(Alliance News) - Vietnam Enterprise Investments Ltd on Tuesday reported its net asset value had declined by 20.5% over the second quarter of 2022.
This was against a fall of 20.9% for its reference index, the Vietnam Index, over the same period.
Vietnam Enterprise is a close-end fund investing primarily in Vietnam. It is a FTSE 250 company. At June 30, its total NAV was USD2.0 billion.
"Heightened risk aversion amongst domestic retail investors hampered market performance during the second quarter. Neither positive news on the domestic economic front nor robust results from individual companies flowed through to prices," explained Dien Vu, portfolio manager.
Nonetheless, the firm said its investment manager believes the outlook for 2023 to be more attractive, citing health credit growth, steady net interest margins, and higher fees.
"While we believe the sector, like the market, may still be vulnerable to further market declines, the banks cheap ratings cannot be denied," Vu said.
Shares in Vietnam Enterprise Investments were down 0.3% at 663.00 pence on Tuesday morning in London.
By Heather Rydings; heatherrydings@alliancenews.com
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Vietnam Enterprise Investments (VEIL)