The Vietnamese stocks are poised for outperformance in 2023

Below is one paragraph from the last Investor Letter of the year. We have summarized here what happened in the Vietnamese stock market this fall, and what we think will follow.

“Vietnam’s stock market’s weak performance this year is extraordinary. In the autumn, in a very short period of time, the value of the Vietnamese dong fell, interest rates rose, the corporate bond market got frozen and stocks faced forced selling. There have not been declines of the same magnitude in other stock markets in the ASEAN region, and therefore it is expected that Vietnam’s stock market will bounce back up when the disruption is corrected. Confidence in the market has already improved, and we can expect the VN-Index to follow the growth path of the Vietnamese economy and the company earnings direction in the next 12 months. Among ASEAN countries, the outlook for economic growth and earnings growth of listed companies in the next few years is strongest in Vietnam.”

In this Investor Letter we also tell, that foreign investors have aggressively taken advantage of the turbulent conditions in Vietnam’s financial market. Foreigners were 685 million USD net buy on the Vietnam market in November, which is a record number.

 

Important information regarding the text and the Fund

The attached publication is marketing material and should not be regarded as a recommendation to subscribe or redeem units of the PYN Elite Fund. Before subscribing please familiarize yourself with the Key Investor Information Document, the Prospectus and the Rules of the Fund. The material presented in this text is based on PYN Fund Management’s view of markets and investment opportunities. PYN Elite Fund (non-UCITS) invests its assets in a highly allocated manner in frontier markets and in a small number of companies. This investment approach involves a larger risk of volatility compared to ordinary broadly diversified equity investments. The value of an investment may decline substantially in unfavorable market conditions or due to an individual unsuccessful investment. It is entirely possible that the estimates of economic development or a company’s business performance presented in this presentation will not be realized as presented and they involve material uncertainties.

Warning

7th May 2024

We have become aware in recent weeks of an ongoing fraud in Vietnam. This fraud involves the illegal use of the names ‘PYN’ or ‘PYN Elite,’ or variations thereof, in attempts to scam money from individuals through false or fake companies, mobile apps, websites, or social media.