Two 59%+ winners, four above 25% in Aug – How this AI model keeps picking winners
HANOI - Vietnam Enterprise Investments Limited (VEIL) has announced a robust financial performance for the year ending December 31, 2024, with the net asset value (NAV) total return reaching 14.3% in GBP terms. This figure surpasses the VNI Index’s total return of 12.1%. Despite these gains, the share price total return was recorded at 9.9%, influenced by an expanding discount.
The positive results have been attributed to the strategic leadership of Tuan Le Anh, who assumed the role of lead portfolio manager in February 2024. Under his management, VEIL diversified its investment portfolio and increased its stake in mid-cap companies, contributing to its outperformance relative to the VNI Index.
Vietnamese market earnings growth has been identified as a key driver of the upward price movement, which has counterbalanced the effects of foreign investor outflows amid a general aversion to emerging markets.
In the context of the early 2025 outlook, Vietnam faces economic uncertainty due to potential high tariffs proposed by the U.S. President, although negotiations are underway to potentially reduce the rates. The investment team at Dragon Capital, which manages VEIL, recognizes the challenges posed by tariffs but also notes the limited direct impact on company revenues. They anticipate high single-digit earnings growth for the Vietnamese market in 2025, despite these external pressures.
The portfolio’s performance benefited significantly from strategic adjustments, including the addition of 13 new positions and the reinforcement of eight high-conviction holdings. The portfolio’s exposure to financials, real estate, consumer discretionary materials, and IT sectors, as well as small and mid-cap companies, has been instrumental in driving returns.
VEIL’s board has seen substantial changes over the past year, including the appointment of a new chair and two directors with expertise in London and Asian markets. Additionally, the management fee has been reduced, and the company has committed to share buybacks and a conditional tender offer.
The reported information is based on a press release statement and should be considered as such.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.