Vetiva Fund Managers Announces ETFs Rebalancing 

Kayode Tokede 

Vetiva Fund Managers Limited (VFML) has announced the rebalancing of its suite of Exchange Traded Funds (ETFs) in line with the bi-annual review of the Nigerian Exchange Limited (NGX) indices.

This routine exercise ensures that the Vetiva Equity ETFs continue to accurately reflect the performance and composition of their respective underlying indices.

ETFs are investment securities designed to mirror the performance of a specific index, commodity, or basket of assets.

Vetiva’s ETF suite includes the Vetiva Griffin 30 ETF, Vetiva Banking ETF, Vetiva Consumer Goods ETF, Vetiva Industrial ETF, and the Vetiva S&P Nigerian Sovereign Bond ETF.

These funds respectively track the NGX 30 Index, NGX Banking Index, NGX Consumer Goods Index, NGX Industrial Index, and the S&P/FMDQ Nigeria Sovereign Bond Index.

Like regular stocks, the ETFs are listed and traded on the NGX, and investors can purchase units through any licensed stockbroker.

Speaking on the subject, a Portfolio Manager at VFML, Ms. Jesusetuntun Ajagun, explained that ETFs make it easy for investors to achieve their investment goals.

She noted that ETFs offer several advantages, such as diversification—meaning an investment in a singular ETF provides the investor access to a number of different underlying stocks/securities which invariably reduces risk.

Ajagun also mentioned that ETFs are transparent because the indices they track and the constituents of those indices are publicly available, so investors can easily see the constituents of each ETF.

Addressing specifically the inbound and outbound stocks following the rebalancing exercise, Ajagun stated that the NGX 30 index will be welcoming recently listed Aradel Holding Plc and Wema Bank Plc, while Conoil Plc and Julius Berger Plc will be heading in the opposite direction.

In the same manner, the NGX Consumer Goods index will see Mcnichols come in, while Goldbrew exits the index.

Other changes include the NGX Industrial index seeing Austinlaz coming in, while Notore exits the index. However, no changes were made to the individual components of the NGX Banking Index.

Ajagun further stated that Vetiva’s ETFs have closely mirrored the performance of the indices they track, reflecting general trends in the stock market.

She presented information on some of the Vetiva Equity ETF Year-to-date performance as of June 2025, alongside data on the relevant indices being tracked.

As of 30th June 2025, the NGX 30 Index, NGX Banking Index and the NGX Consumer Goods Index returned 16.03 per cent, 18.06 per cent and 52.21 per cent year-to-date respectively with similar price return reflected in the relevant ETFs tracking the indices.

Notably, the Vetiva Griffin 30 ETF returned 17.55 per cent, Vetiva Banking ETF returned 17.43 per cent and Vetiva Consumer Goods ETF returned 52.33 per cent in the same period.

Finally, she highlighted the cashflow benefit of ETFs, pointing out that the Vetiva Griffin 30 ETF has paid dividends every year since its listing in 2014 —making ETFs attractive to investors with income objectives.