ETF Energie Patria Tradeville, the first sectorial ETF, listed on the Bucharest Stock Exchange

Patria Asset Management, part of the Patria Bank group, lists today, February 22, the first sectorial ETF on Bucharest Stock Exchange’s Regulated Market under the ticker PTENGETF.

“The energy sector was one of the strengths of our market and contributed significantly to the resilience of the Romanian stock market in the face of the corrections recorded last year by the international markets. We congratulate Patria Asset Management for this initiative and are glad that investors will have a useful tool for diversification. Investing in an ETF is the easiest way for investors to invest in a specific sector in order to take advantage of the opportunities offered by the companies in that index. At the same time, smaller amounts of money are needed to buy the fund units of an ETF than the amounts that would be needed to directly buy the shares in the respective index and in similar volumes in order to replicate as closely as possible the structure of the index”, stated Bucharest Stock Exchange’s President, Radu Hanga.

ETF Energie Patria-Tradeville was launched at the beginning of 2023 and aims to replicate the performance of Bucharest Stock Exchange’s BET-NG index, dedicated to the energy sector and related utilities. The fund will reinvest the dividends that the companies in the BET-NG index will distribute. The composition of the BET-NG index can be found here.

“We are happy to launch the first sector ETF in Romania and to provide an easy-to-use tool to indirectly access the performance of energy stocks. This development follows the success of our other listed fund managed by us, ETF BET Patria – Tradeville, which is included in the portfolios of an increasing number of investors on the BVB. We will continue to develop the range of products offered and launch innovative products in the future as well”, said Patria Asset Management’s CEO, Razvan Pasol.

This is the second ETF available on the Bucharest Stock Exchange, after ETF BET Patria – Tradeville, listed on the Stock Exchange’s Regulated Market and tracking BVB’s main index, BET. ETF BET Patria – Tradeville recorded in 2022 a 54.1% increase in assets up to RON 72.1mn on 31.12.2022 and a 65.7% increase in the number of investors up to 7,217 on the same date.

“Patria Asset Management’s initiative is commendable, and we hope to have more such products listed on BVB. We want to offer investors as diverse tools as possible through which they can structure their portfolios and trade their investment ideas. ETFs are a very common instrument on international capital markets and offer investors multiple opportunities to gain exposure to various sectors or markets and are useful both to retail and institutional investors. At the same time, ETFs prove one of the most important purposes of stock market indices, that of being investable, of being tradable. Investing in an ETF is a passive investment and indicated for investors who do not have the time to study and track all the companies in the index and who, whenever they need to liquidate their investment, can do so very quickly by selling their ETF fund units directly on the stock exchange“, mentioned BVB’s CEO Adrian Tanase.

ETF BET Patria – Tradeville and ETF Energie Patria – Tradeville are managed by SAI Patria Asset Management and benefit from SSIF TradeVille’s liquidity provider (market maker) services.

“Once again, more than 11 years after the launch of the first ETF in Central and Eastern Europe (ETF BET Patria – Tradeville – TVBETETF), TradeVille is in the vanguard of online trading in Romania, through its contribution to the launch of the second ETF that bears our name. We are now talking about a sectorial ETF, focused on the energy field, ETF Energie Patria – Tradeville, resulting from the cooperation with Patria Asset Management. We are an authorized participant and market maker for this product which is designed to help clients who want to invest in the energy sector during an effervescent period in terms of prospects and investor interest. The fund will track the BET-NG index and will be accessible to all clients with trading accounts at BVB. In addition, this ETF also benefits from preferential commissions when trading through TradeVille”, said Miriam Andrei, TradeVille’s CEO.