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The Lusaka Securities Exchange (LuSE) says it is set to launch its first-ever exchange-traded fund (ETF) before the end of October, giving Zambian investors exposure to gold through a product sponsored by Absa Group and introduced from the Johannesburg Stock Exchange.
The planned ETF is part of efforts to expand investment products available on Zambia’s capital market as activity in equities and fixed-income securities continues to recover following the August general election.
According to Access Bank Group’s market commentary, LuSE is also preparing for up to five new listings in the manufacturing, mining and telecommunications sectors.
Read more: Lusaka Securities Exchange remains positive despite April market dip
“Two of the potential listings could take place before the end of this year, while the remaining three are expected in 2027,” the bank said.
The anticipated listings and gold ETF come amid increased foreign investor participation and improved activity on the local exchange.
The LuSE All Share Index has gained 1.3% since the beginning of the year, while total market capitalisation currently stands at K124.5 billion, equivalent to about $6.36 billion.
The gold ETF is expected to give investors an alternative way of gaining exposure to movements in the gold market without directly holding physical gold.
The introduction of the product would also broaden the range of investment instruments available to local investors and could increase activity on the domestic capital market.
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