Vetiva Fund Managers Limited (Vetiva) has announced the proposed listing of the Vetiva S&P Nigeria Sovereign Bond Exchange Traded Fund (VS&P ETF) on the 24th of October 2016 on the Nigerian Stock Exchange (NSE).
The ETF, upon listing, would be the first Bond ETF to be listed on the NSE, giving investors access to Nigerian Federal Government Bonds in retail lots; thus providing an opportunity for every Nigerian to invest in Federal Government Bonds. At current pricing, investors will be able to purchase a unit for as low as N150 and have access to attractive bond yields.
Speaking on the product, the Managing Director of Vetiva Fund Managers Limited, Mr. Damilola Ajayi said: “The listing of the Vetiva S&P Exchange Traded Fund is in line with the Federal Government’s plan to enhance financial inclusion.
For the first time in Nigeria, investors now have access to Federal Government Bonds through a product that will be listed on the Nigerian Stock Exchange”. The ETF, when listed, will trade like any other stock, and the Fund plans to effect distributions to its unit holders twice a year.
Subsequent to listing, investors will be able to trade the Fund on the NSE through any stockbroker. Vetiva listed the first equity Exchange Traded Fund (The Vetiva Griffin 30 ETF, which tracks the performance of the NSE 30 Index) in March 2014. Vetiva also listed the first set of Sectoral Exchange Traded Funds (the Vetiva Banking ETF, Vetiva Consumer Goods ETF and Vetiva Industrial Goods ETF) in October 2015.