For more than 25 years, Satrix has helped South Africans access local and global markets through ETFs. Now, the business is taking that expertise beyond the country's borders, with listings in Namibia, Botswana and Kenya as it works to bring simple, low-cost investment solutions to a new generation of African investors. In this episode of the Ghost Stories podcast, The Finance Ghost is joined by Duma Mxenge, Head of Business and Market Development at Satrix, to unpack the opportunities and challenges of expanding ETFs across the continent. From navigating regulations and market infrastructure to understanding what investors in different African countries actually want, Duma shares insight into the work being done behind the scenes to build deeper, more accessible capital markets. We also explore why demand for global exposure is often stronger than demand for local equity products, whether an Africa-focused ETF is realistic any time soon, and what the future may hold for cross-border investing on the continent. In this episode, we cover: Why Satrix believes the time is right to expand beyond South Africa The journey from initial research in 2019 to listings in Namibia, Botswana and Kenya Why African investors are increasingly looking for global market exposure The popularity of products tracking the S&P 500, MSCI World and Nasdaq 100 How ETFs can help deepen African capital markets The regulatory, liquidity and operational challenges of cross-border ETF listings Why institutional and retail investors are responding differently to these products The importance of education, distribution and local partnerships Whether an Africa-wide equity ETF is a realistic prospect Alternative ways for South African investors to gain exposure to growth elsewhere on the continent The role Satrix hopes to play in building Africa's investment ecosystem over the coming decades Disclaimer: Satrix Investments (Pty) Ltd is an approved financial service provider in terms of the Financial Advisory and Intermediary Services Act, No 37 of 2002 (“FAIS”). The information above does not constitute financial advice in term of FAIS. Satrix Managers (RF) (Pty) Ltd a registered and approved Manager in Collective Investment Schemes in Securities. Collective investment schemes are generally medium- to long-term investments. With Unit Trusts, Exchange Traded Funds (ETFs) and Actively-managed ETFs (AMETFs), the investor essentially owns a “proportionate share” (in proportion to the participatory interest held in the fund) of the underlying investments held by the fund. With Unit Trusts, the investor holds participatory units issued by the fund while in the case of an ETFs and AMETFs, the participatory interest, while issued by the fund, comprises a listed security traded on the stock exchange. ETFs and AMETF are registered as a Collective Investment and can be traded by any stockbroker on the stock exchange, LISP platforms and or via online trading platforms. ETFs and AMETFs may incur additional costs due to being listed on the JSE. Past performance is not necessarily a guide to future performance, and the value of investments / units may go up or down. A schedule of fees and charges, and maximum commissions are available on the Minimum Disclosure Document or upon request from the Manager. Collective investments are traded at ruling prices and can engage in borrowing and scrip lending. Should the respective portfolio engage in scrip lending, the utility percentage and related counterparties can be viewed on the ETF and AMETF Minimum Disclosure Document. The index, the applicable tracking error and the portfolio performance relative to the index can be viewed on the ETF and AMETF Minimum Disclosure Document. Perfor...
