Mr. Pham Anh Khoi at the VTV Money’s “Khop Lenh” program on September 18th. Screenshot
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At the VTV Money’s “Khop Lenh” program on September 18th, Mr. Khoi shared his insights on the differences between the real estate and stock markets. He pointed out that the real estate industry attracts a wider range of investors in Vietnam, each with diverse goals, including investing in properties for personal use, business purposes, or as a means to preserve their asset values.
On the other hand, the stock market has a smaller investor base, but these investors also vary in their investment strategies, ranging from long-term holdings to short-term goals.
Mr. Khoi emphasized two crucial aspects for investors to consider. Firstly, information is key, and investors need to stay informed and adept at processing information to make successful investment decisions. Secondly, risk management is vital. Investors should diversify their portfolios across different asset classes. He noted that investors who outperform the market often have a better risk management strategy than their peers.
Speaking about the real estate market, Mr. Khoi acknowledged its significance as a contributor to Vietnam’s GDP and social welfare. Hence, it is understandable that the government pays close attention to this sector. Recently, the government has taken steps to enhance market transparency while also addressing legal and supply-related issues.
The VHM Investment Director predicted that it would take 6-12 months for investors to witness the tangible results of these changes in the market. The most significant challenge currently is the low production rate of market-suitable products in Vietnam.
Regarding VHM‘s performance, Mr. Khoi shared that while the company leads the real estate sector in the stock market, its scale is still modest compared to the vast potential of the Vietnamese market. The demand for real estate in Vietnam far outpaces the supply, with a ratio of 2:1 or even 3:1.
He added that VHM has been diligent in handing over completed projects to customers, such as Ocean Park 3. Additionally, Vinhomes Vu Yen, branded as Vinhomes Royal Island, has also witnessed robust sales.
This year, VHM will commence the development of a project in Co Loa, Hanoi, named Vinhomes Global Gate, strategically located near the city center.
The VHM Investment Director expressed optimism about the real estate market’s recovery, particularly in Hanoi and its vicinity, where property prices have been rising steadily. This bodes well for VHM‘s projects in the region, including not only the Co Loa project but also the upcoming Dan Phuong project (Vinhomes Wonder Park Dan Phuong), which is slated for launch within the next 12 months.
While acknowledging the challenges faced by real estate businesses, including VHM, during this difficult period, Mr. Khoi highlighted the company’s meticulous financial management strategy. Looking ahead, VHM intends to continue developing projects in prime locations to capitalize on the recovering real estate market. Additionally, the company plans to allocate a small portion of its funds for “payback” to enhance its intrinsic value and return a portion of the benefits to investors.
