VinaCapital VN100 ETF · HOSE:FUEVN100
VinaCapital VN100 ETF — VinaCapital — VinaCapital 2022 Investor Conference
23 slides from VinaCapital VN100 ETF's conference presentation, October 2022
Slide 1: VinaCap conference
SNG 221006_VinaCap conference_v5 1 (003)
Slide 2: Outlook on Vietnam's Economy
ké VinaCapital Outlook on Sieben: s Economy Michael Kokalari, Chief Economist 2022 Investor Conference “y 4 Mt) | 22 teri ETO W002 i
Slide 3: Vietnam Stands Out in 2022
y \/ VinaCapital Vietnam Stands Out in 2022 NIKKEI ASia Vietnam emerges as Asia's growth leader as China slows 27 September 2022 CLASSIFIED: PUBLIC
Slide 4: Vietnam's GDP Growth Decoupled from the World
y \/ VinaCapital Vietnam‘s GDP Growth “Decoupled* from the World Vietnam Retail Sales in 2022 (yoy) US Retail Sales in 2022 (yoy) 70% 70% 60% 60% 50% 50% 40% 40% 30% 30% ———______— 20% 20% 10% J 10% _afl ox “Eom eeig 2M22 = Mar-22) Apr-22, May-22 Jun-22 Jul-22_— Aug-22 2M22 Mar-22 Apr-22 May-22 Jun-
Slide 5: Vietnam's GDP Growth Decoupled from the World (cont.)
\/ VinaCapital Vietnam‘s GDP Growth “Decoupled“ from the World (cont.) Vietnam Manufacturing Output (yoy) US Industrial Production (yoy) 14% 14% 10% 10% NT a 2% 2% U LJ a a | | Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 b-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 * The Movement of Factories
Slide 6: No Stagflation in Vietnam
\/ VinaCapital No “Stagflation“ in Vietnam 10% CPI Inflation Vietnam (yoy) 10% 8% 8% 6% 6% 4% 4% 2% 2% 0% -2% 0% aa ‘y y \y Sy \y vy \y ‘Vv WW ha ye ae ay ak th te v e we oe » SX s Ss we we X se CPI Inflation USA (yoy) Vietnam Did Not Print & Spend Money During COVID-19 CLASSIFIED: PUBLIC
Slide 7: No Fiscal COVID Hangover in Vietnam
\/ VinaCapital No Fiscal “COVID Hangover“ in Vietnam COVID Fiscal Response as a % of GDP Government Budget Surplus/Deficit (2022F) 4% 2% ll 0% 25% a Vietnam 20% “D9, | 15% -4% 10% -6% -8% 5% i ° -10% 0% LJ | -12% 30% HE |‘ donesia HN ailand ME Velaysia MEE Philippines DE Usa Advanced Frontier Vietna
Slide 8: Vietnam's GDP Growth: 8% in 2022F, 6% in 2023F
y \/ VinaCapital Vietnam’s GDP Growth: 8% in 2022F, 6% in 2023F 9M22 2022F 2023F Pre-COVID Growth Growth Growth Average* GDP +8.8% |_+8.0% +6.0% +7.0% >| ised ist 416.8% 415.0% +7.0% +9.0% Sales Manufacturing +10.7% +9.8% +6.0% +12.0% Construction +8.6% +7.0% +16.0% +10.0% *Average Over 2015 - 2019
Slide 9: What We Expect in 2023
y \/ VinaCapital y What We Expect in 2023 Impact on GDP Growth (. Slower Export/Manufacturing Growth ) . ; -1.0% pts * Driven by Slowing Global Economy ; J I (. Slower Domestic Consumption I ) * End of Vietnam’s “Re-opening Boom”... -1.5% pts ... Partly Offset by Tourism Rebound ) (— > * Robust Infr
Slide 10: Risks & Non-Risks for Vietnam
4 VinaCapital Risks & Non-Risks for Vietnam Risks © Surging USD © Rising Interest Rates I~ Non-Risks ® China CLASSIFIED: PUBLIC
Slide 11: Vietnam Hiked Policy Rates to Protect the VN Dong
y \/ VinaCapital y Vietnam Hiked Policy Rates to Protect the VN Dong Vietnam FX Reserves Peer Comparison: FX Rates and Policy Rate USD bn FX Rate Depreciation Inflation-Adjusted Policy 120 + (YTD) Rate 110 + Vietnam -4.6% +1.1% 100 + 90 + Indonesia -6.1% -1.6% 80 + 70 + Malaysia -101% -2.2% all | Th
Slide 12: Vietnam's Modest Exposure to China
\/ VinaCapital Vietnam’s Modest Exposure to China ¢ Vietnam has Minimal Exposure to China’s Domestic Economy ¢ Vietnam Imports from China =—* Exports to US * 15%/GDP Trade Deficit A VIETNAM a 22% /GDP Trade Surplus * Circa */ of Vietnam-China Trade is in Electronics and Garments CLASSIFIED: PUBLIC
Slide 13: Can Vietnam Decouple from the Global Slowdown?
y \/ VinaCapital y Can Vietnam Decouple from the Global Slowdown? Three Factors Contributing to Vietnam’s Resilience: 1) Technological Advancement J 2) Geopolitical Positioning 3) Strong Demographics Rising High-Tech FDI 7 Vietnam's Unique is Driving Vietnam's Current Geopolitics Demographics & Econ
Slide 14: High Tech FDI is Pouring into Vietnam
\/ VinaCapital High Tech FDI is Pouring into Vietnam NIKKEI ASIa FINANCIAL TIMES Vietnam to make Apple Watch Vietnam to start making Apple and MacBook for first time ever Watch and MacBook Ehe New York Eimes NIKKEI Asia Big Tech Reconsiders the “Made in Samsung to begin making China” Way semiconduct
Slide 15: High Tech FDI is Pouring into Vietnam (cont.)
y \/ VinaCapital High Tech FDI is Pouring into Vietnam (cont.) < standard, — chartere aN S/C’s Annual Survey of Chinese Manufacturers: « Vietnam has been the #1 Re-location Destination Choice “For Years” ¢ Most Chinese Re-locations to Vietnam are “in the Electronics Sector” CLASSIFIED: PUBLIC
Slide 16: Vietnam is Moving up the Value Chain
y \/ VinaCapital Vietnam is Moving up the Value Chain The Smile Curve of f : I t Content of E t Manufacturing Economic Value Mpor vontent OF EXPOrs Higher Value | (Yo of Final Economic 45% Value that is Imported) Cran Rad») _ is Here ! —_L 35% x Sw Cierketing > > KG 25% ( (saver Purchasing > Eee aE?
Slide 17: High Tech FDI is Driving Vietnam's Economic Evolution
y \/ VinaCapital High Tech FDI is Driving Vietnam’s Economic Evolution —__ ts HARVARD 25, UNIVERSITY A Developing Economy’s Most Powerful Growth Driver is a Rise in the Complexity of the Products it Produces tHe LONDON SCHOOL or ECONOMICS ano POLITICAL SCIENCE FDI is Instrumental in Helping Economie
Slide 18: Vietnam is Emerging as a Winner from Deglobalization
Vietnam is Emerging as a Winner from the Era of Deglobalization Why more European firms are Choosing Vietnam Over China C L ASSI FI E D : PUBLIC
Slide 19: Katherine Tai quote on China's economy
“Until the day that China chooses a path to have its economy operate more like ours” Katherine Tai, USTR September 3, 2022 C L ASSI FI E D : PUBLIC
Slide 20: Trade Diversion from China to Vietnam
y \/ VinaCapital Trade Diversion from China to Vietnam Vietnam 2020 2021 Increase/ Balance Decrease With US $63b $81b +$18b With China -$35b -$54b -$19b The US - China Trade War is Heating Up on Bloomberg South China Morning Post China-US trade faces new threats in 2022, Biden Signs Order to Boost w
Slide 21: Demographics and Urbanization Still Powerful GDP Drivers
\d VinaCapital Demographics and Urbanization Still Powerful GDP Drivers Sustained Growth of the Middle-Class - Vietnamese Middle-Class to Grow > 10% Annually (McKinsey) Gains from Urbanization - Urbanization Remains < 40% with the Annualization Rate 2-3%0 Vietnam’s Demographics are Globally Unique +
Slide 22: 10+ More Years of Booming Consumption
Thousands 10,000 8,000 6,000 4,000 10+ More Years 2,000 Of Booming Consumption 0 20 30 40 50 60 70 80 90 1980 1990 2000 2010 2021 2030 2040 2050 2060 2070 2080 C L ASSI FI E D : PUBLIC
Slide 23: Contact and Disclaimer
4 VinaCapital 17th Floor, Sun Wah Tower 115 Nguyen Hue, District 1, Ho Chi Minh City, Vietnam P: +84 28 3821 9930 Email: ir@vinacapital.com Website: wwwvinacapital.com Ho Chi Minh City Hanoi Singapore DISCLAIMER The information contained herein has been prepared by VinaCapital (the “Company") and is