Once only losing to Tesla, VFS shares fell miserably, VinFast boss said he was not surprised
VinFast CEO Le Thi Thu Thuy said the recent VFS stock price fluctuations are not worrying. VinFast's leader
For a long time, the only way for investors to access the Southeast Asian market was to buy Sea shares. Today, with the appearance of Grab, VinFast, and possibly VNG, more and more companies are helping investors increase their opportunities to access the market.
In a recent interview with DealStreetAsia, Mr. Bob McCooey, Vice President of Nasdaq, said investors are finding new opportunities from Southeast Asia as the Nasdaq stock exchange welcomes more companies from Asia.
The Asia-Pacific focus has expanded to other regions.
"For a long time, when talking about Asia, people only talked about China," said Mr. Bob McCooey. Chinese businesses on the Nasdaq include big names such as e-commerce companies Pinduoduo and JD.com, internet technology companies NetEase and Baidu, electric car maker Li Auto, entertainment platform Bilibili and other businesses.
Although the number of Chinese businesses listed in the US shows no signs of decreasing, these companies face strict inspections from US regulators. "We're seeing a record number of Chinese businesses listing here. Many of them are small-cap companies that list through SPACs and don't have data, " said Mr. Bob McCooey.
From the end of the first quarter of 2022 to January 9 this year, NYSE and Nasdaq delisted 13 Chinese companies for violating established listing standards. Meanwhile, 61 other Chinese companies, with a total market capitalization of 3 billion USD, have received warnings from the US-China Economic and Security Review Commission.
Therefore, Mr. Bob McCooey pointed out that the Asia-Pacific focus has expanded to other regions, such as Southeast Asia, and not only Chinese businesses.
What is the reason that helps Southeast Asian companies catch the "eye" of investors?
Recently, Mr. Bob Mc Cooey said that VinFast was the first Vietnamese company listed in the US, and Nasdaq was also very excited about VNG's IPO opportunity and witnessed the subsequent development of Eastern South Asia companies in US capital markets.
Several factors are driving this trend. First, it is much more difficult for Chinese companies to list because of the regulatory environment in the US. Second, several Southeast Asian companies have grown to the point where they are interested in doing an IPO. From an investor perspective, for a long time in the US, a diversified investment portfolio would be 70% stocks and 30% bonds.
For a long time, Israel - the country with the most companies listed in the US and China - held this position. Today, Nasdaq also sees companies from Southeast Asia, India and Australia attracting investors.
Investors are also interested in diversifying their portfolios by geographic location to access fast-growing markets. Countries like Vietnam, Singapore and Indonesia are home to great companies that will likely achieve rapid growth over the next few decades.
These companies only sometimes go through multiple rounds of funding, and therefore, it is difficult for investors to have the opportunity to invest capital while they are developing. For a long time, the only way for investors to access the Southeast Asian market was to buy Sea shares. Today, with the appearance of Grab, VinFast, and possibly VNG, more and more companies are helping investors increase their opportunities to access the market.
Also read: VNG Corporation has new chair » Vietnam News - Latest Updates and World Insights | Vietreader.com
Investors have seen growth in the middle class and huge capital flows into China. And now, it is happening again across Southeast Asia, where 600 million people live.
Sharing more about the fact that VinFast's VFS shares were listed on the Nasdaq on August 15 but encountered fluctuations, Mr McCooey emphasized that the market will have its valuation. If the company focuses on building a sustainable business, it will succeed as a public company.
