Changes to the FTSE Vietnam Index will be applied on Sept. 19, with expected impacts on the portfolios of a number of Vietnamese exchange-traded funds (ETFs).
The FTSE Group announced in its FTSE Vietnam Index Series Quarterly Review this month that shares of software producer FPT and real estate developer Hoa Sen Group (HSG) would be removed from the FTSE Vietnam Index, to be replaced by shares of food producer Masan Group (MSN) and Becamex Infrastructure Development Co (IJC).
FTSE would also add Phu Nhuan Jewellery (PNJ) to its FTSE Vietnam All-Share Index, while removing Agribank Securities (AGR), Minh Phu Seafood (MPC), Cotec Construction (CTD), Lam Son Sugar (LSS), Sacombank Securities (SBS), Southern Rubber Industry (CSM) and real estate developer Hoang Quan (HQC).
The FTSE Vietnam Index Series, including the FTSE Vietnam All-Share Index and FTSE Vietnam Index, was launched by the FTSE Group in 2007. The Vietnam All-Share Index is a broad market benchmark covering shares representing 90 percent of market capitalisation, while the Vietnam Index is a tradeable index comprised of companies that have yet to come close to their foreign ownership caps.
Market insiders predicted that two popular ETFs, the Market Vectors Vietnam (VNM) ETF managed by Van Eck Global and FTSE Vietnam Index X-Trackers managed by Deutsche Bank, would unload FPT and HSG shares while picking up MSN and IJC shares.
X-Trackers managed total assets of 230 million euros as of September 12, while VNM managed a portfolio worth 257 million USD, 68 percent of which was invested in Vietnam.
The VNM fund currently holds 825,000 FPT shares out of total 193 million outstanding shares, and 4.3 million HSG shares out of total 317 million outstanding shares./.
The FTSE Group announced in its FTSE Vietnam Index Series Quarterly Review this month that shares of software producer FPT and real estate developer Hoa Sen Group (HSG) would be removed from the FTSE Vietnam Index, to be replaced by shares of food producer Masan Group (MSN) and Becamex Infrastructure Development Co (IJC).
FTSE would also add Phu Nhuan Jewellery (PNJ) to its FTSE Vietnam All-Share Index, while removing Agribank Securities (AGR), Minh Phu Seafood (MPC), Cotec Construction (CTD), Lam Son Sugar (LSS), Sacombank Securities (SBS), Southern Rubber Industry (CSM) and real estate developer Hoang Quan (HQC).
The FTSE Vietnam Index Series, including the FTSE Vietnam All-Share Index and FTSE Vietnam Index, was launched by the FTSE Group in 2007. The Vietnam All-Share Index is a broad market benchmark covering shares representing 90 percent of market capitalisation, while the Vietnam Index is a tradeable index comprised of companies that have yet to come close to their foreign ownership caps.
Market insiders predicted that two popular ETFs, the Market Vectors Vietnam (VNM) ETF managed by Van Eck Global and FTSE Vietnam Index X-Trackers managed by Deutsche Bank, would unload FPT and HSG shares while picking up MSN and IJC shares.
X-Trackers managed total assets of 230 million euros as of September 12, while VNM managed a portfolio worth 257 million USD, 68 percent of which was invested in Vietnam.
The VNM fund currently holds 825,000 FPT shares out of total 193 million outstanding shares, and 4.3 million HSG shares out of total 317 million outstanding shares./.
