VinaCapial to Boost Investment in Vietnam’s Robust Consumer Sector: CEO

CEO of VinaCapital tipped the fund manager would increase investment in consumer goods companies in Vietnam.


                                  CEO of VinaCapital Don Lam. Photo: VnEconomy

VinaCapital, the largest cash manager in Vietnam, will pour more money into companies of the consumer sector which has enjoyed robust growth in the country, the firm’s Chief Executive Officer Don Lam told the Vietnam Economic Times.

It will target companies operating in the food, beverage, building material, real estate, education and health industries as Vietnamese consumers’ living standard is on the rise, Lam said.

“We remain optimistic and keen on opportunities in the private equity sector because VinaCapital can help them evolve and reap higher returns,” the CEO added.

In addition to the consumer sector, the fund manager sees opportunities in the infrastructure, banking and tourism real estate sectors.

Don Lam said VinaCapital continued to be prudentially bullish on Vietnam’s business environment in 2017, buoyed by macroeconomic stability and continued GDP growth.

However, he cautioned against inflation and interest rate increases in Vietnam as well as other external factors such as the U.S.’s trade protectionism, the devaluation of the Chinese yuan and the Fed’s interest rate hikes, among others.

He expressed hope that the government’s efforts to facilitate business will bring about benefits for both domestic and foreign enterprises.

The ongoing privatization and listing process of state-owned enterprises is beneficial to the stock market as well as state assets. Further, the increase of foreign ownership limits in banks is a positive step of the banking reform.

“These moves will enhance investor sentiment and help raise market liquidity,” he noted.

Tuan Minh / BizLIVE