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BSE moves to open bond market to ordinary citizens

Alternative pathways: Monyatsi is seeking more room for retail investors PIC: MORERI SEJAKGOMO
Alternative pathways: Monyatsi is seeking more room for retail investors PIC: MORERI SEJAKGOMO

The Botswana Stock Exchange (BSE) has announced intentions to boost liquidity and activity through opening the bond market to retail traders.

The exchange says the current bond market is primarily accessible to institutional investors such as pension funds and large commercial entities.

Retail bonds are an ‘IOU’ in which an investor agrees to loan money to an individual, company, or government in exchange for a predetermined interest rate. Retail trade of bonds is more common in developed capital markets such as Wall Street which has some retail traders holding their pensions in popular stocks.

Editor's Comment
Tana project a welcome development

Whilst the project received mixed reactions from members of the public, the project is indeed a welcome development, which needs to be implemented as soon as possible. Many shared their opinion, with those against the project decrying that if implemented, it will kill the already struggling public transport industry.Many countries around the world have state-run public transport, and those who have travelled to such countries will give testimony...

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