FNB expanded its Exchange-Traded Note (ETN) offering yesterday with eight new ETNs, bringing the banks range of ETNs to a total of 50.
Sebastian Pillay, the head of Share Investing at FNB, said in a statement the new ETNs corresponded with their focus on sectors that promised growth and innovation and represented a response to challenges facing local markets, notably the JSE delisting trend, low investment volumes, and the need for greater geographic portfolio diversification opportunities.
He said the ETNs would give South African investors easy and affordable access to leading companies operating in pivotal global sectors of AI and technology, tourism and travel, pharmaceuticals, and cybersecurity.
ETNs are financial instruments that allow investors to gain international exposure to the performance of underlying assets, or indices, without the need to own them directly or taking your money offshore.
FNBs new ETNs provide investors with a direct link to AI and Tech, through the Nvidia ETNs, tourism and travel through FNBs Booking Holdings ETNs, pharmaceuticals through the Eli Lilly and Co ETNs and cybersecurity through the Palo Alto Networks.
'These ETNs, combined with the others in the FNB stable, reflect our alignment with both global and domestic market trends, Pillay said.
With a low minimum investment requirement of just R10, and no minimum fees and charges, the accessibility of the FNB ETNs also underscored FNBs commitment to investment democratisation, said Pillay.
