Capital markets issuers plan cross-border listing of ETFS

To boost African exchanges’ liquidity

AHEAD of the plans to integrate the various exchanges in West African sub region in 2016, the Nigerian Stock Exchange, yesterday, announced concerted efforts from Exchange Traded Funds (ETF’s) issuers in various capital markets to cross list new and existing ETF’s to other exchanges in order to boost liquidity on Africa’s exchanges.

This move, according to NSE would facilitate increased cross listings of Exchange Traded Funds (ETF’s) on the larger exchanges on the continent, as well as enable investors to gain exposure to shares listed on Johannesburg, Kenyan and Nigerian stock exchanges.

According to NSE, “There is a move afoot that will lead to improved liquidity on Africa’s exchanges. This move will see increased cross listings of Exchange Traded Funds (ETF’s) on the larger exchanges on the continent. There is a concerted effort from ETF issuers in various markets to cross list new and existing ETF’s on to other exchanges, and the exchanges themselves are working to ensure that the right frameworks are in place to enable this.”

NSE explained that discussions are currently underway between market participants in Nigeria, Kenya and South Africa to launch the cross listing of Exchange Traded Funds (ETFs).