Absa Capital’s NewRand ETF enables investors to simply and affordably take advantage of fluctuations in the South African Rand/US Dollar exchange rate. NewRand tracks the NewRand Index, which was designed by Absa Capital and calculated by FTSE (FTSE International Limited) and the JSE (JSE Limited) . The NewRand Index tracks the performance of a basket of the top 10 South African Rand hedge stocks listed and traded on the JSE.
In effect, by investing in NewRand ETF, investors gain exposure to 10 top-rated stocks through purchasing a single security.
Among the JSE’s oldest ETFs, NewRand was launched in 2003 and by end of December 2008 already had assets under management of overR500 million.
Benefits of investing in NewRand securities
- Exposure to a spread of quality JSE-listed companies
- Ongoing evaluation and re-selection of top performing Rand hedge stocks in the NewRand Index for the NewRand ETF portfolio
- Protection against possible South African Rand depreciation
- Cost-effective trading of high performer shares through a single transaction
- NewRand securities can be easily bought and sold at any time that the JSE is open for trade
- Investing and withdrawing funds is straightforward
- Investment values can be determined at any time