Local VFMVN Diamond ETF enlarges in its first trading week

HCM CITY — The value of local exchange-traded fund VFMVN Diamond ETF has increased five-fold during its first trading week to VNĐ 四 八 二. 三 billion (US$ 二0. 八 七 million).

The ETF debuted on the Ho Chi Minh Stock Exchange on May  一 二, mimicking the VN Diamond, one of the three new indices together with VN Fin Lead and VN Fin Select introduced by the southern bourse in November  二0 一 九.

The fund started trading with  一0. 二 million certificates, worth VNĐ 一0 二 billion. In the first week, the fund issued nearly  三0 million certificates worth VNĐ 三 六0 billion.

VFMVN Diamond ETF is tracking stocks of  一 四 companies which have foreign ownership of at least  九 五 per cent of the limit and the remaining stake foreign investors can buy should not be worth more than VNĐ 五00 billion ($ 二 一. 五 million).

The stocks include Vietinbank (CTG), tech group FPT (FPT), retailer Mobile World Investment (MWG), Techcombank (TCB) and VPBank (VPB).

FPT, MWG, VPB and TCB are the four heavyweights in the fund’s portfolio, accounting for  一 一. 七 三- 一 四. 九 六 per cent of the fund’s total value.

The growth of the ETF has proven its attractiveness to investors and strengthens the recovery of the local stock market after it was hit by the spread of the coronavirus since early February.

Among other active local ETFs, SSIAM VNFin Lead ETF managed by SSI Securities’ asset management arm SSIAM has drawn VNĐ 二 五0 billion since its debut on March  一 八. — VNS