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Dragon Capital

Dragon Capital Group is a financial institution that has extensive investment experience in Vietnam and the Southeast Asian region, with a particular focus on Vietnam.
Dragon Capital
Leadership team

Dominic Scriven (Founder and Chairman )

Tran Thanh Tan (Vice Chairman)

Type
Early Stage Venture, Late Stage Venture, Private Equity
Number of Employees
50 - 100
Headquarters
Ho Chi Minh city, Vietnam
Established
1994
Social Media
Summary

Dragon Capital is a financial institution that was founded in 1994 in Ho Chi Minh City, Vietnam with only six members. They launched the Vietnam Enterprise Investments Fund Limited (VEIL) in 1995, which is still the longest-running Vietnam fund. Dragon Capital has managed to survive the Asian Financial Crisis that happened in 1997, Vietnam became the 150th member of the World Trade Organization (WTO) in 2007, and Dragon Capital's team numbered 64. In 2016, VEIL was listed on the London Stock Exchange (LSE) and VEIL FTSE 250 inclusion occurred. Dragon Capital was managing assets worth US$1.6bn and had 97 staff in Ho Chi Minh City, Hanoi, London, Bangkok, and Hong Kong. In 2019, Dragon Capital Group's AUM was $3bn with 110 management and staff. They also launched the biodiversity economics chair to price ecosystems and held a reception celebrating their 25th Anniversary.


History

Dragon Capital is a financial institution that started in 1994 in Ho Chi Minh City, Vietnam with only six members. In 1995, they launched the Vietnam Enterprise Investments Fund Limited (VEIL), which is still the longest-running Vietnam fund. The Asian Financial Crisis happened in 1997 and caused many Asian economies to falter, but Vietnam was less badly hit because of its non-convertible currency. VEIL was the only Vietnam fund that survived this crisis. Vietnam signed the Bilateral Trade Agreement (BTA) with the US in 2000, which led to economic growth, and the Ho Chi Minh Stock Exchange (HSX) opened. In 2001, the International Financial Corporation invested in Dragon Capital. VietFund Management (VFM) and Ho Chi Minh City Securities Corporation (HSC) were established in 2003. Dragon Capital launched the Vietnam Growth Fund Limited (VGF) in 2004. The Hanoi Stock Exchange (HNX) opened in 2005, and Proparco invested in Dragon Capital. In 2006, Dragon Capital Markets (Europe) Limited was licensed by the Financial Services Authority (FSA). 

Vietnam became the 150th member of the World Trade Organization (WTO) in 2007, and Dragon Capital's team numbered 64. They launched Vietnam Resources Investments (Holdings) Limited (VRI), Vietnam Debt Fund SPC (VDeF), and acquired 23% of micro-finance company Prasac, their first investment in Cambodia. In 2008, Dragon Capital launched the Vietnam Property Fund Limited (VPF) and the Annual Report Awards. The Mekong Brahmaputra Clean Development Fund (MBCDF) was launched in 2010, and the Hong Kong office of Dragon Capital Management (HK) Limited was opened with an SFC license (Type 4 & 9). Vietnam surpassed Brazil in 2012 to become the world's largest coffee exporter. In 2013, Dragon Capital launched the Dragon Capital Developing Markets Strategies p.l.c (DC DMS) - Vietnam Equity (UCITS) Fund (VEF) and Dragon Capital Semeru Asia Equity High Yield Fund (DC Semeru). 

They celebrated their twentieth anniversary in 2014, and per capita GDP in Vietnam was over US$1,000, an almost ten-fold increase in twenty years. Vietnam Growth Fund and Vietnam Enterprise Investments Ltd merged into one fund in 2015. VEIL was listed on the London Stock Exchange (LSE) in 2016, and VEIL FTSE 250 inclusion occurred. Dragon Capital was managing assets worth US$1.6bn and had 97 staff in Ho Chi Minh City, Hanoi, London, Bangkok, and Hong Kong. In 2017, Vietnam IPO/Placing Platform (IPOPP) was launched, and in 2018, the Vietnam Co-Investment Fund (VCF) was launched. In 2019, Dragon Capital Group's AUM was $3bn with 110 management and staff. They also launched the biodiversity economics chair to price ecosystems and held a reception celebrating their 25th Anniversary, where H.E. Dasho Tshering Tobgay, Former Prime Minister of the Kingdom of Bhutan, gave a keynote address.


Investment criteria

Dragon Capital is a leading investment firm focused on emerging markets, with a particular emphasis on Ukraine, Vietnam, and the Philippines. The firm has a long history of successful investments across a range of asset classes, including private equity, real estate, and public markets. When evaluating potential investments, Dragon Capital relies on a set of rigorous criteria that help to ensure that each opportunity aligns with its investment philosophy and long-term goals.

The following are some of the key investment criteria that Dragon Capital considers:

Strong management team: One of the most important factors that Dragon Capital looks for in a potential investment is a strong and experienced management team. The firm believes that a talented management team is essential to the success of any business, and looks for leaders who have a proven track record of success, deep industry knowledge, and a clear vision for the future.

Attractive market opportunity: Dragon Capital invests in businesses that operate in markets with high growth potential. The firm seeks out companies that are well-positioned to capitalize on long-term trends, such as rising consumer spending, increasing urbanization, and growing middle-class populations.

Sustainable competitive advantage: Dragon Capital looks for businesses that have a sustainable competitive advantage, which could come in the form of a unique product or service, a strong brand, or proprietary technology. The firm believes that companies with a durable competitive advantage are better able to withstand competitive pressures and generate superior long-term returns.

Sound financials: Dragon Capital conducts a thorough analysis of a company's financials before making an investment. The firm looks for businesses with strong cash flow, a healthy balance sheet, and a track record of profitable growth.

Alignment of interests: Finally, Dragon Capital seeks out investments where there is a clear alignment of interests between the company and its shareholders. The firm looks for businesses where management and shareholders have a significant stake in the company's success, which helps to ensure that everyone is working toward the same long-term goals.


Values

Dragon Capital is a value-driven investment firm that places a strong emphasis on fundamental analysis and long-term investing. The firm's investment philosophy is based on the belief that the best investment opportunities are found by identifying undervalued assets that have the potential for significant long-term growth.

One of the key aspects of Dragon Capital's value-driven approach is its focus on emerging markets. The firm believes that emerging markets offer a unique set of investment opportunities that are often overlooked by other investors. These markets are characterized by high-growth potential, favorable demographic trends, and rapidly evolving business environments.


Mission

Dragon Capital's mission is to generate exceptional investment returns for its clients by investing in high-growth economies with a focus on Southeast Asia, particularly Vietnam. The company aims to identify and capitalize on investment opportunities in the region by using its extensive market knowledge and experience, combined with rigorous analysis and research.

The company's investment philosophy is based on a long-term perspective, with a focus on fundamental analysis and risk management. Dragon Capital believes that building a strong and diversified portfolio is key to achieving sustainable returns, and as such, it invests in a range of asset classes, including equities, fixed income, real estate, and private equity.


References
Dragon Capital
Leadership team

Dominic Scriven (Founder and Chairman )

Tran Thanh Tan (Vice Chairman)

Type
Early Stage Venture, Late Stage Venture, Private Equity
Number of Employees
50 - 100
Headquarters
Ho Chi Minh city, Vietnam
Established
1994
Social Media