CoreShares Index Tracker Managers (RF) Proprietary Limited has announced a major development in the South African investment landscape, with the listing of 500,000 Coreshares Wealth Top 20 Capped Exchange-Traded Fund (ETF) securities on the Johannesburg Stock Exchange (JSE). The much-awaited listing is scheduled to take place on Friday, 04 August 2023, at an issue price of R10.07 per security, significantly increasing investors’ access to this popular ETF.
The CoreShares Wealth Top 20 Capped ETF is a collective investment scheme registered in compliance with the Collective Investment Schemes Control Act, 45 of 2002. Managed by CoreShares Index Tracker Managers (RF) Proprietary Limited, this ETF aims to replicate the performance of the Top 20 shares listed on the JSE, while adhering to capped weightings for each constituent to manage risk effectively.
Investors have eagerly anticipated this listing, as it offers a prime opportunity to diversify their portfolios and gain exposure to a diversified selection of the top-performing shares within the South African equity market. The ETF’s capped approach ensures a prudent allocation of weightings to manage potential risks associated with concentration in certain sectors or companies.
In preparation for the listing, CoreShares has set the issue price of the Coreshares Wealth Top 20 Capped ETF securities at R10.07 per unit. This competitive price provides both retail and institutional investors with an attractive entry point into the market, enabling them to tap into the growth potential of some of South Africa’s leading companies.
At the time of the listing, the total number of Coreshares Wealth Top 20 Capped ETF securities in issue will reach 18,001,000, indicating the growing popularity of this investment product among investors seeking exposure to the country’s top-performing equities.
The ETF’s underlying index, the Coreshares Wealth Top 20 Capped Index, includes a selection of twenty companies representing a diverse range of sectors within the JSE. The index methodology includes a cap on individual company weightings to avoid an excessive concentration of risk in any one company. This approach aligns with CoreShares’ commitment to providing clients with efficient, transparent, and cost-effective investment solutions.
The listing of 500,000 additional securities comes as a result of CoreShares’ continued efforts to meet the increasing demand for their ETF products. The company’s dedication to delivering innovative investment solutions has positioned them as a leading player in the South African ETF market.
As part of the listing process, Grindrod Bank Limited served as the corporate advisor and sponsor, facilitating the successful integration of the Coreshares Wealth Top 20 Capped ETF into the JSE’s trading platform.
The JSE listing of the Coreshares Wealth Top 20 Capped ETF securities marks a significant milestone for CoreShares, validating their approach to index tracking and further solidifying their position as a prominent player in the South African investment landscape.
Investors and market participants are keenly anticipating the listing on Friday, 04 August 2023, which is expected to generate increased trading activity and investment interest in the Coreshares Wealth Top 20 Capped ETF. As investors continue to seek diverse and robust investment options, ETFs like this one have become increasingly popular due to their liquidity, cost-effectiveness, and potential for capital appreciation.
CoreShares Index Tracker Managers (RF) Proprietary Limited’s listing of 500,000 Coreshares Wealth Top 20 Capped ETF securities is a testament to the company’s commitment to providing accessible and well-structured investment products that cater to the evolving needs of the South African investor community.
Investors looking to participate in the listing are encouraged to consult with their financial advisors to determine how the Coreshares Wealth Top 20 Capped ETF can complement their investment strategies and help them achieve their financial goals.