KDH stock of Nhà Khang Điền could be removed from the VN-Diamond index

BSC Securities has warned that Nhà Khang Điền (KDH) could face the risk of being placed on the watchlist for exclusion from the VN-Diamond Index after failing to maintain the minimum 65% FOL ratio.

On 20 April 2026, HoSE will publish the list of stocks in the VN-Diamond Index, with the index taking effect from 4 May 2026. Based on data as of 31 March, BIDV Securities (BSC) forecast the component stock list and the expected share buy/sell volumes for ETFs tracking the index.

Cause: KDH fails the minimum 65% FOL requirement

Under VN-Diamond Index rules, BSC forecasts that KDH may be subject to exclusion risk due to not maintaining the 65% minimum FOL. In addition, the index rules could reduce KDH’s portfolio weight by 50%.

BSC estimates that more than 4 million KDH shares could be sold by ETFs to remove the stock from the index. The same ETF rebalancing could also trim holdings in NLG (down about 3.3 million shares) and HDB (down about 1 million shares).

Development: No new additions; some stocks may gain weight

BSC projects no new additions to the VN-Diamond Index. Instead, some tickers could gain weight as ETFs increase holdings, including FPT (up about 4.6 million shares), MBB (up about 900k shares), and TCB (up about 900k shares).

Watchlist and timeline for KDH

Mirae Asset Securities also forecast that KDH will be placed on the watchlist for exclusion due to continued failure to meet the minimum 65% FOL requirement (61.8%), calculated under the index basket rules in section 3.7 using data as of 31/03/2026.

Being placed on the watchlist would reduce KDH’s weight by 50% versus the previous level, equivalent to a 0.8% reduction in contribution. In the next semi-annual review in July 2026, KDH is likely to be officially removed from the VN-Diamond basket if it does not improve above 65%.

Impact and market context: FPT’s weight increase

Alongside the KDH adjustment, FPT’s weight is expected to increase. Since the start of 2026, FPT has faced substantial net selling pressure from foreign investors, with an estimated value of VND 9.35 trillion—about 80% of its net withdrawals in all of 2025 and roughly 30% of total net selling in the market.

This selling pressure has contributed to weaker performance for FPT, with the stock down 22% year-to-date, compared with the VN-Index’s -6.1%. As a result, FPT’s contribution weight has fallen to 11.5% from a previous cap of 15%.

However, because the market-capitalization cap was relatively low (38%) in the previous period, BSC expects FPT’s weight to rise again as the capitalization cap increases to 80%, bringing contributions back to 15%. This is also expected to offset the negative impact from the FOL cap, which has been reduced for the second consecutive time to 50% (-25%).