Zimbabwe gets first gold ETF as First Mutual targets May listing

First Mutual Wealth Management (FMWM) is set to launch Zimbabwe’s first gold-backed exchange-traded fund (ETF) on the Victoria Falls Stock Exchange (VFEX), with a listing scheduled for May 8, 2026, as investors seek exposure to surging bullion prices.

Gold prices have rallied more than 60 percent in 2025, with forecasts pointing to a range of $5,500 to $6,500 per ounce by the end of 2026—fueling interest in gold-linked investment products across frontier markets.

According to African Markets, the First Mutual Wealth Gold ETF (FMWG ETF) will be denominated in US dollars, with an initial net asset value of $10 million spread across 100 million units.

“Subscriptions for the fund opened on April 22 and close on April 30. The ETF is managed by FMWM, a subsidiary of First Mutual Holdings Limited, which first announced plans for the product in July 2025,” the real time trading platform said on its website.

The fund is designed to give Zimbabwean investors offshore gold exposure through a single, locally listed instrument—removing the need to access foreign exchanges directly. It will track a blended portfolio comprising a 50 percent allocation to the 1nvest Gold ETF and four blue-chip gold mining equities, each weighted at 12.5 percent.

Structured as a passively managed, open-ended fund, the ETF will publish daily net asset values. Units will be tradable on the VFEX through registered brokers and can also be created or redeemed by authorised participants in prescribed lot sizes.

For the VFEX, the listing marks a significant step in its strategy to deepen market activity by introducing hard-currency instruments and diversifying beyond traditional equities. For investors, it provides a regulated pathway to hedge against currency risk and inflation through gold exposure.

South Africa remains the continent’s most developed market for exchange-traded gold products, with instruments such as the 1nvest Gold ETF and Absa NewGold ETF widely traded and cross-listed on exchanges in Botswana, Ghana, Nigeria, and Mauritius.

Despite Africa’s substantial gold reserves—particularly in countries such as Algeria, Libya, Egypt, and South Africa—the adoption of exchange-listed gold ETFs remains limited, highlighting the significance of Zimbabwe’s entry into the segment.