SOME WAYS TO INVEST IN VIETNAM

PART TWO - Market Vectors Vietnam ETF (NYSE: VNM)

Political stability and modernisation, as well as favorable demographics, geography and growth fundamentals, make Vietnam one of the most dynamic economies in the entire World. It has been growing at an average rate of about 7% during the past decade. The previous article was dedicated to foreign companies engaged in Vietnam and listed in NYSE, NASDAQ and LSE. Another way to invest in Vietnam is to buy funds listed in these stock exchanges. There are various funds but the only ETF among them is the Market Vectors Vietnam ETF (NYSE: VNM) http://www.vaneck.com/funds/VNM.aspx

The Market Vectors Vietnam ETF replicates the price and yield performance of the Market Vectors Vietnam Index (ticker: MVVNMTR) which contains publicly traded companies that generate at least 50% of their revenues in Vietnam. They are predominantly domiciled and primarily listed in Vietnam (69.5%). Offshore part of the Index includes foreign companies that generate at least 50% of their revenue in Vietnam and it consists of companies from Singapore (7.6%), United Kingdom (5.5%), India (4,9%), Thailand (4.2%), Canada (3.9%), Malaysia (3.6%) and Cayman Islands (0.8%). There are 32 securities and among them are 4 large caps, 13 medium caps and 15 small caps.

SECTOR COMPOSITION:

Financial: 45,4%

Energy: 23,9 %

Industrials: 13,4%

Materials: 8,5%

Consumer staples: 3,4%

Utilities: 2,4%

Consumer discretionary: 1,7%

Information technology: 1,3%

INDEX COMPOSITION – TOP 12 weights in %:

Bao Viet Holdings: 7,76% www.baoviet.com.vn

Hagl JSC: 7,64% www.hagl.com.vn

Petrovientam Fertilizer & Chemical: 5,30% www.dpm.vn

Vietnam Construction & Import Export: 5,09% www.vinaconex.com.vn

Oil & Natural Gas Corp. Ltd.: 4,91% www.ongcindia.com

JSC Bank for Foreign Trade of Vietnam: 4,68% www.vietcombank.com.vn/en/

Kinhbac City Development Corp.: 4,53% www.saigoninvest.com

Capitaland Ltd. 4,48% www.capitaland.com

Vietnam JS Commercial Bank for Industry & Trade: 4,25% www.vietinbank.vn

Talisman Energy, Inc.: 3,89% (NYSE: TLM) www.talisman-energy.com

Premier Oil Plc.: 3,52% (LSE: PMO.L, OTC: PMOIY) http://www.premier-oil.com/render.aspx?siteID=1&navIDs=19,307

Charoen Pokphand Foods: 3,40% www.cpfworldwide.com