|Analysts watch stock performance at FPT Securities Co. VNA/VNS Photo|
HÀ NỘI Open-ended funds recorded positive performance in the first half of this year with most enjoying profits.
VinaCapital Fund Management Joint Stock Company has announced that open-ended funds managed by the company recorded very good performance in the first six months of 2023, as well as the last three years.
As of June 30, 2023, the average annualised return of the VINACAPITAL-VESAF Investment Fund in the last three years reached 28.9 per cent per year; followed by VINACAPITAL-VEOF Fund with average annualised return of 22.1 per cent per year. With these performances, they were the two best-performing open-ended equity funds in the market in the period.
Meanwhile, VinaCapital's VINACAPITAL-VIBF fund recorded an average return in the last three years of 15.4 per cent. VINACAPITAL-VFF Fund achieved a return of 7.6 per cent per year in the period.
VinaCapital believes that the outstanding long-term investment performance of open-ended funds was due to its investment in high-quality companies with good cash flow, high-profit growth and good prospects, as well as competent management, and good ESG (Environmental, Social, and Governance) practices.
VinaCapital controlled risks by selecting stocks of companies with competitive advantages and sustainable business performance, or buying stocks at low prices to increase the possibility of achieving expected profits.
According to Brook Taylor, General Director of VinaCapital Fund Management Joint Stock Company, open-ended funds managed by VinaCapital had continued to deliver long-term returns. This had proven the value the funds bring to investors and their ability to generate solid returns amid market fluctuations.
As of June 30, 2023, the total assets of four open-ended funds owned by VinaCapital reached VNĐ3.14 trillion, up 0.97 per cent over the same period last year. The funds attracted 40,772 investors as of June 30, 2023.
In the first six months of the year, the net asset value per fund certificate of the DC Corporate Investment Fund (DCBC) increased by 11.37 per cent. Currently, the investment portfolio of the fund is holding stocks of companies with good profit expectations in the second quarter of 2023 such as banks, software, and steel firms.
Dragon Capital's Dynamic Securities Investment Fund (DCDS) saw an increase in net asset value per fund certificate of 14.68 per cent.
Open-ended funds of SSI Fund Management Joint Stock Company (SSIAM) also outperformed the market in the first half of this year.
Of which, the return of SSI Sustainable Competitive Advantage Investment Fund (SSI-SCA) reached 16.45 per cent in the first six months of this year, with a large contribution from growth stocks such as FPT Corporation (FPT), Hoà Phát Group (HPG), Sacombank (STB), and Quảng Ngãi Sugar JSC (QNS).
According to fund management companies, although Việt Nam's economy has not yet overcome a period of difficulties and slow growth, the Government has continuously emphasised the implementation of measures to support enterprises in production and business, requiring banks to reduce lending interest rates.
Bloomberg data shows that profit growth in 2024 of listed companies is forecasted to reach over 20 per cent. In terms of valuation, the VN-Index is trading at a price/earnings (PE) ratio for 2023 of 11.5 times, still in the undervalued area for the past 10 years.
Investment funds said that this valuation is still an attractive opportunity for long-term investment. Currently, investment funds have reduced their proportion of cash holdings and said they will continue to disburse in the near future. However, there will be a large divergence during the recovery. VNS