Vietnam joins FTSE Russell emerging market benchmark

Vietnam has joined the FTSE Russell emerging market benchmark, marking a significant milestone for the country's stock market following years of reforms aimed at attracting foreign investors. The inclusion is estimated to redirect up to $6 billion into Vietnam's market, which has been on the watchlist since 2018 for entry into a category that also includes China and India.

Vietnamese stocks opened up 0.54% on Monday, led by banks, before retreating slightly. Anticipation of the upgrade helped revive foreign interest in Vietnamese equities, with overseas investors buying a net 2.7 trillion dong worth of shares last week. However, interest is expected to fade, with chief global markets officer Thomas Nguyen predicting the market will remain relatively subdued until 2027.

Brief written by urgent.news from Bangkok Post Business's own syndicated text. Machine-written — may contain errors; check the original before relying on it.