Vietnam’s stock index, the world’s best performer since the start of the year, may gain a further 30 percent by the end of 2010 as corporate earnings improve, according to Vietnam Asset Management Ltd.

    Consumer, banking and construction stocks may outperform the benchmark index this year as the economy recovers, Nguyen Xuan Minh, chief executive officer of the Ho Chi Minh City-based fund manager, said in a Bloomberg Television interview today.

    “We’re seeing corporate earnings grow very strongly on the economic recovery last year, and it’ll continue this year,” said Minh, who manages $50 million. “So the equity market will continue to grow.”

    Vietnam’s economy expanded 6.9 percent in the fourth quarter, the fastest pace in at least a year, fueled by government measures to boost businesses. The VN Index on the Ho Chi Minh City Stock Exchange rallied for a third day today, adding 0.4 percent to 534.49, the highest since Nov. 23.

    The gauge rose 57 percent last year, rebounding from a 66 percent slump in 2008.

    “We like the consumer plays a lot, because of domestic demand and the growth,” Minh said. “Banks are growing very fast and the bank valuation is getting very cheap now, even compared to regional banks.”

    The markets regulator is trying to boost liquidity in stocks by loosening restrictions on the sales of shares. The State Securities Commission will shorten the minimum period that buyers must hold shares before selling them by one day, Chairman Vu Bang said in an interview on Dec. 30.

    “That’s good for the market and good for liquidity,” Minh said.