Foreign investors net sellers for 24 consecutive sessions

On the main bourse, the Ho Chi Minh City Stock Exchange (HoSE), they have bought and sold stocks for VND18.3 trillion and VND25.5 trillion respectively in the last 24 sessions.

So far this year, they have withdrawn around VND10.3 trillion from the market, with highest sales recorded in conglomerate Vingroup’s VIC, steelmaker Hoa Phat Group’s HPG, conglomerate Masan’s MSN and dairy giant Vinamilk’s VNM.

The net sale has happened as foreign investors direct their cash towards markets with higher profits, said Le Quang Minh, head of research at Mirae Asset Securities Vietnam.

The U.S. is the most attractive market right now. When Vietnam’s benchmark VN-Index topped 2019’s closing mark last week, S&P 500 Index had s passed its own mark by 4.4 percent, he said, implying that the latter was proceeding to pre-pandemic levels at faster pace.

The fact that there are 30 Chineses companies preparing for an initial public offering of shares on the New York Stock Exchange shows that investors are still finding opportunities there, he said.

If there are no major purchases this week, foreign investors will mark the seventh net-selling month this year.

However, the net sale value in Vietnam was the lowest in Southeast Asia. The corresponding values in Malaysia, the Philippines and Indonesia are all over $2 billion. In Thailand, it is $9.2 billion, according to data Mirae Asset Securities Vietnam.

Minh said he expected the selling pressure to reduce soon as Vietnam’s economy shows good recovery potentials.