PYN Elite up 5.2% in February

In February, the VN-Index surged 7.6% driven by the banking sector. PYN Elite gained only 5.2%, when Sacombank took a pause and the VND depreciated 1% against the USD. Late in February, Prime Minister Phạm Minh Chính chaired a conference with key authorities and organizations including the Central Bank, MoF, State Security Commission, World Bank, securities companies, and investment funds. This marked the first time in nearly 25 years that a PM has led such discussions. The PM emphasized aggressively pursuing EM upgrade status by 2025 and set deadlines for key milestones such as a new trading system KRX and a non-pre-funding solution.

February macro: In 2M 2024, exports surged by 19.2% YoY across many sectors. Industrial production increased by 5.9% YoY but lagged behind exports. With rising orders and falling inventories, factory production is expected to strengthen. Public investment soared by 21.8% YoY, and FDI disbursement rose by 9.8% YoY to $2.8 billion. FDI registration surged by 38.6% YoY to $4.3 billion. PMI edged up to 50.4 in February from 50.3 in January, driven by higher output and orders. Retail sales growth saw a slight uptick to +8.5% in February (+8.1% in January). We anticipate stronger consumption growth in 2H2024 as the labor market improves alongside export recovery.

PYN Elite Stock of the Month: DNSE

DNSE, a Vietnamese tech company offering digital brokerage platform, boasts cutting-edge technology with zero commission fees. DNSE introduced Vietnam’s first AI investment assistant – Ensa, embodied as a knowledgeable girl character, with whom investors can effortlessly chat and gather investment information. DNSE pioneered an app-in-app model with Zalo (Vietnam’s WhatsApp), where investors could open an account and place trade within Zalo with simple steps. Their distinctive social media page, Bò và Gấu (Bull & Bear), creates timely and funny content that resonates with trendy social and investment subjects, attracting a large audience. The company has a pipeline filled with even more innovative products. Currently, DNSE captures one-third of all new brokerage accounts opened in Vietnam.

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 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.