JSE's Valdene Reddy says ETFs offer diverse opportunities in these volatile environments.
On Thursday 7 May the Johannesburg Stock Exchange (JSE) welcomed the Satrix SA Bond Exchange Traded Fund (ETF) to its main board as its first virtual listing. It is also the first ETF listing in 2020.
The ETF will track the S&P South Africa Sovereign Bond 1+ year Index, which allows investors to automatically reinvest their coupons.
“The ETF offers investors an opportunity to invest in a basket of Rand-denominated sovereign debt publicly listed by the government of South Africa.” says JSE director of capital markets Valdene Reddy.
She adds that, in these significantly volatile environments, trading instruments such as ETFs, offer attractive and diverse opportunities for investment.
“Needless to say, Covid-19 has forced all businesses to completely rewrite their 2020 plan. Satrix is fortunate that we can still go ahead with most of our planned listings this year, despite the turmoil. This demonstrates our belief in the future of South Africa,” says Satrix CEO Helena Conradie.
