Seychelles: Zimbabwe to Get First Gold ETF On Victoria Falls Exchange

First Mutual Wealth Management is preparing to list Zimbabwe's first gold exchange-traded fund on the Victoria Falls Stock Exchange, with a target launch date of May 8, 2026.

The fund, called the First Mutual Wealth Gold ETF, will be denominated in US dollars with an initial net asset value of $10 million across 100 million units. Subscriptions ran from April 22 to April 30.

The ETF is designed to provide exposure to gold through a single listed instrument. It will track a portfolio combining the 1nvest Gold ETF with a 50% allocation, alongside four gold mining stocks weighted equally at 12.5% each.

The fund will be passively managed and open-ended, with daily net asset values. Units will be tradable on the exchange and can be created or redeemed by authorized participants.

The listing is part of efforts to expand products on the Victoria Falls Stock Exchange and attract instruments denominated in foreign currency.

Key Takeaways

The launch of a gold ETF on the Victoria Falls Stock Exchange reflects growing demand for hard currency investment options in Zimbabwe. With gold prices rising sharply and expected to remain elevated, investors are seeking ways to gain exposure to the commodity without holding physical assets. An ETF structure provides liquidity, transparency and ease of access, allowing investors to trade gold-linked exposure through local brokers. For the exchange, the listing supports its strategy to position itself as a platform for dollar-denominated assets, which are attractive in an environment where local currency stability remains a concern. The inclusion of both a gold ETF and mining equities introduces a blended exposure, combining direct price tracking with operational leverage from mining companies. For investors, this creates a diversified gold-linked instrument, though it also introduces equity risk. The success of the product will depend on liquidity, investor education and the ability of the exchange to attract participation from both local and international investors.

Read the original article on Daba Finance.