Vietnamese stocks have a bright chance of being upgraded in the classification period on April 9.

(Dan Tri) - FTSE Russell's announcement assessed that Vietnam has the potential to be upgraded from a frontier market to a secondary emerging market.

Market rating organization FTSE Russell said it will announce the results of its assessment of national market classifications after the US market closes on April 8 (early morning of April 9, Vietnam time).

According to FTSE Russell's announcement, Vietnam is assessed as "potentially upgraded from Frontier Market status to Secondary Emerging Market".

The organisation also said that before reaching a final decision, it will conduct a rigorous and comprehensive consultation process. The specific schedule begins with a meeting of the FTSE National Classification Advisory Committee on March 4.

The regional equity advisory committees will then meet in the week commencing 10 March. The FTSE Russell Policy Advisory Council will meet on 20 March, and finally the FTSE Russell Index Governing Council on 2 April – six days before the official decision is announced.

At the most recent market rating in October 2024, Vietnam was still on the watch list for upgrading to Secondary Emerging Market.

Vietnam's stock market has a bright chance of being upgraded (Illustration photo: Dang Duc).

The Vietnamese stock market is assessed to be facing new opportunities in this upgrade period. Directing at the beginning of this year, Deputy Minister of Finance Nguyen Duc Chi stated that one of the key tasks that the securities industry needs to carry out this year is to meet the criteria for upgrading from frontier to emerging, bringing benefits to market participants.

Mr. Chi called this a task that "cannot be delayed or missed", a new step forward for the market to attract billions of dollars from foreign investors. The upgrading goal must be implemented and achieved this year.

The latest report of VNDirect Securities Company stated that Circular 68/2024 of the Ministry of Finance has established a legal framework for product development to meet the market upgrade criteria of both FTSE and MSCI.

By meeting the remaining two criteria of FTSE Russell, including pre-funding (pre-transaction margin) and the cost criteria related to failed transactions, VnDirect believes that FTSE Russell will have positive assessments of the Vietnamese stock market in the March assessment period. From there, the market can be officially upgraded to emerging in the September assessment period of this organization.

According to the above unit, the remaining MSCI upgrade criteria will be met in 2026. The Vietnamese market is likely to be officially upgraded to emerging market status by MSCI in the June 2027 review.

Source: https://dantri.com.vn/kinh-doanh/chung-khoan-viet-sang-cua-duoc-nang-hang-vao-ky-phan-loai-ngay-94-20250310151312525.htm