Posted 3/9/2024, 12:00:00 AM
Vietnam Faces Hurdles in Pursuit of Emerging Market Status
- Vietnam's pursuit of emerging market status faces obstacles like requiring pre-funded accounts and processes for opening new accounts
- Removal of pre-funded account requirements seen as key for FTSE Russell upgrade, next review March 27
- Foreign investor caps in sectors like banking and large-caps are another hurdle, especially for MSCI upgrade
- Stock market has rallied 10% this year but foreign investors are selling, locals positioning for potential upgrade
- Caution warranted on future stock performance even if upgrade happens, citing Pakistan's experience