The Pakistan Stock Exchange (PSX) Tuesday formally launched a new and innovative HBL Total Treasury Exchange Traded Fund (ETF). The launch of the Fund will facilitate investment in a diversified pool of fixed income government debt securities. The launching ceremony was attended by Chairperson of the PSX Board Dr Shamshad Akhtar, MD & CEO of PSX Farrukh H. Khan, President & CEO of HBL Muhammad Aurangzeb, Chairman of the Board HBL Asset Management Limited Shahid Ghaffar, CEO of HBL Asset Management Limited Mir Adil Rashid; treasurer of HBL Risha Mohyeddin, and senior management of the three organisations including several directors of HBL Asset Management Limited.

Also present were CEO of Central Depository Company Limited Badiuddin Akber and CEO of National Clearing Company of Pakistan Limited Muhammad Luqman, among others. The ETF, the seventh to be launched on the PSX, is a first of its kind, as it consists of a blend of government debt securities as the underlying asset class, according to a PSX statement received by WealthPK. This security is structured in the ETF form for investors to easily invest in a diversified pool of fixed income government debt securities. 

The HBL Total Treasury ETF’s underlying assets consist of cash & cash equivalent, Treasury Bills (T-Bills) and Pakistan Investment Bonds (PIBs). It is an open-ended fixed income ETF which tracks its benchmark index, the HBL Total Treasury Index (HBLTTI). “The launch of the seventh ETF on the PSX, the HBL Total Treasury ETF, is an important and exciting development for the stock market, investors and all stakeholders,” said MD & CEO of PSX Farrukh H. Khan while speaking on the occasion.

He said the ETF was the first of its kind and investors could now easily invest in a diversified pool of fixed income government debt securities by doing a single trade through their brokers on the ready counter of the exchange. "Therefore, investing in government securities is now as easy as investing in shares on PSX."

He said the introduction of the HBL ETF was part of the PSX and the mutual fund industry’s effort to provide a wide range of low-cost ETFs for investors, allowing them to easily take exposure to different asset classes and investment strategies. CEO of HBL Asset Management Limited Mir Adil Rashid said HBL Total Treasury ETF had been listed and was being traded on the Pakistan Stock Exchange with an objective to provide consistent returns to investors through active investments in a blend of short, medium- and long-term securities issued and/or guaranteed by Government of Pakistan.

Credit: Independent News Pakistan-WealthPk