Nedbank Capital Beta Solutions provide a range of benchmarks and indices to assist investors in the measurement of performance of different markets and market segments. We respond to the challenge of providing indices that are representative of the market it seeks to reflect, using clear, concise and transparent methodologies. We also believe that indices in less developed markets need to include features which are familiar to investors running international portfolios to facilitate foreign portfolio flows.
Three uniquely African investment solutions with multiple benefits and characteristics are offered:
Invest - Nedbank African Mining Index Series (NAMI)
“Invest in African Mining via 1st World Financial Markets”
Diversify - Nedbank Africa Equity Index Series
“Broadening Africa’s Horizons”
Cover - Nedbank South African Junior Mining and Exploration Indices (NSJME)
“Enabling wealth to emerge” Invest - Nedbank African Mining Index Series (NAMI)
“Invest in African Mining via 1st World Financial Markets”
The Nedbank African Mining Index Series (NAMI series) provide a measure of the performance of Energy, Metals and Mining Producers operating primarily on the African continent, irrespective of the country of primary stock exchange listing. It covers all listed mining operations in Africa, irrespective of domicile of exchange listing. No exploration companies are included - only operations which are already in production of at BFS stage.
The index series accommodates six different commodity groups (Diversified Metals and Mining, Gold Mining, Platinum Group Metals, Base Metals, Energy and Other Mining and Minerals). The index series differentiates between Major and Junior producers. Indices are available for all categories of producers and commodities, as well as for combinations thereof. These indices are designed to be both performance benchmarks and investable opportunities.
back to top Diversify - Nedbank Africa Equity Index Series
“Broadening Africa’s Horizons”
The Nedbank Africa Equity Index Series is designed to represent the performance of a broad-based range of African companies, providing investors with comprehensive, replicable and transparent indices, which measure the performance of the major geographical and economic segments of the African continent. This index series has been designed in response to investors who are increasingly looking for ways in which to invest in Africa. It serves a dual purpose: - to provide broad-based exposure to the largest, most liquid companies listed on stock exchanges in Africa
- to capture new emerging markets in the early stages of its development.
It is also designed to provide the basis on which to structure tradable products through which access can be gained to Africa’s exciting investment opportunities.
The purpose of the indices is primarily that of performance benchmarks, and as such, has important functional specifications to ensure that the heterogeneous nature of the wide range of equities, markets and countries will be captured. Whilst its aim is to provide a legitimate benchmark to investment managers investing in the region, it is constructed in such a way that performance will not be skewed to predominant markets such as Egypt and Nigeria.
An equally important second purpose is that the indices have to be investable to the extent that its performance should be replicable within reasonable limits. As such, minimum market cap and liquidity criteria have been specified and limits have been placed on exposure to individual stocks, and to specific markets and sectors.
There are currently two indices in this series: - The All Africa ex South Africa 100 (AAXSA-100) Index: An index consisting of the 100 top listed equity counters of 13 African stock exchanges, excluding South Africa, namely Botswana, Bourse Regionale des Valeurs Mobilieres (BRVM), Egypt, Ghana, Kenya, Malawi, Mauritius, Morocco, Nigeria, Tunisia, Uganda, Zambia and Zimbabwe
- The Sub-Saharan ex South Africa 50 (SSAXSA-50) Index: An index consisting of the 50 top listed equity counters of 10 Sub-Saharan African stock exchanges, excluding South Africa, namely Botswana, Bourse Regionale des Valeurs Mobilieres (BRVM), Ghana, Kenya, Malawi, Mauritius, Nigeria, Uganda, Zambia and Zimbabwe
back to top Cover - Nedbank South African Junior Mining and Exploration Indices (NSJME)
“Enabling wealth to emerge”
The Nedbank South African Junior Mining and Exploration Indices (NSJME) was launched in September 2006, to provide greater visibility for this underexposed sector. Following considerable investor demand for a tradeable entry into this particular basket of shares, a derivative version of this index was launched later that year. The Nedbank South African Junior Mining & Exploration Index Excluding Dual Listed Shares (NSJMEX) was constructed mainly to satisfy forex regulations of the Reserve Bank regarding constraints on inward dual listed shares and derivative products.
The NSJME tracks all mining companies (excluding oil and gas) listed on the JSE Securities Exchange, that is NOT a constituent of the Top40 Index, or that would normally be a member of the Top40 Index if it were not for limited liquidity.
It includes companies across all the JSE’s boards and sectors (e.g. Alt-X, etc.), except for companies controlled by another company listed on the JSE. Stocks are not liquidity screened to be considered for eligibility. The NSJMEX excludes all inward dual-listings from the eligible constituents. This index has primarily been designed as a performance benchmark and due to low liquidity we do not recommend its use as an investable product.
back to top The indices are all carried by the major data vendors, i.e. I-Net, Reuters, etc. For more information on these indices, including subscriptions or investment opportunities, please contact us on BetaSolutions@nedbank.co.za
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