Fund profile

TCM Vietnam High Dividend Equity is a high dividend equity fund. At least half of the fund capital will be invested in listed shares on the exchanges of Ho Chi Minh City and Hanoi. At the most 20% of the fund can be invested in the Vietnamese OTC market. This depends on the liquidity of this market. The funds investment policy will be aimed at achieving capital growth as well as dividend pay outs. In principle, the fund will pay out dividend once a year with an expected dividend yield of approximately 4% per annum.

The risk profile is high, due to investments being channelled into frontier markets in Vietnam. The relationship between global financial markets and the Vietnamese markets is low, because the latter are less sensitive to international developments. 

To achieve its objective, the Fund invests 95% to 100% of its total assets through TCM Investment Funds Luxembourg in units of TCM Vietnam High Dividend Equity (Lux). The Fund qualifies as feeder-structure.

TCM has entered into an agreement with Sustainalytics for the screening of the portfolios of the TCM equity funds on ESG criteria (UN Global Compact and Controversial Weapons).

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The Fundmanger writes

The COVID-19 situation in Vietnam improved substantially in October. The number of new cases fell from 9,000 in September to below 4,000 cases per day. Ho Chi Minh City reopened by gradually easing the lockdown measures. Production facilities were also permitted to resume production, workers must be vaccinated and conduct COVID-19 tests frequently. In strategy terms of fighting the virus Vietnam has changed its strategy from “zero-COVID” to the “new normal”.
The Ho Chi Minh Stock Index advanced strongly by 8% in October measured in euro, ending the month on a new all-time-high. Investors sentiment turned positive as many provinces removed their social distancing policies. The TCM Vietnam High Dividend Fund also recorded a strong month with a gain of 10.5%. The fund outperformed the broader market by 2.5%. Utilities in our portfolio outperformed the market with gains of more than 20%, also the Industry sector did well with gains on average of 13%. Basically the re-opening of the economy is expected to provide a boost in many sectors of the Vietnamese economy.
Next to this the Ministry of Planning & Investments asked for a stimulus package of almost $35bn (almost 10% of 2021 GDP) to support the economy. The package includes a tax reduction, public investments and public housing among others. With the current relatively low public debt level (the Vietnamese public debt to GDP ratio amounts to 48%) the financing shouldn’t be a problem. Once approved, it will be the biggest stimulus package ever, which should have a strong impact on the future GDP growth figures. The biggest risk seems to be a spiraling inflation, although currently the strong Dong and relatively low inflation figures might give room for the stimulus package to do its work without too much negative side effects.
The fund currently holds 35 positions across a number of sectors. The average TCM Vietnam portfolio P/E is at 11.8 and the underlying dividend yield currently amounts to almost 3.4%. The fund is tilted towards higher dividend paying (“value”) companies in the mid- and small cap area. Industrials and Consumer Staples are the main sectors weighting 31.5% and 14%. 


Latest factsheet
Factsheet Vietnam 2021-10

Factsheets archive
Factsheet Vietnam 2021-09
Factsheet Vietnam 2021-08
Factsheet Vietnam 2021-07
Factsheet Vietnam 2021-06
Factsheet Vietnam 2021-05
Factsheet Vietnam 2021-04
Factsheet Vietnam 2021-03
Factsheet Vietnam 2021-02
Factsheet Vietnam 2021-01
Factsheet Vietnam 2020-12
Factsheet Vietnam 2020-11
Factsheet Vietnam 2020-10

Additional information
information sheet fundmanagement
outlook 2020 frontier markets
outlook 2019 frontier markets
Citywire AAA ranking 2014-01

Legal information
Key Investor Information Document (only available in Dutch)
financial report 2020 (Caceis)
Semi-annual report 2021
Semi-annual report 2021 (Trustus)
Annual report 2020 (Trustus)
Annual report 2020
Sustainability risks 2021-03
Semi-annual report 2020
Semi-annual report 2020 (Trustus)
financial report 2019 (Caceis)
Annual report 2019 (Trustus)
Annual report 2019
Financial report 2018 (Caceis)
Semi-annual report 2019
Semi-annual report 2019 (Trustus)
Annual report 2018 (Trustus)
Annual report 2018
Prospectus (only available in Dutch)
Conflict of interest policy 2021-03 (Trustus)
Certificate of Incorporation (Trustus)
Certificate of Incorporation


No rights may be derived from this publication. You are referred to the prospectus and Key Investor Information Document for the fund's terms and conditions. These documents may be obtained from the website or the address mentioned below. The manager of the fund has obtained a licence for this fund from the Netherlands Authority for the Financial Markets in accordance with the provisions of the Financial Supervision.

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