Mirae Asset Becomes First Overseas Asset Manager to Enter Vietnam ETF Market

First Foreign Asset Manager to List ETF on Vietnam Stock Exchange
Investing in 30 Leading Local Listed Companies, Including Those Not Available for Direct Investment

[Asia Economy Reporter Minwoo Lee] Mirae Asset Global Investments has listed an exchange-traded fund (ETF) investing in 30 leading Vietnamese listed companies on the local market. This is the first time a foreign asset management company has listed an ETF on the Vietnam market.

Mirae Asset Global Investments announced on the 9th that it listed the 'Mirae Asset VN30 ETF' on the Ho Chi Minh Stock Exchange on the 8th (local time).

This ETF invests in 30 representative leading Vietnamese companies such as Vingroup, Vietcombank, and Vinamilk. It includes stocks that are not available for direct foreign investment, making it an efficient investment tool expected to benefit from Vietnam's economic growth.

The underlying index, the VN30 Index, consists of 30 stocks selected from those listed on the Ho Chi Minh Stock Exchange based on market representativeness factors such as market capitalization and liquidity. Rebalancing (weight adjustment) is conducted once quarterly. Stocks with a free float ratio below 10% among the top 50 companies by market capitalization are excluded, and the index is calculated based on the top stocks by average daily trading value over the past six months.

The strategy pursues full replication of the stocks included in the underlying index in equal proportions to ensure that the ETF's volatility closely tracks that of the index. As of the end of last month, the VN30 Index accounts for 76% of the total market capitalization of Vietnam. This product can also be invested in domestically through securities firms such as Mirae Asset Daewoo that offer overseas stock trading.

Since establishing its Vietnam office in 2006, Mirae Asset Global Investments has steadily provided fund management and advisory services. In 2018, it established the first local subsidiary of a domestic asset management company in Vietnam. Last year, it also launched a public equity fund targeting local investors.

So Jinwook, head of Mirae Asset Global Investments (Vietnam) said, "Following the launch of the public fund last year, the listing of the Mirae Asset VN30 ETF has laid the foundation to lead both the active and passive fund markets. We will strive to expand our Vietnam business by securing a track record and enhancing brand awareness, while providing effective Vietnam investment solutions to Korean investors."

This content was produced with the assistance of AI translation services.