VND Index
Encyclopedia
VND Index also known as the Trade Weighted Vietnam Dong Index, is a measure of the value of the Vietnam Dong (VND) relative to majority of its most significant trading partners.

History

VND Index is a measure of global strength of Vietnamese Dong relative to currency of Vietnam
Vietnam
Vietnam – sometimes spelled Viet Nam , officially the Socialist Republic of Vietnam – is the easternmost country on the Indochina Peninsula in Southeast Asia. It is bordered by China to the north, Laos to the northwest, Cambodia to the southwest, and the South China Sea –...

's major trading partners.

Methodology

In 2009, following regions whose currency
Currency
In economics, currency refers to a generally accepted medium of exchange. These are usually the coins and banknotes of a particular government, which comprise the physical aspects of a nation's money supply...

 has been selected into calculation of VND Index are: United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...

, China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...

, Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...

, Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...

, Singapore
Singapore
Singapore , officially the Republic of Singapore, is a Southeast Asian city-state off the southern tip of the Malay Peninsula, north of the equator. An island country made up of 63 islands, it is separated from Malaysia by the Straits of Johor to its north and from Indonesia's Riau Islands by the...

, Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...

, and South Korea
South Korea
The Republic of Korea , , is a sovereign state in East Asia, located on the southern portion of the Korean Peninsula. It is neighbored by the People's Republic of China to the west, Japan to the east, North Korea to the north, and the East China Sea and Republic of China to the south...

. Those seven regions are chosen, whose currencies selected into the index, based on the value of their export and import to Vietnam:




(Source: Ministry of Industry & Trade of Vietnam, Woori CBV Securities Corporation
Woori CBV Securities Corporation
Woori CBV Securities Corporation is Vietnam provider of financial and investment services. Woori CBV has been well known as the first and largest provider of Vietnam’s financial market indexes and economic indicators...

)
  • The index
    Index (economics)
    In economics and finance, an index is a statistical measure of changes in a representative group of individual data points. These data may be derived from any number of sources, including company performance, prices, productivity, and employment. Economic indices track economic health from...

     is computed as the geometric mean of the bilateral exchange rates of the included currencies.
  • The weight assigned to the value of each currency in the calculation is based on trade data, and is updated annually (the value of the index itself is updated much more frequently than the weightings).

Criteria

  • Nominal VND Index: based on nominal exchange rates and calculated on monthly basic.
  • Real VND Index: based on real exchange rates and calculated on daily basic.

Both real and nominal VND Indexes started 100 point in the beginning of 2009.

See also

  • Vietnam Investor Confidence Index
    Vietnam Investor Confidence Index
    The Vietnam Investor Confidence Index measures the attitude of both Vietnamese local and foreign investors to risk.-History:...

  • Vietnam Consumer Confidence Index
    Vietnam Consumer Confidence Index
    Vietnam Consumer Confidence Index is an indicator designed to measure consumer confidence of Vietnam, which is defined as the degree of optimism on their activities of savings and spending.-Methodology:...

  • Vietnam Securities Indexes
    Vietnam Securities Indexes
    -History:CBV Index family has been officially renamed as Vietnam Securities Index family since September, 2009.-Overview:* Woori CBV Securities Corporation, the world's largest provider of Vietnam's financial market indexes and economic indicators, is the pioneer to explore and deliver Financial...

  • Vietnam Bond Indexes
    Vietnam Bond Indexes
    Vietnam Bond Indexes are the first and currently the only indexes of Vietnam listed bond market. They are used as a benchmark to evaluate the market value of all Vietnam bonds .-Vietnam Bond Index Structure:...

  • Woori CBV Securities Corporation
    Woori CBV Securities Corporation
    Woori CBV Securities Corporation is Vietnam provider of financial and investment services. Woori CBV has been well known as the first and largest provider of Vietnam’s financial market indexes and economic indicators...

  • Vietnamese Dong

External links

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