The Kazakhstan Stock Exchange (KASE) plans to launch the country’s first exchange-traded funds linked to KASE indices, marking a milestone for Kazakhstan’s capital markets.
The move will allow retail investors to gain exposure to the domestic market using a structure similar to widely followed global benchmarks such as the S&P 500 and the Nasdaq.
Two funds planned
According to KASE, the funds were developed by BCC Invest and have already been registered. The exchange said trading start dates and ticker symbols will be announced later.
The first ETF will track the main KASE index, which reflects the performance of Kazakhstan’s largest publicly listed companies. The fund is intended to give investors a straightforward way to invest in the country’s key issuers through a single instrument.
Option for conservative investors
The second fund, the MBM Index KASE ETF, is aimed at more risk-averse investors. It will focus on government securities and money market instruments.
What is an ETF?
An exchange-traded fund, or ETF, trades on an exchange like a stock. It typically holds a basket of assets — such as shares, bonds, commodities or a mix of investments — allowing investors who buy a single ETF share to gain exposure to all the underlying assets.
