-- The world’s biggest stock-market slump is testing the resolve of Vietnam’s investing masses.
Retail traders make up about 85 per cent of the turnover on the benchmark exchange. But sentiment has soured as authorities have stepped up scrutiny into the fundraising activities of the nation’s property firms -- and made some key, high-profile arrests -- adding pressure to an economy struggling to keep inflation under control and growing debt burdens.
“One or two years ago, I did not even need to invite people to open trading accounts, but now the tables have turned,” Dang added. In a report last week, Fitch Ratings offered support to Vietnamese regulators’s efforts to “contain potential risks” in the real estate sector as “modestly positive.” However, Fitch added, those moves “could result in near-term financial system volatility.”