Day 4: VinaCapital and learning about investing in the future

Today we visited the office of VinaCapital, a large Vietnamese asset management group, to learn about how they interpret the future of the economy from an investment perspective. The economy of Vietnam is growing at a rapid rate as more foreign companies look to invest in the development process while utilizing the lower wages of the country to maximize their own profit. The presentation covered the factors that are driving the economy, such as industrialization and urbanization meaning more people are moving away from agriculture into the cities where they earn more in the factories. Vietnam is also looking to increase there trend of exporting more “high tech” goods rather than just labor, which has been the trend before recent memory. This site visit was to a very business oriented company, but as an engineer I was very pleasantly surprised with how the discussion was presented in a way that engaged me to think about the engineering principles involved in the work of VinaCapital. They seem to be really keen on how the infrastructure of Ho Chi Minh City needs to improve to allow housing and transportation for the incoming population from rural areas, mentioning the development of high rise apartments to replace some of the plentiful one or two story buildings. This involves very forward thinking planning because there could be multiple millions of people moving to the city in the very near future. This is not a new idea however as some owners of these current buildings have already been planning for this for over five years now. It will definitely be interesting to see how Vietnam continues to climb the economic tree in the coming future with events like the tension of the American/Chinese trade relations helping out their agenda. We also learned about the VinaCapital Foundation, who works with VinaCapital to help youth with medical issues such as heart problems or deafness try to recover and become normal members of everyday society. This was nice to see that a company like VinaCapital is giving back to help the people of Vietnam, which reinforces the idea that the quality of life is better here than other southeast Asian countries, another reason that the economy continues to blossom.

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