Foreign funds reap gains of buying domestic stocks
Foreign funds reap gains of buying domestic stocks
Three foreign funds bought 17.85 million shares of PetroVietnam Drilling Services (PVD) in July last year and have since reported profits of VND1.2 trillion (US$56.6 million).
The funds, including Mutual Fund Elite, Private Equity New Markets II and VinaCapital Viet Nam Opportunity Fund, purchased at the issue rate of just VND45,600 ($2.1) per share. PVD has since climbed to VND100,000 ($4.7).
Specifically, Mutual Fund Elite earned VND655 billion ($30.9 million), Private Equity New Markets II held VND318 billion ($15 million) and Private Equity held VND196 billion ($9.2 million). In addition, these funds received dividends at 10 per cent.
PVD enjoyed a profit of VND1.3 trillion ($61.3 million) in the first six months this year, increasing 150 per cent compared to the same period last year. Foreign ownership in the company is currently over 40 per cent.
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