Sofia-based Expat Asset Management has launched the first ETF in Bulgaria providing exposure to gold.

Manyu Moravenov, Executive Director of the Bulgarian Stock Exchange and Daniel Donchev, CEO of Expat Asset Management celebrate the listing of the Expat Gold.

The Expat Gold (GLDX BU) has listed on the Bulgarian Stock Exchange and comes with a management fee of 1.00%.

The fund, which tracks the London Metal Exchange PM Price Reference – Gold, gains its exposure to bullion by investing in futures contracts or via third-party physically-backed gold ETCs.

The fund enables Bulgarian investors to conveniently access gold through a liquid and transparent wrapper at a low investment threshold – the product’s minimum trading volume is one share, priced at just €1 at launch.

Gold is seen by many as playing a useful role within a diversified investment portfolio as its price has historically increased in response to geopolitical events that cause the value of stocks and bonds to decline. Additionally, gold is viewed as an effective hedge against inflation and a long-term store of value.

Manyu Moravenov, Executive Director of the Bulgarian Stock Exchange, commented: “The listing of the first gold fund is an emblematic event for the Bulgarian capital market at the beginning of 2021. It has become a tradition for Expat Asset Management to set the trends by launching brand new products which is a pre-condition for strengthening the investment interest in the stock market.”

Local brokerage Benchmark Finance has been appointed as market maker for the fund.