About the African Domestic Bond Fund

About the African Domestic Bond Fund

  • An enhanced index ETF benchmarked to the AfDB/AFMISM Bloomberg® African Bond Index 25% Capped.
  • Primarily invested in local currency government and quasi-government bonds in eight African markets, comprising of Botswana, Egypt, Kenya, Namibia, Nigeria, South Africa, Ghana and Zambia.
  • A diversified exposure in African fixed income markets via a transparent and cost effective vehicle.
  • Base currency: US Dollars.

Fund objective

The ADBF is an exchange traded fund that will aim to track the performance of the AfDB/AFMISM Bloomberg® African Bond Index 25% Capped before fees and expenses.The Manager will seek to achieve this investment objective by employing a stratified sampling approach to match the underlying characteristics and returns of the Index through investing in a well-diversified portfolio that represents the index.

About the Index

ADBF will be benchmarked to the AfDB/AFMISM Bloomberg® African Bond Index 25% Capped (i.e. the Underlying Index), which is constructed and published by Bloomberg LP.

The Index is a rules-based market value weighted composite index comprising local currency sovereign debt from South Africa, Egypt, Nigeria, Kenya, Namibia, Botswana, Ghana and Zambia. Country percentage contribution to the index is capped at 25%. It is expected that other African sovereign countries will be added to the Index over time.

Cumulative Performance


Annualised Performance (as at Feb 2nd 2018)

1-Year3-YearSince Inception
(Jul 2012)

Index Characteristics (as at Jan 2018)

Yield to Worst (%)Modified Duration (Yrs)Number of BondsAverage quality
Rebalance frequencyNumber of CountriesMarket Cap (USD)Weighted Methodology
Monthly8180 billionMarket Capitalization, with any single country capped at 25% max

The Structure of the Fund

ADBF is incorporated in the Republic of Mauritius as a public company limited by shares with a Category I Global Business Licence issued by the Financial Services Commission of Mauritius, and is authorised to operate as a “Collective Investment Scheme” pursuant to the Securities Act 2005. It is further categorised as a “Global Scheme” under the Securities (Collective Investment Schemes and Closed End Funds) Regulations 2008. ADBF will initially be listed on the Stock Exchange of Mauritius Ltd, with secondary listings planned in other jurisdictions, at a later stage.

ADBF will benefit from double taxation avoidance treaties to which Mauritius is a party.

By investing in ADBF, investors can also avail of investor protection agreements signed by the Government of Mauritius and other African Governments.

Download PDF version of ADBF guide.