Absa Capital lists first ETF on the Nigerian Stock Exchange  


Absa Capital, the corporate and investment banking division of Absa Bank Ltd and affiliated with Barclays Capital, listed its NewGold Exchange Traded Fund (ETF) on the Nigeria Stock Exchange (NSE) today. This is the first ever ETF to list on the NSE and is in line with the firm’s overall approach to expand it suite of products and services in sub-Saharan Africa. NewGold’s primary listing is on the Johannesburg Stock Exchange.

This morning, 400 000 NewGold shares were listed on the NSE. There are now three African countries (South Africa, Botswana and Nigeria) where NewGold, South Africa’s largest ETF and the fourth largest gold ETF in the world, is listed. As at 14 December 2011, NewGold’s assets under management were R18.1bn ($2.2bn).

Dr Vladimir Nedeljkovic, Head of Investments at Absa Capital, said: “The inclusion of the NewGold ETF, today, on the NSE allows both individual and institutional investors direct access to an efficient and cost effective means to invest in gold through a listed security.”

The Nigeria listing is expected to help develop the investor market in one of Africa’s fastest growing economies by widening the choice of asset classes available to local investors, as well as to increase significantly the liquidity on the NSE.

“Historically, gold has demonstrated its role as an effective portfolio diversifier, a store of value and a safe haven investment in uncertain economic times, as well as an excellent currency hedge,” Nedeljkovic added.

NewGold has also proven to be one of the best performing ETFs in South Africa over five years, with a one year annualised return of 41.49%, two year return of 26.02% and a return over three years of 18.92%.

Last year NewGold became the first ETF to list on the Botswana Stock Exchange. This market has shown significant growth in the past year, with pension fund managers investing P151.9 million in the ETF in an effort to benefit from the rising price of gold.


Note to the editor:

About Absa Capital Absa Capital, a division of Absa Bank Limited (Absa) and affiliated to Barclays Capital, is a leading South African corporate and investment bank with global reach, offering clients financing, risk management and advisory solutions in a wide range of currencies and structures across the globe.

About Absa Capital ETFs and Index Products Absa Capital is a leading originator of exchange traded funds (ETFs) in the South African market, and has 52% of the market share based on assets under management. The investment bank has listed and operates 10 ETFs. To find out more please visit

Issued by:

FTI Consulting
Lauren Thys
+27 11 214 2420
+27 82 39 0788

For further information contact:

Dr Vladimir Nedeljkovic
Head of Investments
Absa Capital
+27 11 895 5367

Graeme Coetzee
Associate Principal Marketing and Corporate Communications
Absa Capital
+27 11 895 6695
+27 79 695 9798

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