FTSE Russell names 27 Vietnamese stocks for review
FTSE Russell has added 27 Vietnamese stocks to its global equity indices, marking a major milestone as Vietnam prepares to transition to emerging market status in September.
Global Index Inclusion
The additions span large, mid, and small-cap segments within the FTSE Global Equity Index Series. On August 21, the index provider announced the results of its semi-annual review for the Asia-Pacific region.
Three Vietnamese stocks were classified as large cap. These include VCB (Vietcombank), VIC (Vingroup), and VHM (Vinhomes). In the mid-cap segment, BID (BIDV), VPB (VPBank), and HPG (Hoa Phat) were added.
The same six stocks were also included in the FTSE All-World Index. This major global benchmark tracks thousands of securities across developed and emerging markets and serves as a reference for many investment funds.
Twenty-one stocks were added to the small-cap segment. Notable names across various sectors include FPT, Gelex, HDBank, Masan Group, Novaland, SSI Securities, Techcom Securities, and Vinamilk.
Timeline for Changes
According to FTSE’s announcement, the changes will take effect after the close of trading on Friday, September 18. This means the adjustments will be effective from the following Monday.
The index provider noted that the changes listed in the index review may continue to be adjusted through the close of trading on September 4. From September 7, the changes resulting from the index review will be considered final.
After that point, any further changes will generally be considered only in exceptional circumstances, in accordance with FTSE Russell’s policies and guidelines governing index recalculations.
This is a special review ahead of Vietnam moving from frontier market status to secondary emerging market status under FTSE Russell, effective September 21.
This move signals a significant shift for the country’s financial setting. While the inclusion of major state-owned lenders and large conglomerates like Vingroup and Vietcombank reflects their dominance in the local economy, the broader selection of mid and small caps suggests a growing diversification of the market’s investment profile. Historically, Vietnam’s stock market has been heavily weighted toward a few large, state-backed enterprises. The recent expansion of the index to include a wider range of smaller companies and non-state-owned businesses indicates a maturation process that investors have been watching closely for years.
Market Reforms and Integration
The State Securities Commission of Vietnam is strengthening its engagement with FTSE Russell to advance market reforms and deepen Vietnam’s integration into global capital markets.
On February 5 at the Ministry of Finance (MoF), Deputy Minister Nguyen Duc Chi received a working delegation from FTSE Russell, led by CEO Fiona Bassett.
The State Securities Commission and FTSE Russell have held talks on next steps following Vietnam’s stock market upgrade, focusing on index development and regulatory reforms.
The inclusion of Vietnam in the FTSE Global Equity Index Series is expected to attract more foreign capital. As the country’s economy expands, industrial parks are becoming engines of economic transformation.
