Vietcombank Fund Management Joint Venture Licensed

The Bank for Foreign Trade of Vietnam (Vietcombank) and the Singapore-headquartered Viet Capital Holdings Pte Ltd have received a licence from the State Securities Commission (SSC) to set up a fund management joint venture.

 

Accordingly, Vietcombank Fund Management Joint Venture (VCBF) will have a registered capital of VND8 billion (US$506,300), of which Vietcombank contributes 51 per cent and the foreign partner 49 per cent.

 

VCBF is to establish and operate securities investment funds, along with providing financial and securities investment consultation.

 

Vu Viet Ngoan, Vietcombank general director, said the new business goes in line with the bank’s strategic plan to become a strong financial group.

 

“This will help us to diversify our investment activities and open a channel for businesses with strong financial potential to invest into the economy,” Ngoan said.

 

The joint venture has become the sixth fund manager in Vietnam among VietFund Management, Thanh Viet Management, Prudential Vietnam Fund Management, and Manulife Vietnam Fund Management, and a newly licensed Bao Viet Fund Management.

 

The State-owned Bank for Investment and Development of Vietnam (BIDV) is also seeking approval from the SSC.

 

BIDV plans a joint venture with an American partner to set up the fund management company, which will invest in securities in both listed and non-listed companies, real estate and natural resource exploitation. Contracts are underway with the potential partners for raising funds of around US$200 million.