Foreign stock investors see great bargains in Vietnamese shares in the medium and long-term and the market will likely be bullish if the government of Vietnam can tame inflation to ensure macro economy stability this year, state media said Thursday, citing foreign analysts.
“We will continue expanding our investment portfolios in Vietnam,” Andy Ho, CEO of VinaCapital told the Sai Gon Tiep Thi newspaper, noting that 30 per cent of the firm’s investment portfolios are poured in local shares.
Tim Dattels, CEO of TPG Capital, a U.S. fund management company said TPG is seeking to buy good shares in Vietnam and China.
“Vietnam is still a promising market,” Tim Dattels noted.
Foreign stock players are looking forward to see what policies the government will adopt to tame inflation but not hamper the growth rate and the health of the economy, analysts said.
Deputy Prime Minister Nguyen Sinh Hung told mass media Tuesday [February 26] that the government will take measures to balance supply and demand in the market.
Vietnam’s key index has fallen nearly 40 per cent since mid-October and the current doldrums will hamper the government plans to sell shares in big state-owned firms between now and 2010, analysts noted.
Vietnam shares ended down 1.2 per cent at 678.12 today as local players sold strongly after the government yesterday says February consumer price inflation at 15.67 per cent on-year, highest in more than a decade.
With an escalation of inflation local companies will face more difficulties this year.
Market leaders STB and SSI dropped 1 per cent and 4.1 per cent respectively today.
Foreign investors bought net VND62 billion (US$3.87 million) of Vietnamese stocks Wednesday, out of a total VND579 billion traded, the Ho Chi Minh Securities Trading Center said. (Saigon Marketing, cafef.channelvn.net)
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