Contents
Introduction ……………………………………………………………………………………………………………
………..2
Foreign investors in Vietnams stock
market……………………………………………………………………………….. 2 Vietnams stock
market ……………………………………………………………………………………………………………. 2
Analyzing Foreign
investors………………………………………………………………………………………………….3
Behavior of Foreign
investors ……………………………………………………………………………………………………. 3
Before
2005…………………………………………………………………………………………………………………………
. 3 2006 –
2007…………………………………………………………………………………………………………………………
. 3 2008 –
now………………………………………………………………………………………………………………………….
. 3
Strengths and
Opportunities …………………………………………………………………………………………………….. 4
Weaknesses and
Threats ………………………………………………………………………………………………………….. 5
Recommendation …………………………………………………………………………………………………….
………..5
Sources and References
Documents used in this report are mainly from the internet, figures and numbers are based
on
information provided by Ho Chi Minh Stock Exchange and Ha Noi Stock Exchange
1
Introduction
Foreign investors in Vietnams stock market
Through 12 years developing, many financial analysts and domestic investors have
recognized the role of Foreign investor in Vietnams stock market. Domestic investors
increasingly pay more attention to the movements and actions from foreign investors.
Especially from 2007, more and more evaluation to
determine, analyze about role and importance of these foreign investors appear through
various media.
A common point of foreign investors is that they often access Vietnam market with a
clearly strategy, highly confidence and independence. There was time when Vietnams
stock market driven and lead by foreign investors. Therefore, this report will focus on
analyze specific features of foreign investors and
recommend for government to have suitable policy to attract these potential factors for the
economy.
Some big foreign investors and funds invested into Vietnams stock market include: JP
Morgan, HSBC, Credit Suisse, Citigroup, Morgan Stanley, Deutsche Bank, KTMC,
Templeton, Barclays, Wells Fargo, Fidelity, Bank Invest, Indochina Capital, Dragon
Capital, City Group, HSBC, Templeton Frontier Markets…
Vietnams stock market
2000 – 2005
In 2000, stock of the first 2 companies started listing on Ho Chi Minh Stock Exchange
(HOSE or HSX),
stock markets price grew rapidly due to low supply relative to high demand. VN-Index
increased to peak of 571-04 (25/06/2011) before decreased continuously in the next 3
years. In 2005, Ha Noi Stock Exchange (HNX) appeared, total listing companies on both
exchange organization were 44, total listing
value of nearly 5,000 billion VND.
2006 – 2007
The period between late 2006 and 2007 was the most active period of Vietnams stock
market. In 2006,
VN-Index had increased by 146% and in 1st quarter of 2007, the index rose 46% to peak at
1,170 point.
One reason came from positive affect with information of Vietnam joining WTO, and
successfully organized the APEC conference has created the image of Vietnam attractive to
investors. From 12/2006, an explosion in the number of public listed companies with good
