For an investment portfolio valued between USD 1 million and USD 5 million, real estate typically accounts for 40–50%.

Preferred Investment Channel: Real Estate

This ratio shows that real estate continues to dominate investment preferences among wealthy Vietnamese and Asian clients. It also underpins why real estate consistently attracts strong demand whenever it re-enters a growth cycle.

In portfolios of investors with capital from USD 1 million (VND 25 billion) upwards, real estate remains the dominant allocation. Among FIDT’s current client base, between 70% and 85% of investments are placed in real estate or real estate–related assets, reflecting an even stronger appetite. This is a key driver of rising property prices, particularly in Vietnam’s ultra-luxury segment, which ranks among the fastest-growing globally, with prices up 48% over the past five years.

Rental yields for ultra-luxury properties in Vietnam are also considered highly attractive. Contributing factors include population density, the relatively limited supply of ultra-luxury properties, strong asset ownership demand, and overall economic development.

From a financial research perspective, the next decade is expected to mark a pivotal period for Vietnam as wealth transfers from the 1940s–1970s generations to the 1980s–1990s generations. Alongside this transfer, asset-holding preferences are set to change. Rather than primarily holding land, younger generations are expected to favor income-generating properties and actively manage inherited assets. This will help boost rental yields in the ultra-luxury property segment and support growth in Vietnam’s real estate market, particularly in Hanoi and Ho Chi Minh City, while contributing to broader economic expansion.

To increase attractiveness to the global ultra-wealthy, Vietnam will need a strategy to develop real estate into a comprehensive ecosystem, avoiding fragmented ultra-luxury projects. Successful integrated models such as Phú Mỹ Hưng and Thủ Thiêm highlight this trend. For ultra-high-net-worth individuals, investment and residency decisions are closely tied to perceptions of safety and optimal convenience. New economic zones and urban areas thus present prime opportunities for integrated developments. Transparency of information on foreign-owned projects and the creation of a unified project and planning database would also help attract capital inflows and meet future residential demand.

Within the broader Southeast Asian context, Vietnam has strengths in infrastructure catering to the ultra-wealthy. Compared with Thailand and Malaysia, Vietnam holds competitive advantages in high-end projects, resorts, golf courses, and especially coastal developments tied to complete premium ecosystems developed by groups such as Vingroup and Sungroup. These can meet not only luxury residential needs but also wellness living and experiential travel, stretching from the Northeast and Northwest to the Central Highlands and the Mekong Delta.

Opportunities from Expanding the Financial–Investment Ecosystem

In parallel, the development and expansion of both traditional and emerging investment channels — as well as opportunities for funds to participate in new exchanges — will play a vital role in attracting capital and diversifying portfolios, thereby meeting evolving asset-holding preferences and enhancing value.

Investment opportunities in Vietnam’s financial market are widening, supported by expectations for ecosystem expansion through the International Financial Centers in Ho Chi Minh City and Da Nang.

However, as the market shifts from traditional products such as stocks and bonds to modern digital assets, improving personal financial literacy is becoming more critical than ever.

With generational shifts in investment preferences, it is projected that within five years, around 50% of Vietnam’s population will join the middle class, with monthly spending above VND 30 million — comparable to the U.S. market. As a result, demand for financial advisory services is surging, particularly among the middle class and the educated professional segment. Building and expanding the financial advisory industry in Vietnam will require four pillars: establishing a professional regulatory framework, raising financial literacy, clearly differentiating between product sales and financial advice, and leveraging technology for connectivity.

Overall, while real estate remains the primary channel attracting ultra-wealthy capital inflows, Vietnam’s financial market — still relatively young — will continue to evolve in line with global integration. Step by step, development should aim to position Vietnam as an Asian hub for attracting and retaining wealth migration. In doing so, the maturing financial market will need to meet the capital capabilities, asset preferences, and diversification needs of future generations in managing, inheriting, and expanding wealth.