The Nigerian Stock Exchange, NSE, has expanded its product offerings via the official listing of Vetiva Griffin 30 Exchange Traded Fund, ETF, on the floor of the exchange recently.
Haruna Jalo-Waziri, executive director, business development at the exchange, explained that the new product is an open-ended fund that is designed to track the performance of the constituent companies of the NSE 30 Index and to replicate the price and yield performance of the Index. “The NSE 30 Index comprises of the top 30 companies listed on the NSE in terms of market capitalization and liquidity and is a price index weighted by adjusted market capitalization,” he said.
In order to provide an alternative investment window for investors, he noted that the exchange is using the ETF product category to open up cost-effective diversification opportunities for investors, while giving the broker-dealer community an instrument to better service their clientele.
The listing of the VG 30 ETF, according to him, is anticipated to help advance the investor market in the Africa’s fastest growing economy by further broadening the choice of asset classes, which is open to local investors.
Damilola Ajayi, managing director, Vetiva Fund Managers limited, noted that his company developed the product in line with the growing ETF industry to give investors optimal exposure to the Nigerian bourse by tracking the movement of the NSE 30 index.