Vietnam Stock Inflows at 5-Year High on Growth: Southeast Asia

International investors are buying the most Vietnamese stocks in five years, lured by Southeast Asia’s cheapest valuations and government efforts to bolster economic growth. The benchmark index rose the most in Asia to a 27-month high today.

Overseas funds bought a net $253 million of Vietnamese stocks this year to May 29, the biggest year-to-date purchases since 2008, speculating corporate profits will grow for the first time since 2010 as inflation eases and borrowing costs decline, data compiled by Bloomberg show. More foreigners opened Vietnamese equity trading accounts in the first four months of this year than the whole of 2012, data from the Vietnam Securities Depository show.