Employing a panel data set including 37 joint-stock commercial banks covering the period from 2006 to 2013, this paper investigates the impact of income diversification on bank risk and returns. Our results show that increased income diversification results in higher rates of bank returns. However, when risk is considered, the increased income diversification leads to lower risk-adjusted returns. Empirical evidence also shows that the income diversification is not beneficial to joint-stock commercial banks in Vietnam.

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The paper aims to investigate the relationship between foreign ownership and firm performance in Vietnam. We use a data set including market and accounting variables of firms listed on Ho Chi Minh Stock Exchange (HOSE) for the period from 2007 to 2012. The results show a significant correlation between foreign ownership and firm performance. The regressions on each level of foreign ownership indicate that foreign ownership is found to be significantly and positively correlated with firm performance when foreigners own between 5% and 20% of shares in firms, while a negative correlation occurs where foreign holdings are more than 20%, specially and considerably negative where the level is more than 40%; and there is no significant relationship between the two variables where foreigners own less than 5% of shares.