Vietnam

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.

Sustainability
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).

logo's duurzaamheid

The Fundmanger writes

All over the world, the outbreak of the Corona virus has dominated last month’s news. The Vietnamese government stepped up its measures to contain the spread of Corona virus by closing some border gates to China, stopping flights to and from China, closing schools, quarantining people returning from the world’s largest impacted clusters (Korea, Italy, and Iran) and encouraging people to avoid crowded places. All these measures have proved to be effective with so far just 16 cases of infected persons. All of them are currently cured and discharged from hospitals. The effects of these measures are most felt in aviation, hospitality, entertainment and restaurants. 

The State Bank of Vietnam instructed commercial banks to reduce interest rates and to extend debt repayment dates for small and medium-sized enterprises. The Ministry of Finance introduced supportive tax policies for companies affected by the epidemic. Even though the short-term impact of the Corona virus may be material for the Vietnamese economy, the country might become a more attractive destination for FDI inflows. Vietnam has started to lure Chinese factories since last year during the US-China trade war and it will further strengthen such efforts as the current epidemic could well re-define the global supply chain: International companies may not only consider tariff differences, but also the stability of operations and the benefit of diversification. 

The VN-Index declined by 5.1%% in euro in February. Foreigner investors were net sellers of USD 135mn. The TCM Vietnam High Dividend fund lost 2.8%, whereas the benchmark ETF lost 5.8%. The outperformance versus the benchmark grew to almost 5%. The TCM Vietnam High Dividend Fund had the following characteristics at the end of February. The fund holds 32 positions. Consumer Staples and Materials are the main themes weighting 22.4% and 17.7% respectively. Within these sectors we currently find the most high dividend stocks which meet our criteria. The weighting on sector level depends mainly on the relative attractiveness of a stock/sector versus other stocks/sectors. The fund allocation can therefore deviate strongly from the Vietnamese benchmark indices. 

Downloads

Latest factsheet
Factsheet Vietnam 2020-02

Factsheets archive
Factsheet Vietnam 2020-01
Factsheet Vietnam 2019-12
Factsheet Vietnam 2019-11
Factsheet Vietnam 2019-10
Factsheet Vietnam 2019-09
Factsheet Vietnam 2019-08
Factsheet Vietnam 2019-07
Factsheet Vietnam 2019-06
Factsheet Vietnam 2019-05
Factsheet Vietnam 2019-04
Factsheet Vietnam 2019-03
Factsheet Vietnam 2019-02

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

Legal information
Key Investor Information Document (only available in Dutch)
Financial report 2018 (Caceis)
Semi-annual report 2019
Semi-annual report 2019 (Trustus)
Annual report 2018 (Trustus)
Annual report 2018
Semi-annual report 2018
Semi-annual report 2018 (Trustus)
Financial Report 2017 (Caceis)
Annual report 2017 (Trustus)
Annual report 2017
Prospectus (only available in Dutch)
Semi-annual report 2017
Financial-Report-2016 (Caceis)
Semi-annual report 2017 (Trustus)
Annual report 2016
Annual report 2016 (Trustus)
Conflict of interest policy 2019-04 (Trustus)
Certificate of Incorporation (Trustus)
Certificate of Incorporation
Licence

Disclaimer

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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