As Vietnam’s stock market has become increasingly attractive to foreign-invested enterprises (FIEs), many of them are planning IPOs and listing shares on the Hanoi and HCM City exchanges.

VietNamNet Bridge - Businesses are rushing to issue shares to increase their charter capital amid the stock price upswing that began last year. However, analysts warn that the movement may lead to an oversupply of stock.

The VN Index has been increasing sharply since the beginning of the year with capital flowing to finance and banking, real estate, and shares with a high capitalization value.

VietNamNet Bridge - Foreign capital flow, which was behind the strong rise of the Vietnam stock market in 2017, is expected to help the VN Index reach new highs in 2018.

The current rise of the stock market reminds investors of days 10 years ago, when any purchase would bring high profits to investors.

With the VN Index increasing sharply by 48 percent in 2017, stocks were the assets with the highest profitability. No other assets, except bitcoin, brought such impressive profits.

A representative of the Ministry of Finance (MOF) said after the sales of Sabeco and Vinamilk,  PetroVietnam, Binh Son Refinery (BSR), PV Power, PV Oil and the subsidiaries of the Vietnam Rubber Group (VRG) will be put on sale in 2018.

VietNamNet Bridge - Many records related to capital transfer affairs were broken in 2017. 

VietNamNet Bridge - Vietnam Airlines, Vietjet, Petrolimex, VP Bank and Vincom Real were the five ‘blockbusters’ that significantly increased the capitalization of the stock market.

VietNamNet Bridge - 2017 was a good year for Vietnam’s banking sector with big profits for many banks and a decreased bad debt ratio.

VietNamNet Bridge - The Vietnamese stock market in 2017 saw stock prices escalating, but not all investors could make money.

Vietnamese shares ended on a positive note on Friday as large-cap stocks remained positive and banks continued to draw investors’ attention for full-year earnings prospects.

VietNamNet Bridge - A number of small securities companies changed hands in 2017. The buyers were mostly from China and South Korea. 

The VN Index increased by 12.86 points on November 20, by 14.75 points on November 21, and 14.36 points on November 22. By November 24, the index had risen by 98.29 points, or 11.7 percent.

VietNamNet Bridge - More and more foreign capital is being poured into Vietnamese companies as the government speeds up the equitization and divestment process.

VietNamNet Bridge - The VN Index this year has reached new highs, with the 1,000 point threshold, an all-time high, expected to be very near.

Despite advantages in capital and experience, foreign-invested securities companies still are finding it difficult to cement their positions in the fledgling stock market.

VietNamNet Bridge - While Vietnam needs foreign capital to develop the economy, it also requires advanced technologies to become involved more deeply in the global supply chain.

The VN Index increased by 35.8 percent by November 20 compared with the 2016 closing trading session, making the stock market one of the fastest growing markets in the world. 

Vietnamese commercial banks are planning to sell a stake in their company to foreign investors to attract capital and hasten their restructuring before listing shares on the bourse.