The GOVI Exchange Traded Fund (ETF) tracks the performance of South African Government Bond Total Return Index. This index comprises bonds issued by the South African government, including only those issues in which the Department of Finance obliges the Primary Dealers to make a market.
On a monthly basis all coupons received are reinvested into the fund so as to increase the net asset value of the portfolio and consequently increase the value of each unit.
The GOVI ETF is suitable for investors seeking low-cost convenient alternatives to traditional non-listed products. The GOVI ETF can act as a building block for investors to use when constructing their own portfolios.