At this time, should new investors participate in the stock market?

Securities expert Nguyen Minh Giang, Head of Asset Management Department, Mirae Asset Securities Joint Stock Company shared when talking to Hanoi Moi reporter about the market.

- Before the decline on August 15, the stock market had experienced a series of 9 consecutive increasing sessions and reached a historical high. What factors helped the market develop so positively, sir?

Securities expert Nguyen Minh Giang, Head of Asset Management Department, Mirae Asset Securities Joint Stock Company. Photo: NVCC

- I think the biggest driving force for the market to increase strongly in recent sessions is cash flow. Cash flow into the market is very strong. Liquidity has continuously increased, reaching over 70,000 billion VND in one session. Although profit-taking pressure from investors is very large, strong demand has helped the market quickly balance within the session or into the next session.

Strong cash flow into the market is related to expectations for the banking group. On August 12, the State Bank issued Circular 23/2025/TT-NHNN amending and supplementing a number of articles of Circular 30/2019/TT-NHNN on compulsory reserves of credit institutions and foreign bank branches. Accordingly, credit institutions receiving compulsory transfers of specially controlled banks will have their compulsory reserve ratio reduced by 50%.

This is good news. Therefore, banks are the leading group pulling the market up and anchoring the VN-Index. Along with that is the spread of other sectors such as public investment. This group is also a highlight in the market in recent times when there are stocks increasing with great expectations in the context of the Government's decision to organize the groundbreaking ceremony, simultaneously inaugurating about 250 works and projects at 80 points across the country on August 19.

In the securities group, in addition to expectations of market upgrade, attracting investors' attention is information about the establishment of a digital asset exchange. Several securities companies may be selected to implement this, so investors expect the securities group. Regarding the establishment of a digital asset exchange, the Military Commercial Joint Stock Bank (MB) signed a Memorandum of Understanding on technical cooperation with Dunamu - the operator of Upbit, a major Korean cryptocurrency platform.

Dunamu will support MB in establishing a cryptocurrency exchange in Vietnam, and participate in building a legal framework, system and investor protection mechanisms related to digital assets... With the above information, MBB shares reacted very well. This is positive information, a highlight that has helped the market grow strongly in recent times.

After 9 consecutive sessions of increase and the VN-Index reaching a new peak, on August 15, the market decreased mainly due to profit-taking pressure, because recently investors have made profits by buying most stocks in all sectors. This is a normal development.

- So what is your forecast for the market next week and from now until the end of the year?

- I think that next week, the market will continue to face profit-taking pressure. Investors need to observe whether the profit-taking pressure is strong or not. Profit-taking pressure during the session goes hand in hand with whether there is demand or not. If demand remains strong, the VN-Index may continue to rise and stay at a high level. On the contrary, if profit-taking pressure is strong but demand is weak, the market will face a healthy adjustment to move up.

From now until the end of the year, with the current strong cash flow continuing into the market, I predict that the market will continue to increase strongly, VN-Index can conquer the 1,700 point mark, even 1,800 points.

The reason I make such a forecast is because the current management policy is loose, which is very good for investment channels such as stocks to increase strongly. Not to mention, with the compensation for land clearance for the North-South high-speed railway project, it is predicted that a large amount of money will enter the market.

In addition, public investment disbursement continues to be promoted to achieve the target of 100% disbursement rate this year. The issued policies all focus on economic development.

As mentioned, the establishment of a digital asset exchange will boost the stock market because when the exchange is established, banks, securities companies, and technology companies will participate in the operation. These businesses are all listed on the exchange, so it will stimulate investment cash flow. The increase in the price of those businesses' stocks will spread to stocks in the industry...

Overall, from now until the end of the year, the stock market will develop positively and continue to rise. If the market corrects in the coming time, it will only be a correction to create stronger momentum for the market to conquer higher levels.

- The market is at a record high. So, do you think new investors should enter the market at this time?

- I think the market will continue to increase, so new investors can still participate in the market at this time. However, in a hot market like the current one, new investors will not have much experience. Therefore, they need to pay attention to three things.

First, equip yourself with good knowledge and find a reputable investment consultant and guide.

Second, choose a promising business or industry group with clear growth expectations.

Third, appropriate capital allocation, should apply partial capital allocation strategy.

- Thank you very much!

Source: https://hanoimoi.vn/thoi-diem-nay-nha-dau-tu-moi-co-nen-tham-gia-thi-truong-chung-khoan-712843.html