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PYN Elite Outperforms VN-Index in June
Source: PYN Elite Fund
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The VN-Index ended June 2024 below the 1,250-point mark, decreasing by 1.3% from the previous month to 1,245.32 points. In contrast, the Finnish-based PYN Elite fund outperformed the VN-Index with a notable 1.8% increase in returns, attributed to the strong performance of ACV (+18%) and HVN (+19%) stocks.
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PYN Elite’s Investment Performance from 2015-2024
Source: PYN Elite Fund
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Highlighting key macroeconomic developments, PYN Elite reported: “The National Assembly agreed to reduce the value-added tax (VAT) by 2%, from 10% to 8%, from July 1, 2024, to December 31, 2024. Concurrently, public sector salary reforms were implemented, with the basic salary increasing to 2.34 million VND/month from July 1, 2024.
The Land Law, Housing Law, and Business Law will take effect from August 1, five months earlier than initially decided by the National Assembly (January 1, 2025), expediting the recovery of the real estate sector.
President Putin visited Vietnam to negotiate cooperation in various fields, including oil and gas, energy, and agriculture. A few days later, the US Assistant Secretary of State reaffirmed the comprehensive agreement and continued to promote the strategic partnership between the US and Vietnam.
The Vietnamese Dong depreciated by 4.7% against the USD since the beginning of 2024, and maintaining the current exchange rate stability is the top priority for the State Bank of Vietnam.“
On a broader macroeconomic scale, Vietnam’s GDP for Q2 2024 grew by 6.9% year-on-year, pushing the half-year GDP growth to 6.4%. All three sectors performed well, with industry and construction leading at 7.51% year-on-year growth, followed by services at 6.64%, and agriculture at 3.38%.
The manufacturing Purchasing Managers’ Index (PMI) rose to 54.7 in June from 50.3 in May, with new orders recording their strongest increase since March 2011.
Exports in Q2 2024 rose by 12.5% while imports increased by 19.8% year-on-year. The United States remained Vietnam’s largest export market.
Dragon Capital Chairman: “Long-term vision is needed, accepting necessary adjustments for a safer, more efficient, and higher quality market”
According to Mr. Dominic Scriven, Chairman of Dragon Capital, the role of the finance industry in the stock market will be significant in 2023 and possibly in 2024. The roles of other industries, such as real estate or consumer goods, will depend on their respective challenges.
Investing in a volatile market: Should beginners consider putting money into high-yield bonds for 10-30% yearly profit?
Short-term stock market trading has proven to be a risky venture for many investors, leading to substantial losses. However, there are a few select open funds that have managed to achieve impressive returns, reaching up to 30%.
