ETF VFMVN Diamond officially on bourse

 

Hanoi (VNA) - ETF VFMVN Diamond officially listed over 10.2 million fund certificates on the Ho Chi Minh Stock Exchange (HoSE) on May 12.

Coded FUEVFVND, the certificates, worth 102 billion VND (4.3 million USD), had a reference price on the first trading day of 11,693.36 VND per certificate and a band of /- 20 percent.

ETF VFMVN Diamond is a fund that mimics VN Diamond, one of the three indices, together with VN Fin Lead and VN Fin Select, introduced by HoSE last November.

Stocks must meet certain conditions in terms of market cap, transaction value, and foreign ownership to be included in the VN Diamond Index.

They should also have foreign ownership of at least 95 percent of the limit and the remaining stake foreign investors can buy should not be worth more than 500 billion VND.

The market cap of individual stocks is 15 percent of the index and any one industry must not account for more than 40 percent.

According to HoSE, ETF VFMVN Diamond can invest in all sectors of the stock market not prohibited by law.

Its investment assets include stocks listed and traded on Vietnamese stock exchanges, deposits at commercial banks in accordance with relevant legal regulations, derivative securities listed and traded on Vietnamese stock exchanges, and rights and assets associated with securities in its portfolio.

The listing of the fund certificates is expected help diversify products in the stock market and offer more investment options.

The State Securities Commission of Vietnam issued a certificate of registration to ETF VFMVN Diamond on April 27./.