VietNamNet Bridge - Of the five most popular investment channels, the real estate sector brings the most satisfactory profits as investors not only can expect profits from price increases, but also from property leasing.

Gold

The domestic gold price varied regularly in the first 10 months of the year because of fluctuations in the world market. 

On November 1, SJC gold in Hanoi was sold at VND35.75 million per tael. This means that those, who bought gold earlier this year, when the price was at VND32.55 million per tael, would make a profit of VND3.2 million, or 9.8 percent. The price increase was partially caused by the British voters’ decision to leave the EU.

The gold price soared sharply because of the news about the US election, but the gold market has cooled down. Analysts say there always latent risks with investments in gold, because the gold price heavily depends on monetary policy. The government is striving to mobilize gold among people as capital for economic development.

Dollars 

Of the five most popular investment channels, the real estate sector brings the most satisfactory profits as investors not only can expect profits from price increases, but also from property leasing.

In late 2015, the State Bank of Vietnam decided to ease the interest rate to zero percent for dollars deposited at banks by individuals and institutions. Since then, it has become an unattractive investment channel in Vietnam.

Those, who bought dollar earlier this year will take a loss if they want to sell dollars at this moment. The dollar was traded at VND22,450 per dollar at the beginning of 2016, whiich is now priced at VND22,355 per dollar only, a decrease of VND95, or 0.4 percent.

Bank deposits

With the ‘interest rate race’, where banks try to raise deposit interest rates to attract idle money from the public, depositors have opportunities to make high profits with deposits.

Most banks offer the interest rates of 6.2-6.4 percent per annum. With the inflation rate of 4 percent in the first 10 months of the year, the real profit depositors can pocket is 2.5 percent.

Securities

After it plummets, the stock market regained strength with prices of many shares having increased significantly. By November 1, the VN Index had increased by 100 points, or 20 percent compared with earlier this year.

Real estate

The 2016 real estate market is on a strong rise. The Ministry of Construction’s report to the National Assembly said the market is seeing sustainable development for five reasons 1) the selling price has increased by 1-5 percent 2) liquidity has improved 3) the market segment’s structure fits real demand 4) the inventory level is on the decrease and 5) lending to real estate sector is on the rise.


Kim Chi