The Nairobi Securities Exchange (NSE) has marked a significant milestone with the dual listing of the Satrix MSCI World Feeder Exchange Traded Fund (ETF), the second ETF to be listed in Kenya.
- •The product, issued by South African fund manager Satrix, gives local investors direct exposure to global equities, signalling a shift in how Kenyans can access international financial markets.
- •The ETF tracks the MSCI Emerging Markets Index, which includes companies from over 20 economies such as India, China, South Africa, Brazil, and Taiwan.
- •Through this single investment vehicle, Kenyan investors can now gain exposure to a diversified portfolio of international stocks, all traded on the local exchange and denominated in local currency.
“The listing of the Satrix Global ETF on the NSE is a landmark achievement in our ongoing journey to modernize and internationalize Kenya’s capital markets. It reflects growing global confidence in the strength of our market infrastructure and operational capacity. This development not only reaffirms the NSE’s rising appeal to international issuers but also demonstrates the tangible progress we are making in aligning with global standards,” said NSE Chairman Kiprono Kittony at the official listing event. He noted that the ETF introduces a new product category and supports the long-term strategy to expand investor choice and enhance market liquidity. Kittony added that such initiatives are central to building a more resilient, competitive, and globally connected market.
The listing also reflects the NSE’s dual role as a regulator and market promoter, a balance that has become more important as the exchange works to attract a wider pool of domestic investors.
For many individual investors, ETFs offer a relatively low-cost and simplified approach to diversifying their portfolios, especially when compared to purchasing international equities individually.
Ugas Mohammed, Chairman of the the Capital Markets Authority CMA, described the ETF as a critical step in democratizing access to international markets. He noted that products like this could help reduce concentration risk in local portfolios by offering exposure beyond Kenya’s borders. Additionally, the ETF may enhance investor confidence by offering transparent and accessible investment vehicles. .
Why it Matters
Satrix’s listing on the NSE comes at a time when global financial markets are more interconnected than ever, and Kenyan retail investors are increasingly seeking tools to protect their wealth from inflation, currency volatility, and domestic market shocks. ETFs can help fill this gap by offering a way to access broader global opportunities through a locally familiar platform.
Satrix, a South African fund manager, has positioned the ETF as part of its broader goal to expand access to global markets. The company has spent over seven years working towards the listing, which it views as a step toward increasing investment inclusion in the region. According to Satrix CEO, Fikile Mbhokota, the launch aligns with their commitment to long-term market development across Africa. She also highlighted that MSCI-indexed ETFs accounted for over 87% of global net inflows in 2024, reflecting continued investor interest in diversified emerging market exposure.
The launch of the Satrix Global ETF was facilitated in part by Absa Bank Kenya, which partnered with Satrix to introduce the product to the local market. Reflecting on the partnership, Absa Kenya CEO Abdi Mohamed noted that the collaboration signals growing confidence in the depth and maturity of Kenya’s financial sector. “This transaction goes beyond launching a new investment product- it reflects how Kenya’s capital markets are increasingly prepared to engage with global financial systems, combining technical capability with a focus on investor needs,” he said.
Commenting on Absa’s role in the deal, the Abdi stated: “This is a proud moment to have acted as Transaction Brokers on this landmark deal. This transaction required deep cross-border expertise, seamless structuring, and careful navigation of regulatory requirements across jurisdictions. That is the value we bring to our clients- a trusted partner across the full-deal lifecycle, from conceptualization to execution. Our Corporate & Investment Banking and Global Markets teams worked hand in hand with our client and the NSE to deliver a transaction that stands as an example of what can be achieved when technical expertise meets client-centricity.”
While the long-term uptake of the ETF remains to be seen, the listing represents an important shift in Kenya’s financial landscape. As access to global markets becomes more seamless, local investors now have more tools than ever to diversify, protect, and grow their portfolios, a move that could bring Kenya’s capital markets closer in step with international standards.
