VinaCapital lists Việt Nam’s first ever strategic-beta ETFs

VinaCapital lists Việt Nam’s first ever strategic-beta ETFs

VinaCapital Fund Management Joint Stock Company has listed two strategic-beta exchange-traded funds, VINACAPITAL VNMITECH and VINACAPITAL VN50GROWTH, on the Ho Chi Minh Stock Exchange.

VinaCapital Fund Management Joint Stock Company lists two strategic-beta exchange-traded funds, VINACAPITAL VNMITECH and VINACAPITAL VN50GROWTH, on the Ho Chi Minh Stock Exchange on June 16. — Photo courtesy of the company

By pioneering strategic-beta ETFs in Việt Nam, both individual and institutional investors can directly participate in the country’s long-term economic growth story. 

The index-tracking funds operate under a clearly defined quantitative strategy, featuring transparent rules, periodic reconstitution, and automated rebalancing.

The custom, rules-based reference indices are designed to reflect key characteristics of Việt Nam’s market, incorporating sectors that drive economic growth, profit expansion, and liquidity, and to improve returns performance while effectively managing risk.

Unlike traditional ETFs that simply mirror broad market indices, strategic-beta ETFs combine passive management with data-driven portfolio construction. 

They track custom-built strategic indices based on factors such as value, growth, corporate quality, and volatility, seeking enhanced performance, better risk control, and the potential to outperform market benchmarks.

VNMITECH (fund ticker: FUEMITEC) tracks the VNMITECH Index, focusing on three key sectors: industrials, technology, and materials, the critical drivers of industrial modernisation, infrastructure development, and private sector growth in Việt Nam.

It offers selective exposure to leading companies in high-tech innovation, automation, advanced manufacturing, strategic materials, and modern logistics.

It employs sector weight caps, liquidity-based weighting adjustments, and scheduled reconstitution and rebalancing to ensure strong alignment with Việt Nam’s ongoing industrial modernisation and digital transformation.

VN50 GROWTH (fund ticker: FUEVN50G) tracks the VN50 Growth Index to provide exposure to 50 of the most promising large- and mid-cap companies selected from the VNAllshare universe.

The fund applies fundamental filters based on market capitalisation, liquidity, and corporate governance quality. 

It incorporates a percentile-based earnings-per-share growth ranking model to prioritise companies with strong and sustainable profit growth momentum.

With a diversified portfolio structure, capped at 10 per cent per stock and 40 per cent per sector, the fund is built to be flexible across market cycles while maintaining exposure to Việt Nam’s key growth drivers.

Brook Taylor, CEO of VinaCapital Fund Management Joint Stock Company, said: “The official listing of the two strategic-beta ETFs marks an important milestone, reflecting the growing maturity of Việt Nam’s capital markets.

“We believe that as the economy continues to move toward more sustainable and transparent growth, bringing these funds into trading will enable investors to access the market more efficiently and conveniently.”

Since their initial public offering closed on May 31, the ETFs have delivered an encouraging performance.

VNMITECH’s NAV has risen by 3 per cent and VN50 GROWTH’s 15.7 per cent. The VN-Index has gained 10.7 per cent during the period. 

Bizhub