VietNam Holding (VNH ) has released its annual report for the year ended 30 June 2025, reporting lower NAV for the year but a constructive medium-term outlook. The board also highlighted active discount control and continued investor engagement. 

For the year, NAV per share fell 2.5% while the Vietnam All Share Total Return Index rose 9.8%. The share price declined 7%, reflecting the NAV movement and a wider discount. Total net assets were USD 117.6 million; year-end NAV per share was 406.4p, with the share price at 338 p. 

Management notes a bifurcated market: foreign investors were net sellers, while Vietnam’s large domestic investor base concentrated flows into a handful of index heavyweights, impacting relative performance. Even so, over five years the manager has delivered an average 17% compound annual growth in NAV after fees, and the company says it maintained the narrowest discount among the three London-listed Vietnam funds, with a five-year total shareholder return of 117% versus 68% for VEIL and 64% for VOF. 

Looking ahead, Vietnam’s market plumbing has improved with the KRX trading system launch in May. The manager views this as a potential catalyst for FTSE Russell to upgrade Vietnam from Frontier to Secondary Emerging Market as early as October 2025. Meanwhile, the government targets 8–8.5% GDP growth in 2025 after year-on-year growth of 7.52% at 30 June, and it is pursuing structural reforms including the consolidation of provinces from 63 to 34, civil-service streamlining, and plans for International Financial Centres in Ho Chi Minh City and Danang. 

Macro conditions remain fluid after higher US tariffs on Vietnamese exports earlier in the year, though subsequent negotiations appear to have moderated the impact. The Company continues to position the portfolio around long-term themes of industrialisation, domestic consumption and urbanisation. 

 

View from Vox

 

Short-term underperformance reflects market structure more than fundamentals. Discount control, steady five-year compounding and the possibility of an FTSE Russell upgrade set up a cleaner runway into 2026. If reforms sustain and liquidity deepens, the shares could benefit from renewed foreign inflows and improved sentiment toward Vietnam.