Following introduction of the new benchmark VN30 index, another new stock index will probably be created to serve foreign investors, according to Le Yen Quynh, a member of the committee established to oversee the VN30.

"The long-awaited VN30 is meant for domestic investors and does not account for ownership limits applicable to foreign investors," Quynh told the financial information website

Sound stocks such as Vinamilk (VNM) have already hit their foreign ownership ceilings, she noted. "Therefore, foreign investors are not necessarily able to invest in shares included in the new basket to calculate the VN30."

The VN30 was a pilot programme with a new calcuting method, Quynh explained. "Since it is in an initial pilot phase, the index will be set up for domestic investors only."

The HCMC Stock Exchange will later formulate a similar index for foreign investors, and stocks that have exhausted their room for foreign investors will be counted out of the basket, she said.

The exchange's plan is to develop a variety of specialised indices, Quynh said, with the VN30 likely to be rolled out next month.

"I hope the VN30 will reflect the intrinsic movements of the market and also offer new products for investors rather than close-end funds as currently," she said.

Quynh also said that if the southern exchange were merged with the Hanoi Stock Exchange, the committee would include shares listed on the northern bourse in the basket of shares used to calculate the VN30./.