Vietcap’s update call with FTSE Russell on Emerging Market upgrade
- FTSE reviews its Emerging Market basket twice a year, March and September. The soonest Vietnam can be upgraded is September 2024, given Vietnam can facilitate Non-Prefunding.
- Effective date for reconstitution can be 6-12 months after the announcement. Execution could be implemented in more than 1 tranche until the full weightings are achieved, depending on Vietnam market’s ability to absorb demand.
- There is no required period on how long the market will have to implement Non-Prefunding before the review. FTSE will rely on feedback from the international community to determine if Vietnam’s Non-Prefunding model operates efficiently
- Removal of foreign ownership limits is not a strict requirement, English disclosure is not a requirement.
- Vietcap’s rough estimate for top 30 stocks (by market cap) that might be eligible for the FTSE Emerging index inclusion. (This is not the official forecast as data might change significantly from now until the official announcement): VCB, VHM, HPG, VIC, VNM, MSN, SAB, STB, VJC, VRE, SSI, LPB, SHB, EIB, DGC, NVL, BVH, HVN, POW, VND, KDH, KBC, VGC, PDR, VCI, GEX, KDC, DCM, DIG, PVD.
Powered by Froala Editor
