The Absa New Gold Exchange Traded Fund (ETF) has recorded an all-time high turnover of Shs 91.7 million on a volume of 44,000 units and closed at Kshs.2075.
According to Nairobi Stock Exchange (NSE) market report, the overall turnover in the market activities as of March 2 was Shs792 million from the previous sessions Shs 202 million and the Absa New Gold Exchange Traded Fund contributed to that by 11.57percent. The security rose by 10.37 percent to Kshs.2075 from Ksh.1880 registered in the previous sessions.
“ETFs allow investors to spread their risks, diversify their portfolio as well as have ease of purchase and exit. Globally, gold has emerged as one of the most reliable safe havens of wealth, remaining largely unchanged in the long run despite the short-term market volatilities.” Mr Geoffrey Odundo, NSE Chief Executive Officer
New Gold Issuer Limited, a subsidiary of South Africa’s Absa Bank was the first ETF listing in the region and received approval in 2017 to issue and list on the NSE.
ETFs are listed investment products that track the performance of a basket of shares, bonds and commodities and can also track a single commodity such as oil or a precious metal like gold giving investors a chance to buy units that track whole indices as easily as buying shares listed on NSE.
Read also; NSE Daily Equity Turnover Declines 4% to KSh 523 Million.
