monthly report june 2011 accounting, finance, investment

Monthly Report June 2011Accounting, Finance, Investment

2

Contents

ActivitiesActivities

Market WatchMarket Watch

Investment / Financial ResultsInvestment / Financial Results

PlansPlans

3

Investment

Cash Flow Management Moving money to the highest return asset

Cash Flow Management Moving money to the highest return asset

Operation Guidelines Revision Clarifying the Government related bonds

Operation Guidelines Revision Clarifying the Government related bonds

Real Estate Seeking to increase chartered capital

Real Estate Seeking to increase chartered capital

ResearchVietnam after 5 year joining WTO

ResearchVietnam after 5 year joining WTO


4

Accounting

Update new circular 78/2011:

The taxable income is not accounted to PIT for medical treatment amount (for staff & relatives) from company earning after tax.

Update new circular 78/2011:

The taxable income is not accounted to PIT for medical treatment amount (for staff & relatives) from company earning after tax.

Revised the payment amount through bank

That is from 5 million dong will pay directly to supplier’s account.

Revised the payment amount through bank

That is from 5 million dong will pay directly to supplier’s account.

Invoice

Testing the on-line business trip reimbursement.

Invoice

Testing the on-line business trip reimbursement.


5

Finance

Premium invoicesGetting tax approval for no seal

Premium invoicesGetting tax approval for no seal


Premium collection serviceWorking with post office

Premium collection serviceWorking with post office

Updating new tax law:Cir 09/2011/TT-BTC : Guidance on VAT and CIT for Insurance business

Cir 28/2011/TT-BTC : Guidance on Law on Tax Management

Updating new tax law:Cir 09/2011/TT-BTC : Guidance on VAT and CIT for Insurance business

Cir 28/2011/TT-BTC : Guidance on Law on Tax Management

6

Contents


Market WatchMarket WatchInvestment / Financial ResultsInvestment / Financial Results

PlansPlans

7

Financial MarketJun/ April

Market Watch

NY S&P 500YTD: 0.9%;MTD: -2.4%

VN IndexYTD: -10.8%; MTD: -0.5%

Frankfurt DAXYTD:5.5%; MTD:-0.9% Shanghai SHX

YTD: 2%; MTD: -2.2%

Taipei TWSEYTD:-5.6%; MTD: -6%


Hot Issues: 1. Equity markets are DOWN

Hot Issues: 1. Equity markets are DOWN

Note : As of Jun 24th.

8

Financial MarketJun/ April

Market Watch

NY S&P 500YTD: 0.9%;MTD: -2.4%

CPI May: 3.6%

VN IndexYTD: -10.8%; MTD: -0.5%

CPI Jun: 20.82%

Frankfurt DAXYTD:5.5%; MTD:-0.9%

CPI May: 2.3%

Shanghai SHXYTD: 2%; MTD: -2.2%

CPI May: 5.5%

Taipei TWSEYTD:-5.6%; MTD: -6%

CPI May: 1.66%


Hot Issues: 1. Equity markets are DOWN 2. Commodities prices are INFLATED 3. RAISED interest rate: China, India, …

Hot Issues: 1. Equity markets are DOWN 2. Commodities prices are INFLATED 3. RAISED interest rate: China, India, …

Note : As of Jun 24th.

9

Prominent Assets ( in 2011)


USD/EURUSD/EUR Gold Spot/ozGold Spot/oz

Crude OilCrude Oil MSCI World IndexMSCI World Index

UP 5.8% YTD

Down 6.2% YTDUP 7.6% YTD

Down 1% YTD

10

Interest Rate & Exchange Rate


Interest Rate (As of Jun. 25th)Interest Rate (As of Jun. 25th)

Note: Rate for institutions.

Interest rates is still at high level, however it’s on downward trend

DD 3M 6 M 12 M

SOCBVND 4 14 14 14

USD 0.1 0.5 0.5 0.5

JSCBVND 7 14 14 14

USD 0.2 0.5 0.5 0.5

11

Interest Rate & Exchange Rate


Interest Rate (As of Jun. 25th)Interest Rate (As of Jun. 25th)

Note: Rate for institutions.

Exchange Rate (As of Apr. 25th)Exchange Rate (As of Apr. 25th)

Interest rates is still at high level, however it’s on downward trend

VND stables thanks to strong measures from SBV

DD 3M 6 M 12 M

SOCBVND 4 14 14 14

USD 0.1 0.5 0.5 0.5

JSCBVND 7 14 14 14

USD 0.2 0.5 0.5 0.5

USDVND (L)Up 5.5%

TWDVND (R)Up 6.6%

stable

12

Trade Deficit vs Exchange Rate


VND and Acc. Trade DeficitVND and Acc. Trade Deficit Trade Balance EstimationTrade Balance Estimation

VND and Trade Deficit have some kind of co-relation.

With high prob. deficit will be still high. Since it’s still Gov.’s concern, VND may keep devaluating with that.

Set scenarios like this (control the pace of Exp/Imp):a: Export grows faster.b: Import and Export grow in the same pace.c: Import grows faster.

a

b

c

VND in MNUSD in MN

Trade Deficit (R)

USDVND (L)

13

Contents




PlansPlans

14

Asset Allocation & Revenue

Investment ResultInvestment Result

Gov. Bonds: Ave. yield 15.46%; Duration 4.38Gov. Bonds: Ave. yield 15.46%; Duration 4.38

USD TD:Weighted rate 2.18%; Tenor: 0.2 USD TD:Weighted rate 2.18%; Tenor: 0.2

VND TD:Weighted rate 17.4%; Tenor: 0.61

VND TD:Weighted rate 17.4%; Tenor: 0.61

Cash/DD:Target amount of 1.5 billionCash/DD:Target amount of 1.5 billion

Gov. Bonds (71.7%)

USD TD (8.3%)

VND TD (19.7)

Cash / DD (0.4%)

Note: As of Jun. 25th.

Most of our investment comes to the long term Government Bonds.

Weighted average yield is around 14.7%. We achieve 13 billion VND Investment Return every month.

15

Profit and Loss

Financial ResultFinancial Result

Jan. Feb. Mar. Apr. May YTD

Revenues 16.9 28.4 23.7 24.0 24.8 117.8

Expenses 21.2 23.0 26.3 26.6 29.8 126.9

Profit/Loss -4.3 5.4 2.6 -2.5 -5. 2 -9.0

Budget 2011 -1.7 -3.3 -2.9 -2.6 -1.6 -12.1

Billion VND

For the first 5mths, expenses was still HIGH.

Actual / Budget 2011 goes to 75% this year to date.

16

Profit and Loss



Revenues 16.9 28.4 23.7 24.0 24.8 117.8

Expenses 21.2 23.0 26.3 26.6 29.8 126.9

Profit/Loss -4.3 5.4 2.6 -2.5 -5. 2

Budget 2011 -1.7 -3.3 -2.9 -2.6 -1.6 -12.1

Billion VND

For the first 5mths, expenses was still HIGH.

Actual / Budget 2011 goes to 75% this year to date.

-9.0

17

Gross Premium


Billion VND

Actual / Budget 2011 is 125% YTD

Actual 2011 / 2010 is 222% YTD


Actual

20117.2 9.1 12.0 12.9 13.6

Budget

20118.3 5.1 9.5 10.1 10.9 43.8

Actual

20104.5 3.6 5.0 6.2 5.5 24.7

54.9

18

Sales Expenses



Actual 2011

6.8 5.7 7.8 8.2 9.4

Budget 2011

5.4 5.9 6.9 6.2 5.3 29.6

Actual 2010

4.1 2.9 4.7 5.1 5.7 22.5

Billion VND


Actual 2011 / 2010 is 168% YTD

Note: Sale expenses are mostly agent incomes, sale incentives…(commission exclusive)

37.9

19

Administrative Expenses



Actual 2011

8.9 9.1 9.2 8.9 10.0 46.1

Budget 2011

9.6 9.8 9.9 10.0 10.1 49.4

Actual 2010

8.6 8.0 8.8 8.9 8.7 44.0

Billion VND


Actual 2011 / 2010 is 105% YTD

20

Contents




PlansPlans

21

Accounting

Online Business Trip ReimbursementLaunching

Online Business Trip ReimbursementLaunching

Second-quarter report: Audited by Earns & Young auditor and parent auditing

Second-quarter report: Audited by Earns & Young auditor and parent auditing

PlansPlans

22

Finance

Authorized signatures:Change the signatures at 9 banks Authorized signatures:Change the signatures at 9 banks

PlansPlans

Collection via Post office:Working with supplier in the process.

Collection via Post office:Working with supplier in the process.

23

Investment

Enhance Investment Yield Moving money to the highest return assets Maintaining the cash balance at the lowest level

Enhance Investment Yield Moving money to the highest return assets Maintaining the cash balance at the lowest level

Matured Bonds Reinvestment Target yield at 12% or above

Matured Bonds Reinvestment Target yield at 12% or above

Market Watch Training for FA Departments / CPI Forecast

Market Watch Training for FA Departments / CPI Forecast

PlansPlans

New Products Survey Real Estate & Stocks

New Products Survey Real Estate & Stocks

Thank You

monthly report june 2011 accounting, finance, investment

Documents

weighted rate

vnd td

tax management

usd td

high level

abc vnd

market watchhot issues

mntrade deficit rusdvnd