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Out of 800 Listed Stocks in Vietnam, 80 Are Liquid

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Out of 800 listed stocks in #Vietnam, 80 are liquid | #ChartOfTheDay

 

  • A rule of thumb is to not buy more than 20% of average daily turnover (ADTO) in a stock in a single day to avoid moving the price
  • An ADTO of US$0.5m would then allow for buying US$100,000 worth of shares in a single day
  • At cutoff 3-month ADTO of US$0.5m, only 80 stocks or 10% are liquid in Vietnam with an average market cap of US$1.4bn
  • While Vietnam has become a hot and interesting market with about 800 listed stocks, virtually 90% of stocks have almost no trading

 

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Posted in Chart of the Day, Vietnam