A platinum exchange-traded fund (ETF) could be launched on the Johannesburg Stock Exchange (JSE) this year, it emerged today (7th May).

Commodity-based ETFs have grown in popularity since the advent of the financial crisis as they offer safe havens while other investments carry an excessive amount of risk.

The JSE is also aiming to launch an ETF in South Africa which would trade blue-chip firms from other major African nations such as Egypt, Kenya and Nigeria, Reuters reports.

"It's a few months away at least still, even if the market conditions are right. I'm hoping that it will be this year," JSE Chief Operating Officer Leanne Parsons told the news provider.

Ms Parsons also revealed that the JSE is hoping to attain final regulatory approval for the first dark pool in Africa, which would be launched in June and known as 'Block X'.

Dark pools are venues which help the major parties involved in large stock order transactions to avoid divulging key information to the rest of the market prior to the trade.

Platinum and palladium ETFs were launched for the first time in the US in January 2010.

Source:

S Africa bourse eyes platinum fund (07/05/10)

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