VietNam : Interim Report 2021

Financial Highlights

• Net Asset Value ("NAV") per share increased by 14.1% in USD terms
• Share price increased by 31.7% in GBP terms
• Net investment income of USD 19,502,023 vs USD 42,177,279 in prior year period
• Diluted Earnings per share of USD 0.50 vs USD 0.83 in prior year period

Operational Highlights

• Fund is invested in 27 positions
• Carbon footprint of portfolio is 32% below the index
• Top performing Fund in Vietnam and Top three in UK for 2021
• Tender for 30% of the company's shares completed in September at a 2% discount to prevailing NAV

Interim Report 2021

Company Overview

Nimble and focused investment approach

Portfolio of 27 positions with

60.6% of NAV in top-ten positions. The portfolio has a price-earnings valuation of circa 12x and an earnings per share growth forecast of circa 29% for 2022.

DYNAM CAPITAL LTD

Vietnam specialist, regulated by the Guernsey Financial Services Commission. Partner-owned business whose sole focus is asset management. Appointed Investment Manager on 16 July 2018.

• Top-down& bottom-up research driven fundamental analysis.
• Active engagement with portfolio companies on ESG.
• Long-terminvestment horizon.

The Company

VIETNAM HOLDING

Premium Listed London Investment Company established in 2006. Seeks to achieve long-term capital appreciation by investing in a diversified portfolio of companies in Vietnam that have high growth potential at an attractive valuation.

• Capturing the growth of Vietnam through long term investment in an actively managed, high-conviction portfolio of companies.
• Protect shareholder interests by aspiring to the highest standards of corporate governance at both fund & portfolio level.

Right Size for the Vietnam Equity Market

Big enough to be an active and engaged shareholder in portfolio companies, nimble enough to find and fund less- known emerging champions.

ESG in the DNA

Since its early days the Company has been an active adherent to best practice in Environmental, Social and Governance issues, believing that better-managed companies on these dimensions will be worth more in the longer-term. The Company has been a signatory of the United Nations Principles for Responsible Investing ("UNPRI") for over a decade and scored A, A+, A in the recent UNPRI report.

Nimble Access Across Spectrum

The Company is able to invest in best-in-class names across the spectrum of firm size with the flexibility to include pre-IPO,small-mid caps and large caps in the portfolio.

Actively Managed Portfolio

High conviction, off-index positions managed by the Investment Manager's active ownership capabilities.

Hiroshi Funaki

Chairman

Dear Shareholder,

VietNam Holding Limited (the "Company" or the "Fund") recorded a strong first six months of the financial year. The net asset value ("NAV") per share has risen by 14.1% in US dollar ("USD") terms during the period and the share-price of the Company has risen by 31.7% in Great Britain pounds ("GBP") terms. For the calendar year that ended on 31 December, the Fund's NAV per share rose by almost 63.9% and the share price by 81.8%. As a result, the Company was in the top three of all investment trusts listed in the UK in regard to performance for the full calendar year.

Total Assets decreased to USD 156,229,449 at 31 December 2021 from USD 200,418,206 at 30 June 2021, and Total Comprehensive Income was USD 17,235,713 in the six-month period, a significant decrease on the USD 40,458,032 generated in the corresponding period in 2020.

In September, the Fund completed a tender offer for 30% of the Company's shares at a 2% discount to the prevailing NAV. The tender completed swiftly and with little impact on the remaining portfolio, in recognition of the more liquid nature of the holdings, and of the Vietnamese equity market as a whole. We were pleased to see a number of investors, including my fellow directors,

buy-back into the Company after the tender. Following completion of the tender, the discount between the share price and the NAV per share tightened considerably from 16% to a recent record low of 4.43% on 13 February 2022. The discount has widened again over the last few weeks, and was 18.3% on 15 March 2022, but is still at the narrower end of the range for investment trusts focused on Vietnam.

Liquidity has also been robust in the trading of the Company's shares on the London Stock Exchange. Daily liquidity over the six-month period, in terms of average daily trading volume, was c.72,000 shares. We are pleased to see a number of new investors join the share register over the last six months, a mix of institutional, family office, wealth managers and individual investors.

In addition to the marketing initiatives coordinated by the Investment Manager, the Board has acted appropriately in implementing share buybacks as a means of addressing the discount between the share price and the NAV. During the period in review, the Company bought back 13,043,946 shares (including 12,737,184 shares bought back as a result of the Tender process) at an average price of USD 4.443, adding an estimated 0.86% in NAV per share accretion. The Share buyback authority was renewed by the Shareholders at the AGM on 1 November 2021, allowing up to 14.99% of the Company's issued shares to be bought back. Current practice is that shares bought back are cancelled.

This time last year I reported that we thought 'the portfolio was in great shape and well positioned for what could be a break-through year for Vietnam'. I am pleased to report that both the country and the portfolio performances exceeded our expectations, particularly given the harsh circumstances brought about by the Delta variant of Covid-19. Vietnam suffered significantly at the start of the reporting period because of low vaccination levels and had to impose strict lockdowns across most of the country to protect the health and safety of its citizens. The Delta wave inevitably impacted economic activity, mobility, and social health. However, once Vietnam was able to secure an ample amount of vaccines, it carried out an extensive vaccination distribution programme that was supported by its population. At times this roll-out surpassed many developing countries in terms of record numbers of people

receiving jabs per day. By the end of the reporting period almost 90% of the population had been double vaccinated, and in some cities, 100% levels were reported.

The success of the vaccination programme has given confidence to the authorities to further open the economy and remove some of the restrictions. During this period domestic investors acted confidently and positively, helping drive the Vietnam stock market to record levels. The portfolio constructed by the Investment Manager on behalf of the Company, and the nimble approach to stock selection and portfolio weighting helped the Company perform even better than the overall market and peers. The Investment Manager's Report has greater details on the performance of the Company and the portfolio during this remarkable period.

The Board has kept a very close eye on the developments in Vietnam and elsewhere during the course of the last six months and continues to adopt sensible business continuity practices. Once again, our AGM was held remotely, and travel of our Board members remains

impacted by various restrictions in place, although these do seem to be easing somewhat. Sadly, this meant that we were once again unable to meet in Vietnam in December, as had been our intention, but we have been in regular contact with the Investment Manager. All of the Company's suppliers have adopted best-practice business continuity plans and are pleased to say that there have been no disruptions to the performance and conduct of the business during the last six-month period.

Lastly, I would like to thank all our shareholders, old and new, for their continued support of the Company. We look forward to 2022 and are confident that the portfolio is in great shape and well-positioned for what could be a break-through year for Vietnam.

Hiroshi Funaki

Chairman

VietNam Holding Limited

18 March 2022