The Domestic Company Total Return Index (DCTRI) extended its momentum of gains with an increase of 1.2 percent during the month of October. On a year-to-31 October 2021 basis, the DCTRI appreciated significantly by 9.2 percent in comparison to a decrease of 3.6 percent in the corresponding 2020 period.
The Domestic Company Index (DCI) followed a similar trajectory of continued appreciation during the month of October with an increase of 0.6 percent. Overall, during the period 1 January to 31 October 2021, the DCI appreciated by 0.9 percent in comparison to a decrease of 8.1 percent during the same period in 2020. The Foreign Companies Index (FCI) appreciated by 0.1 percent on a year-to-date basis in 2021 compared to a decline of 1.0 percent over the same period in 2020.
The top three traded companies during the period under review were ABC (P1.1 billion), Letshego (P98.9 million) and FNBB (P78.3 million). The total turnover from these three companies accounted for 77.2 percent of total equity turnover, with the leading counter ABC accounting for 66.3 percent of total equity turnover.
ABC’s significant contribution to total equity turnover resulted from a record-breaking trade worth P1.071 billion following Access Bank’s 78.15 percent acquisition of BancABC Botswana. The trade represented a historic moment as the BSE recorded the highest turnover ever to be recorded in a day since its inception (P1.072 billion) on 11 October 2021. In comparison to the same period in 2020, the top three traded companies accounted for 47.1 percent of total equity turnover with the leading counter Letshego accounting for 23.3 percent (P140.2 million) of total equity turnover.
The top gainer was Letshego with a 66.7 percent growth in share price, followed by Tlou and Seed Co with gains of 51.5 percent and 45.9 percent respectively. Turnstar experienced the biggest decline in share price of 28.0 percent followed by Chobe and Sechaba with declines of 22.1 percent and 19.4 percent respectively. Local companies contributed 56.0 percent to total equity turnover or P906.0 million in monetary terms while local individuals contributed 2.2 percent or P35.9 million in monetary terms during the period under review. Foreign companies contributed 39.9 percent or P645.6 million to total equity turnover while foreign individuals and brokers contributed 1.9 percent (P30.0 million) and 0.0 percent (P0.3 million) to equity turnover respectively.
ETFs turnover thus far in 2021 amounted to P71.2 million in comparison to P127.5 million generated during the same period in 2020. In terms of volume, ETFs traded 428,125 units in 2021. The Cloud Atlas S&P African Sovereign Bond ETF (BASBI) gained 6.1 percent during the month of October following its listing in September 2021.
The portfolio tracks the S&P African Hard Currency Sovereign Bond Select Index (USD), consisting of African Sovereign Bonds denominated in Euros, Japanese Yen and US Dollars from the African countries with a credit rating above B- currently: Egypt, Ghana, Kenya, Morocco, Namibia, Nigeria, and South Africa. The Cloud Atlas AMI Big50 excluding-South Africa ETF (BAMIB50) gained 7.5 percent during the month of October following its listing in September 2021. The portfolio tracks the AMI Big50 ex-South Africa Index and offers investors exposure to the top 50 primary listed companies in various African countries except South Africa. Further, the ETF is designed to reflect a liquid basket of constituents for investors looking for Pan African exposure without the hassles of deciding what to buy. The NewPlat and NewFunds ETF prices gained 6.9 percent and 13.4 percent respectively while NewGold ETF price declined by 3.0 percent so far in 2021.
