WSA, a Nairobi-based financial media and fintech company, said the fund will allow investors to gain exposure to a basket of listed banking stocks through a single investment rather than purchasing shares in individual banks.
Founder and Chairperson Eric Asuma described the approval as more than the launch of a single financial product. “As important as the ETF itself is, this is really a story about expanding and widening our capital markets and innovating in our capital markets,” Asuma said.
According to CMA, the WSA Banking ETF will become Kenya’s first locally domiciled ETF and is expected to list during the fourth quarter of 2026.
Although two ETFs are already listed on the Nairobi Securities Exchange (NSE), Asuma noted that both are domiciled outside Kenya. Existing products include the Satrix MSCI Kenya ETF and an Absa-linked gold ETF.
The new fund will focus on Kenya’s banking industry, which Asuma described as one of the strongest-performing banking sectors globally in terms of returns on investment. “The banking industry is one of the most liquid sectors in the market and commands a significant share of the entire exchange,” Asuma said.
The ETF will track a basket of listed banking shares, giving local and international investors a simpler and more diversified route into the sector. “The idea is simple. We are creating one basket that tracks the entire industry. You make it easier for any person to invest in one of the best-performing banking industries in the world in the most efficient and transparent way,” Asuma said.
The launch comes as the NSE experiences strong market performance. Asuma said the exchange ranked among the world’s top-performing stock markets by the end of July, benefiting from improving economic conditions, stable inflation and a stronger currency.
Regulatory reforms have also helped broaden market access. Recent initiatives include allowing retail investors to purchase shares through Kenya’s mobile money platform M-Pesa, a development aimed at increasing participation among smaller investors.
Asuma said one of the long-standing challenges facing Kenya’s capital markets has been the lack of innovative investment products. “Investors are looking for more innovative products to access the markets and support the economy. Lack of products has been a major challenge,” Asuma said.
Looking ahead, Wall Street Africa plans to continue developing products designed to attract both domestic and international investors.
Asuma said deeper integration with global financial centres remains critical, adding that Nairobi has the potential to become “the Hong Kong of Africa” by strengthening connections between African markets and investors in New York, London and Dubai.
–ChannelAfrica–
