Email of the day
Comment of the Day

August 09 2010

Commentary by David Fuller

Email of the day

On Vietnam
"David and Eoin, thank you for your comments on Vietnam on 28th July in response to my question of the day before and the subsequent comments from Eoin are appreciated. You may be interested in this chart which shows the correlation between the index (VNINDEX) and the tracker (XFVT) has broken down since mid June. I wonder why that is and is this a beneficial time to buy the tracker (at a discount to the index)?"

David Fuller's view You are most welcome. I think the tracker's recent underperformance is due mainly to currency differentials as you can see with this weekly chart of GBP/VND.

(See also comments on Vietnam in the chart review below.)

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