Fubon FTSE Vietnam ETF Rides Vingroup Stocks to Record Performance Despite $89M Outflows

Overview

Fubon FTSE Vietnam ETF, a Taiwan-based fund, has posted a cumulative return of 27.47% since its inception in May 2021, nearing its all-time high. The fund’s outperformance is largely attributed to its concentrated holdings in Vingroup ecosystem stocks, particularly Vinhomes (VHM) and Vingroup (VIC). However, despite the strong returns, the fund has experienced net outflows of over $89 million in 2026, consistent with persistent foreign selling across the Vietnamese stock market.

Key Facts

• Fubon FTSE Vietnam ETF’s cumulative return from May 2021 to April 2026 reached 27.47%, close to the March 2025 peak of 28%.
• The fund’s net asset value stood at over TWD 12.3 billion (approximately VND 10.3 trillion) as of May 28, 2026.
• VHM (Vinhomes) is the top holding with 9.36 million shares, representing 13.33% of the portfolio.
• VIC (Vingroup) is the second-largest holding with 6.34 million shares, accounting for 12.92% of the portfolio.
• Combined, VHM and VIC make up over 26% of the fund’s total assets.
• Other major holdings include HPG (8.83%), VCB (5.75%), MSN (5.52%), and SSI (5.14%).
• The fund has experienced net outflows of over $89 million (approximately VND 2.3 trillion) since the start of 2026.

What Happened

According to data from Fubon FTSE Vietnam ETF, the fund’s investment performance has reached its highest level since inception. The strong performance is directly linked to the recovery and rally of key blue-chip stocks, particularly the Vingroup ecosystem. As of May 28, 2026, the fund’s net asset value was over TWD 12.3 billion, with equities comprising 99.2% of the portfolio.

Despite the stellar returns, the fund has faced persistent net redemptions. Since early 2026, estimated net outflows have exceeded $89 million, meaning over VND 2.3 trillion worth of Vietnamese stocks have been sold. This trend is not unique to Fubon; foreign investors have been net sellers on the Ho Chi Minh Stock Exchange (HOSE) every month in 2026, with cumulative net selling reaching approximately VND 63.8 trillion.

Market Context

On May 28, 2026, VHM closed at VND 157,700, up 6.99% on high volume of 8.9 million shares. VIC closed flat at VND 210,800, while VRE gained 3.20% to VND 32,250. HPG, another top holding, closed at VND 24,000, down 0.62%. The strong performance of Vingroup stocks has been a key driver of the fund’s returns, but the broader foreign selling pressure reflects ongoing concerns about market liquidity and the potential impact of Vietnam’s potential upgrade to emerging market status, which may trigger rebalancing by frontier market funds.

Strategic Significance

Fubon FTSE Vietnam ETF’s experience highlights a key dynamic in the Vietnamese equity market: strong fundamental performance by index heavyweights does not necessarily translate into sustained foreign inflows. The persistent net outflows suggest that structural factors—such as market accessibility, currency risk, and global portfolio allocation shifts—continue to weigh on foreign investor sentiment. For Vingroup stocks, the fund’s large holdings underscore their role as core portfolio positions for foreign passive investors, but the selling pressure may limit upside if outflows persist.

What to Watch

• Monthly foreign net flow data on HOSE to see if selling pressure abates.
• Any announcements regarding Vietnam’s potential upgrade to emerging market status by MSCI or FTSE Russell.
• Q2 2026 earnings reports from VHM, VIC, and other key holdings for fundamental confirmation.
• Changes in Fubon ETF’s portfolio weights, particularly any reduction in Vingroup exposure.
• Policy measures from the State Bank of Vietnam or the Ministry of Finance aimed at attracting foreign capital.