By Luckmore Safuli
THE Victoria Falls Stock Exchange (VFEX) is bullish of new listings in 2021 and has announced plans to set up a settlement guarantee fund meant to instil confidence among investors.
Dubbed the ‘game-changer,’ the Victoria Falls Stock Exchange (VFEX), which was launched as part of government’s efforts to transform the resort city into an off-shore financial services centre, is eyeing more listings this year and introduction of new exciting financial products beyond shares.
Zimbabwe Stock Exchange (ZSE) Chief Executive, Mr Justin Bgoni is convinced that there are positive prospects for the bourse with more focus on attracting new listings and boosting investor confidence.
“What we want is to make the bourse grow and be successful and there are four things that we are working towards in 2021. The first thing is to attract new listings on the exchange so we are talking to several people that are interested and that includes companies that were suspended on ZSE. The second thing is to give people confidence that they can participate on the exchange,” he said.
As part of efforts to instil confidence, VFEX is working with shareholders to raise a guarantee fund and is also engaging banks to enable people to buy shares from the financial institutions.
“We are working with our shareholders and our market participants to raise a guarantee fund and what that fund does is that you get assures that as soon as your trade is done on the exchange you get your shares and your money. So that is a big thing we are working on,” he said.
As part of medium-term plans, VFEX is also seeking an equity partner with engagements currently underway with potential partners.
Since the bourse was launched on the 23rd of October 2020, SEEDCo International is still the only counter listed on the Victoria Falls Stock Exchange.