Ten analysts surveyed paint a promising picture of country's stock markets.
With Vietnamese shares close to erasing the losses seen in 2008 this year, analysts surveyed by Bloomberg say the country’s indexes will continue climbing to reach their highest level since 2008 as a rising economy and earnings draw in investors.
After surging 11 per cent from this year’s low on January 21, the stock benchmark gauge in the survey extends gains to about 642 points by the end of the year, or 11 per cent above its close on March 14, according to the average of the ten analyst surveyed. The VN-Index rose 6.1 per cent in 2015, the best performer in Southeast Asia, while the MSCI ALL Country World Index slid 4.3 per cent.
Vietnam’s economic growth target of almost 7 per cent this year makes it among the fastest-growing markets in the world and offers investors a refuge in a region rocked by the fallout from China’s economic slowdown. Companies in the consumer, industrial, building, and power sectors will help drive a rally as they benefit from the fastest expansion in almost a decade, according to the analysts. Profits at companies on Bloomberg's benchmark gauge are projected to grow 14 per cent over the next 12 months.