Egyptian Exchange (EGX) and Beltone Financial signed an agreement that allows the company to launch XT-MISR, an exchange traded fund (ETF) that mirrors the performance of CASE 30 Index.
EGX Chairman, Dr. Mohamed Omran, said that the activation of index funds would contribute to the diversification of financial tools and other alternatives used by investors.
Omran added that securities will be traded on daily basis within the XT-MISR fund, which is expected to operate in 6 weeks.
The CASE 30 Index measures the movement of stocks, reflecting market price and market direction, making XT-MISR an open-ended fund investing in securities simulating the performance of the CASE 30 Index, which includes the top 30 traded companies in terms of liquidity and activity.
Beltone Financial’s Chairman, Alaa Sabaa, said that XT-MISR is the first of its kind in the Arab region; serving as a simple and easy means of spreading exposure in a diverse portfolio.
XT-MISR is an excellent vehicle for institutions and individuals to take advantage of the investment opportunities that exist today, he added.
Beltone (BTFH.CA) was the first firm to call for the launch of an index fund in Egypt in 2008, before the global financial crisis intervened.