Updated: Mar 29
Vietnam is also making a name for itself in the world of business and finance. In February 2023, Vietnam's exports increased by 11%, industrial output increased by 3.6%, and consumer prices rose 4.3% year-over-year, according to the country's statistics agency. These figures demonstrate the continued growth and development of the country's economy.
As of the end of February, the price-to-earnings (P/E) ratio of Vietnam's top 100 stocks was 10.6x. This means that the average stock in Vietnam is trading at a lower P/E ratio than many other countries in the region, such as China, where the P/E ratio is around 15x. This may suggest that Vietnamese stocks are undervalued relative to their earnings potential.
Despite the positive economic indicators, the Hanoi index was down by 9% and the Ho Chi Minh index was down by 7.8% in February 2023. This is in contrast to the reference portfolio, which was down by 5.3%. However, it's important to note that short-term market fluctuations do not necessarily reflect the long-term performance of an investment.
Our company has demonstrated impressive long-term returns. Since being launched, Anh Thomas portfolio overall return is 613.8%, greatly outperforming both the Hanoi and Ho Chi Minh indexes (193.3% and 157.4% respectively). This suggests that investing in Vietnam can be profitable for those who are patient and have a long-term perspective.
However, like any investment, there are risks involved. Vietnam's economy is still developing, and there may be unexpected events or challenges that could impact the country's economic growth. Additionally, investing in Vietnam can be complex due to regulatory and legal issues, and foreign investors may face restrictions or difficulties when investing in Vietnamese companies.
Despite the challenges, Vietnam's growth potential is attracting attention from investors around the world. The country has a young and growing population, a strategic location in Southeast Asia, and a government that is committed to economic development. As the country continues to develop, there may be opportunities for investors to participate in this growth and benefit from the long-term potential of the Vietnamese economy.