An unconventional idea to invest in high-techs

I’m pretty sure not many people, if any, would even think about this idea as a way to put money for the bull trend of high-techs. When we talk about high-tech investment, we certainly first think about companies that are producing endless new ideas involving all kinds of fancy gadgets, creative social media, Internet of Things etc. Or at least those traditional big caps in high-techs such as Intel, Microsoft, Cisco etc. Yes, nothing wrong to look into those individual stocks for this megatrend. But what people often don’t realize is the countries or regions that provide manufacturing capabilities at low costs. You may think about South Korea, or Taiwan or China? Nope! You are already outdated if you think so. The manufacturing center for low labor costs has already quietly shifted in general to Vietnam, and the world’s next big center for semiconductor production will be in Ho Chi Minh City (HCM), the capital of Vietnam. Similar to what China was doing 30 years ago, Vietnam has set up a H-Tech special zone near HCM, called Saigon H-Tech Parks. Intel has established one of its major production plants there, which produces CPUs for 80% of the world’s new PCs. This is just one example and more of such high-tech manufacturing centers will be set up now and in the next few years. As such, Vietnam is on the map for high-tech investment, an unconventional way that not many people can even think about. The thing is you will need to pay a quite deal premium for individual high-tech stocks but since Vietnam is still largely under the radar screen for general investors, their stocks are still cheap. With ETFs, you now have a simple way to put money into the Vietnam stock market. The Market Vectors Vietnam ETF ( VNM) is the one you may consider.
Of course, what I’m talking here is not for short-term trading but rather for long-term investment. And for sure it will be volatile with a lot of up and down fluctuations. So don’t establish your position just with one buying. The best strategy is to use the dollar cost averaging method to buy some initially to get your foot in and buy more when it declines over time. Over the long run, I’m pretty confident this will be a great investment with a huge profit potential.