Vietnam had just 8 IPOs last year compared to 42 in Thailand and 59 in Indonesia, Vietnam News is reporting. The publication’s core argument is that a lack of IPOs, and subsequently diversity, is a turn off for foreign investors.
Of note, Thailand and Indonesia are both considered ‘emerging’ markets whereas Vietnam is still considered a ‘frontier’ market. This is due to a lack of key documentation in English and regulations that make brokers confirm foreign investors have the funds to pay for a trade before a trade is made.
See also: Ho Chi Minh City Stock Exchange (HOSE) could see ‘frontier’ to ‘emerging’ upgrade by 2025