Investors can share Vietnam’s trade-war gains

Article Excerpt

The Vietnamese stock market has done well over the past five years, but limitations on foreign investment in the country’s public companies have caused the VanEck Vietnam ETF to lag behind. However, the fund is one of the only ways for investors to gain exposure to the top Vietnamese companies. They’re now getting a boost as global manufacturers seek out an alternative to tariff-weary China. VANECK VECTORS VIETNAM ETF $15.92 (New York symbol VNM; TSI Network ETF Rating: Aggressive; Market cap: $457.2 million) give investors exposure to the largest publicly listed Vietnamese companies. The fund cuts some of Vietnam’s above-average political risk by investing part of its assets in firms outside of the country. Those firms nonetheless do 50% or more of their business in Vietnam. The approach is better than adding the thinly traded, or illiquid, shares of smaller domestic firms. The ETF holds a portfolio of 25 stocks, with the top 10 comprising a large 60% of its assets. They are Vinhomes (real estate,…

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