share price rose more than 350% over the period, and its ecosystem now accounts for one-third of the VN Index's market capitalisation. The manager said it did not invest in Vingroup during the year due to concerns about valuations that were disproportionately high relative to the broader market and the company's significant leverage to its early-stage electric vehicle business. That decision, the company said, affected relative performance. VinaCapital noted it initiated a position after the year end. The company described its NAV performance as "respectable" and close to its long-term annualised return record.
The board maintained the dividend at 7.25 US cents per share. VinaCapital highlighted Vietnam's economic backdrop, citing GDP growth of 8.0% in 2025 and the government's objective of average GDP growth of 10% annually over the medium term. It said Vietnam had benefited from high-tech manufacturing growth, resilient foreign direct investment, public infrastructure investment, and resilient domestic consumption despite headwinds linked to the US-Iran conflict.
Chair Kathryn Matthews said Vietnam "remains an attractive place to invest" and that strong growth and attractive valuations should support a broader stock market recovery and create investment opportunities in 2027. She cautioned that geopolitical uncertainty could make the 10% growth target more difficult to achieve.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.