Dragon Capital has recently reported the performance of its two funds namely VEIL and VGF as of August 30.
Accordingly, as of August 30, the total net asset value (NAV) of VEIL and VGF (two funds specialising in investing in stock) reached $587.36 million, down $19.75 million from August 2.
Of which, the NAV of VEIL posted a fall of up to $18.29 million (down 4.4%).
The prices of stocks in the portfolio of listed shares saw a strong fall after the arrest of banking tycoons Nguyen Duc Kien and Ly Xuan Hai and therefore the NAV of these two funds declined. From a gain of $37 million in the first two weeks of August, the NAV of these two funds decreased $19 million from early August.
VEIL is now the second biggest foreign fund operating in Vietnam’s stock market, after VOF fund of VinaCapital, according to the statistics of Rothchilds Securities Co.
Also in August, the VN Index of Hochiminh Stock Exchange (STC) declined 4.5%. The NAV of the top five shares in the portfolio of these two funds was also affected.
VEIL’s NAV reached only $393 million, equalling to the NAV on each fund certificate at $2.26 and the discount rate at 14.16%.
VGF’s NAV reached $194.3 million, equivalent to NAV on each fund certificate at $15.02 and the discount rate at 14.42%.
Especially, VEIL’s NAV in its investment in ACB-coded share dropped $15.69 million when the proportion of ACB shares in the fund’s NAV decreased from 17.22 percent in August 2 to 14.03 percent on August 30.
According to the data, since after the arrest of Kien, the price of ACB-coded share tumbled 22.8 percent (from 25,700 dong each on August 21 to 20,000 dong each on August 30) with four sessions of hitting the floor price and marked the second biggest fall in August on Hanoi Stock Exchange (HNX).
In contrast to ACB share, with the strongest gain on the southern bourse in August (up 19.5%), the NAV of the investment of both VEIL and VGF in VNM-coded share increased by $8.49 million and $6.29 million in the period. VNM was also the single share in the top five gainers in NAV.
VNM share accounted for about 55 percent of the total portfolio of the two funds.
In August, VNM closed the shareholders’ book to pay 20 percent cash dividend and bonus shares to the existing shareholders at the ratio of 2:1. VNM-coded share increased from 91,000 dong to 103,000 dong in the reporting period of these two funds.