On Tuesday, the Vietnam's stock market contended the global market in rallying to a fresh a seven-month high. The Market Vectors Vietnam ETF soared 1.88% intraday to 20.01. Incontrastly, iShares MSCI Emerging Markets Index plunged 1.2% to 44.11. The IShares MSCI EAFE Index, the tracking developed foreign markets, plummeted 0.82% to 56.75. SPDR S&P 500 lost 0.60% to 145.10. After it lagged nearly all global markets in 2011 with a 44% loss, the VNM has bounced back with a vengeance. It strngethened 26% last year vs. 19% for EEM. It's been the best performing country ETF the past week, month and three months, climbing a 9%, 22% and 26% over those periods. The VNM is trading above its 50- and 200-day moving averages, pointing a solid uptrend.

The VNM sports a robust IBD Relative Strength Rating of 83, pointing it's outpacing 83% of the stock market. Its an Accumulation-Distribution Rating indicates the big institutional investors are heavily buying shares rather than the selling.

Neena Mishra, an ETF research director at the Zacks Investment Research in Chicago, believes that the Southeast Asian nation is the great long-term investment.

In a report, she said that:” The Political and economic reforms (Doi Moi) built in 1986 transformed Vietnam from one of the poorest countries in the world, with the annualy per capita income below $100, to the lower middle-income country with per capita income of about $1,300 in 2011. The poor ratio has down from 58% in 1993 to about 14% in 2010.

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