Fund flows reverse back to Vietnam

KIS Vietnam's report noted that in Southeast Asia, in September, capital flows reversed, attracting light demand.

Specifically, about 30.6 million USD worth of capital was recorded in the region, ending a streak of 9 consecutive months of net selling pressure.

In terms of country-by-country developments, Singapore was a bright spot, attracting a net inflow of about $28.1 million during the month.

In contrast, capital withdrawal pressure remained strong in other markets in the region, with Thailand recording divestment value of US$64.8 million, Indonesia US$17.5 million and Malaysia US$22.5 million.

This development reflects the differentiation in capital flows, when only some markets maintain their attraction, while most regions still face prolonged net selling pressure.

For ETFs, Singapore continued to maintain its appeal, marking the fifth consecutive month of capital inflows, with a total value of about 196.6 million USD, a sharp increase of 392.8% compared to the previous month.

Meanwhile, Indonesia and Thailand recorded net sales, with values of 21.9 million USD and 19.2 million USD, respectively.

These figures mark a positive month of fund flows returning to the Southeast Asian market in general.

Previously, in August, capital flows in Southeast Asian countries still faced a strong net withdrawal trend. Specifically, about 653.6 million USD was withdrawn from the region, an increase of 159.8% compared to the previous month.

This figure marks the strongest divestment since 2022 so far.

Capital flows across Southeast Asian countries by month.

In Vietnam, last August also recorded a series of 4 consecutive months facing net withdrawal pressure, with the total capital withdrawal value reaching about 327.6 million USD, an increase of 126.7% compared to the previous month, KIS Vietnam said.

Besides, ETF funds are still a negative highlight when maintaining a strong net withdrawal trend, recording 146.4 million USD in capital outflow value, corresponding to a sudden increase of 729.3%.

However, in September, the capital flow reversed. Specifically, after 4 consecutive months of net withdrawal pressure, the Vietnamese market recorded a positive reversal of fund capital flow when it net absorbed back with a value of 33.1 million USD in September.

On the contrary, although the trend of capital withdrawal from ETF funds continues, the level has decreased significantly, to only 86 million USD, corresponding to a 41.3% decrease compared to the previous month.

KIS Vietnam said that regarding fund activities in the last week of the month, capital withdrawal pressure was mainly concentrated in VanEck Vietnam ETF (16.8 million USD), Fubon FTSE Vietnam ETF (9.3 million USD) and CTBC Vietnam Equity Fund (1.6 million USD).

In the opposite direction, demand was recorded at LionGlobal Vietnam Fund (2.2 million USD) and DCVFMVN Diamond ETF (1.6 million USD).

Source: https://baodautu.vn/dong-von-quy-dao-chieu-quay-lai-voi-viet-nam-d402334.html