Awards seek benchmark for investment funds

Awards seek benchmark for investment funds

Vietnam’s first investment fund ranking programme aims to establish a transparent and independent benchmark for the country’s growing fund management industry, helping investors assess fund performance and supporting the mobilisation of longer-term capital.

Nguyen Son, chairman of VSDC. Photo: Duc Thanh

Speaking at the Vietnam Fund Awards (VFA) seminar on September 22, Nguyen Son, chairman of the Vietnam Securities Depository and Clearing Corporation, said the programme was launched under the Ministry of Finance’s plan to restructure the investor base and develop the fund industry.

After three decades of development, Vietnam’s stock market has become an important channel for medium- and long-term capital mobilisation, while the fund management industry has also expanded significantly..

"For the fund industry to become a stronger pillar of the capital market, investors need reliable and objective tools to assess fund performance and make informed decisions," he said. “Investors need reliable, objective and transparent benchmarks to identify, evaluate and select investment funds that are appropriate for them."

The VFA is designed to assess and recognise investment funds based on standardised data, methodology and an independent evaluation process, with the broader goal of strengthening transparency and professional standards in the fund management industry.

The evaluation process draws on a broad database and a standardised methodology informed by international experience. It is conducted by an evaluation council comprising independent experts from the SSC, stock exchanges, the Vietnam Securities Depository and Clearing Corporation, FiinGroup, VIS Rating, the Vietnam Institute for Directors, the Vietnam Bond Market Association, and the academic community.

“The entire evaluation process is based on three principles: objectivity, transparency and independence. The final results are the product of serious and impartial collective work,” Son said.

For its inaugural assessment, the programme collected data on and evaluated 100 securities investment funds operating in Vietnam that met its eligibility criteria, representing a large proportion of the funds currently operating in the market.

The funds had combined net asset value of around VND90 trillion ($3.5 billion) at the end of 2025, providing what Son described as a sufficiently broad basis to reflect the overall development of Vietnam’s investment fund industry.

Photo: Duc Thanh

VFA 2026 recognises leading funds across several categories, including equity, bond and balanced funds, as well as environmental, pension, exchange-traded, and open-ended funds that have recorded the fastest expansion of their investor base.

The launch of the awards comes as Vietnam’s stock market enters a new phase following its upgrade by FTSE Russell and the start of the process to join the FTSE Global Equity Index Series.

The development of the fund industry is closely linked to the broader restructuring of Vietnam’s investor base, particularly efforts to increase the role of institutional and professional investors.

Son said the new benchmark could contribute to raising standards across the industry and strengthening investor confidence as Vietnam seeks to develop a more professional and balanced investor base.

“I believe VFA will gradually become a reputable annual forum for Vietnam’s fund industry, where achievements are recognised, standards are promoted, challenges are discussed, good practices are shared, and stakeholders work together for the development of the industry as a whole,” Son said.

VIR