Which asset classes returned the most money in H1?

The world’s largest cryptocurrency closed at US$62,678 on June 30. It gained at twice the rate of gold rings — in Vietnam, there is a marginal difference between the prices of rings and bullion — and four times that of the stock benchmark VN-Index.

The U.S.’s approval of Bitcoin exchange traded funds in January drove its price up to a new high of $73,750 in mid-March.

But it fell in the second quarter as investors took profits.

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Gold rings gained 20%, closing on June 30 at VND75.55 million per tael of 37.5 grams.

They continued to gain despite a strong decline in bullion prices in May and June as the State Bank of Vietnam intervened to bring domestic prices down to global rates.

Nguyen An Huy, a financial consultant at investment consultancy FIDT, said in Vietnam gold ring prices always track global developments, pointing out that the global spot gold rate rose 13% in the first six months.

But bullion was up only 4%.

Though it surged to a historic high of VND92.4 million in May, it quickly dropped a few weeks later as the central bank began to sell gold through four state-owned banks at 1.2% lower than market rates.

It has remained at VND76.98 million since early June.

The VN-Index rose 10% this year, ending June at 1,280 points.

In mid-June it had gone past 1,300 to its highest level in two years as it recovered strongly.

Nguyen Hoang Giang, chairman of brokerage DNSE, said stocks look a good bet in the near future as Vietnam’s GDP exceeded forecasts to grow at 6.42% in the first half of the year and the trade surplus was strong at over $11.6 billion.

The index would exceed 1,300 again by the end of the year, he forecast.

Bank deposit interest rates have remained low at 3-5%.

The property market is only now showing signs of recovery.

The Vietnam Association of Realtors said the number of inquiries and transactions increased by 30% this year, with the land, apartment and house markets seeing a noticeable recovery.