SSIAM VNFIN LEAD ETF Depositary Receipt (VNFIN24)

Overview

SSIAM VNFIN LEAD ETF is an exchange-traded fund that aims to replicate the performance of the VNFIN LEAD Index. This index comprises the leading financial sector stocks that are listed on the Ho Chi Minh Stock Exchange. The ETF is structured to utilize a passive investment strategy employing a full replication method. This means that the fund invests in all or nearly all of the component securities in proportion to their respective weightings in the index. This approach is designed to minimize tracking error while maintaining low operational costs for investors.

The SSIAM VNFIN LEAD ETF notably allocates its investments primarily to sectors such as commercial banks, securities companies, and state-owned commercial banks. As a result, the ETF enables investors to gain exposure to Vietnam's most significant financial institutions, which play a vital role in the overall market capitalization. Moreover, the ETF incorporates a mechanism for the creation and redemption of units through authorized participants, leveraging baskets of the underlying component securities. Each creation unit consists of 100,000 fund units, enabling efficient transactions.

This fund is tailored to serve both domestic and foreign individual and institutional investors who are seeking effective access to the performance of the financial sector in Vietnam. Managed by SSI Asset Management Co., Ltd. (SSIAM), the ETF adheres to the regulatory framework of Vietnam’s securities market while ensuring daily calculations and announcements of net asset values to uphold transparency for its investors.

Products and Services

SSIAM VNFIN LEAD ETF offers a range of products and services designed to meet the diverse investment needs of its clients:

• Exchange-Traded Fund (ETF)

  The primary product is the SSIAM VNFIN LEAD ETF itself, which allows investors to buy and sell fund units on the stock exchange throughout trading hours, thereby providing liquidity and flexibility in investment.

• Investment in Leading Financial Stocks

  The ETF provides exposure to a diversified portfolio of leading financial stocks listed on the Ho Chi Minh Stock Exchange. This includes significant investments in commercial banks, securities companies, and state-owned banks.

• Passive Investment Strategy

  SSIAM VNFIN LEAD ETF utilizes a passive investment approach, aiming to replicate the index performance closely. This strategy minimizes tracking error and helps maintain low operational costs, making it an efficient investment option.

• Transparent Operations

  The fund ensures transparency through daily net asset value calculations and public announcements. This allows investors to understand the valuation and performance of their investments in real-time.

• Accessibility for Investors

  The ETF is designed to cater to both individual and institutional investors. It enables them to invest in Vietnam's financial sector more efficiently, providing a simplified way to access a diversified range of leading financial stocks.

• Creation and Redemption Process

  Through the authorized participants, SSIAM VNFIN LEAD ETF facilitates a smooth creation and redemption process using baskets of component securities. This process allows for easy entry and exit from the fund based on market conditions.