Vietnamese stocks are set to reach or even eclipse highs not seen since 2008 driven by strong economic growth, corporate earnings and buoyant consumer spending say strategists at Tokyo-headquartered brokerage, Mizuho Corporate Global.

Like most stock markets around the world, the country’s benchmark stock gauge, the VN Index, fell at the start of 2016 on worries over the outlook for the global economy and the state of the Chinese economy. Since then, however, the market has rallied by 11% off lows set on January 21.

“Vietnam’s equity market is among the strongest performers in Southeast Asia so far this year, eclipsing the performance of larger rivals. We expect big things from the corporate sector and believe earnings growth of close to 20%,” said Harry Coolidge, senior economist at Mizuho Corporate Global.

The consumer is making their contribution with robust retail sales and spending while the economy is targeted to grow at 7%, one of the world’s fastest growing despite the effect China’s slowdown has had on many other countries in the region.

“The positive macroeconomic outlook in Vietnam has been enough to keep FDI (Foreign Direct Investment) flowing into the country from advanced economies like the US and Europe. We think opportunities in the stock market are to be found in construction companies as the real estate market in key cities like Ho Chi Minh City and Hanoi continue to advance buoyed by strong demand from a growing middle class,” concluded Coolidge.

About Mizuho Corporate Global:
Mizuho Corporate Global is an independent, full-service brokerage, wealth management and business management concern dedicated to providing pioneering capital appreciation and wealth preservation solutions to affluent individuals and families and businesses.

Without exception, they place the welfare of their clients first and foremost and they take great pride in knowing that they are the first port of call for their investment and financial affairs. They constantly exceed our clients’ expectations by going the extra mile to deliver the service and, most importantly, the returns on investment their patronage demands.