VFMVFB – 05/2017
VFMVFB has generated outstanding results in April and May 2017 with the month-on-month return achieved 1.83% in May and 1.44% in April. The Net Asset Value per Share (NAVPS) of VFB achieved VND 14,571.05 as of 31/5/2017 compared to VND 14,309.51 as of 30/4/2017. VFB’s NAVPS has increase 5.44% year-to-date and 11.95% year-on-year. This return outperformed the internal reference benchmark (HNX 3-year Bond Total Return – HNX 3Y TRI) which return 1.04% in May and 3.29% year-to-date. The outstanding results stem from the strong drop of long-term government bond yield. As of the end of May 2017, VFB’s allocation in government bond did not change in comparison to April, while the allocation in certificate of deposits (CDs) increased from 33.6% to 47.1%. As a result, the fund’s cash proportion decreased to 3.46% from 18.5% after the fund invest in new CDs as planned in April 2017.
It is expected that in the near future, VFB will continue to invest in Government Bonds and to actively seek for trading opportunities under the circumstances of yield fluctuations on secondary market. Besides, the next goal for VFB in the upcoming months is also looking for Corporate bonds and Certificates of Deposits investment opportunities under the circumstances that government bond yield have limited room to decrease in the second half of the year.