What’s going on here? On December 16, the Treasury issued the Report on Macroeconomic and Foreign Exchange Policies of Major Trading Partners of the United States. Accordingly, Vietnam was identified as a currency manipulator. “Forced” criteria Criteria include: A trade surplus with the US is over 20 billion USD within 12 months. The current account…
Tag: vietnam
Journal Report 25: Vietnam Banks report Summary
Summary of Vietnam Banks report by JPMorgan published on Dec 14, 2020 Investment thesis Increasing EPS and PT EPS change: driven by lower provisions & higher volume growth thanks to higher GDP. PT increase: broadly following the EPS shifts. Foreign Ownership Limit (FOL) gap Banks have set at 22-23%, below the regulatory limit of 30%…
Ep 130: The establishment of VNX
What’s going on? The Prime Minister has issued Decision No. 37/2020/QD-TTg to establish the Vietnam Stock Exchange (Vietnam Exchange) that takes effect from February 20, 2021. VNX follows the parent-subsidiary model based on the reorganization of the Hanoi Stock Exchange (HNX) and the Ho Chi Minh City Stock Exchange (HoSE). VNX as an entity VNX…
Ep 129: Behind the hype in Techcombank stock
What’s going on? Affecting the VN-Index and VN30, Techcombank (TCB) became a powerful stock, orienting the flow of banking stocks and the whole market. From the beginning of October 2020, TCB has been traded in large volumes, matching up to tens of millions of units/day. All securities companies offer a maximum margin trading limit of…
Ep 128: Vietnam Steel Industry: Rising demand and Fierce competition
What’s going on? The demand for Steel in Vietnam is expected to grow with positive macroeconomics signals, capital outflows from China, and newly-signed free trade agreements. Along with that, competition appears to be sharper with the strong growth of Hoa Phat and the shrinking of Pomina and Vinakyoei. The rising demand drivers Volume Steel consumption…
Journal Report 22: How Vietnamese ecommerce is different
Written by the Co-founder of Lazada – Christopher Brinkeborn Beselin, the original article states the characteristics of the Vietnam market that new e-commerce players might want to acknowledge. There appear to be some recurring themes that would continue to make the Vietnamese e-commerce landscape a special place to compete. Frugality Conservation seems to be what…
Ep 96: Billion-dollar businesses: 31 names accounting for 72% of Vietnam’s stock market cap, banks group surpasses VinGroup
What’s going on here? Not long ago, the number of enterprises with billion-dollar capitalization on Vietnam’s stock market could only be counted on fingers, but with the growth of the stock market, combined with a series of big names simultaneously listing, that number increases sharply. As of January 22, 2020, on all 3 exchanges HoSE,…
Ep 93: Vietnam grapples with an unexpected surge in solar power
What’s going on here? Context: Solar power played almost no part in Vietnam’s energy mix in 2017. To speed the technology’s adoption, the government offered to pay suppliers a generous $0.09 for every kilowatt-hour produced by big solar farms, but only if they started operations within the following two years. By the end of 2019,…
Ep 81: Vietnam’s industrial growth is slowing down
Industrial GDP in the fourth quarter of 2019 increased by only 7.92%, much lower than that of the third quarter (10.42%) and the first 9 months of 2019 (9.56%). Growth of metal ore mining cannot make up for the whole mining industry Growth of the mining industry decreased by 0.92% in the fourth quarter of 2019. Crude…
Ep 47: Trump threatened Hanoi on trade
Key points Vietnam has emerged as a large beneficiary amid the U.S.-China trade deal. A new deal is solidifying Hanoi’s privileged position. Vietnam and the European Union on Sunday inked a first-of-its-kind trade deal that will eliminate 99% of tariffs on goods imported to the bloc. The U.S. government is signaling that it could be…
with HT 