FinEx money market ETF launched in Russia off Solactive T-Bill index
FinEx Capital Management has launched the first money market ETF in Russia through the Moscow listing of its Cash Equivalents Ucits ETF, using the Solactive 1-3 Month US T-Bill index.
The underlying index follows the dollar denominated T-Bill market. Eligible T-Bills must have a time to maturity of 1-3 months, be issued by the US government, with an outstanding amount of at least $250m. Solactive estimates T-Bills make up about 13% of the $11.6trn marketable debt market.
The index uses a currency hedge, which is seen as a factor that makes the index particularly interesting for Russian investors.
Martin Bednall, managing director of ETFs at FinEx Capital Management said: “The launch of the FinEx Cash Equivalents Ucits ETF provides the perfect solution to the needs of many Russian investors. Backed by AAA assets, a ruble investor can access high returns with maximum liquidity. This product really does open up the capital markets to all Russian investors looking for a safe place to hold their cash. For non-ruble investors this product is the first European ETF to offer a pure play on the Russian ruble.”
The Solactive 1-3 Month US T-Bill index is rebalanced monthly.
The FinEx Cash Equivalents Ucits ETF was previously listed in Dublin.