InterCapital Asset Management, Croatia’s largest independent investment manager, aims to launch a new ETF at the Bucharest Stock Exchange (BVB), offering investors access to Romanian EUR-denominated government bonds.
ETFs or “exchange-traded funds” are similar to mutual funds in that they invest in a basket of securities, such as stocks, bonds, or other asset classes.
The InterCapital EUR Romania Govt Bond 5-10yr UCITS ETF, currently listed on Zargeb bourse’s regular market segment and trading under the ticker 7GROM since June 5, 2024 has already raised 5.5 million euros in under six months, showcasing the strong appeal of Romanian bond yields to international investors.
Alongside the launch of the InterCapital EUR Romania Govt Bond 5-10yr UCITS ETF, the Croatian company also plans to introduce an ETF that will track the SBITOPtr index, the primary equity benchmark of the Ljubljana Stock Exchange, comprising nine Slovenian blue-chip stocks. Both ETFs are expected to begin trading on the BVB by year-end. Over the nine-year period ending on November 1, 2024, both the SBITOPtr and BVB’s BET-TRN indices achieved an impressive total return of 292% in euros, reflecting a 16% annual return.
Ivan Kurtovic, Chairman of the Management Board at InterCapital Asset Management
“Announcing this launch just before Romania’s National Day on December 1st, is our way of honoring the strong economic potential of Romania and celebrating its progress. This ETF represents a bridge between investors and the opportunities Romania offers, enabling them to contribute to and benefit from the country’s development,” stated Ivan Kurtovic, Chairman of the Management Board at InterCapital Asset Management.
InterCapital Asset Management has been present in Romania since 2023, offering Romanian investors access to the BET-TRN index through the BET-TRN UCITS ETF which began trading on May 29, 2024 under the symbol ICBETNETF. This ETF provides a diversified portfolio across 20 blue-chip companies listed on the Bucharest Stock Exchange, blending defensive assets with dynamic local entrepreneurial firms.
This product enables even small-scale investors to gain exposure to Romania’s local market, supporting a diversified investment portfolio with modest entry capital. The BET-TRN UCITS ETF is the first ETF on the BVB that is also tradable on other exchanges, in Zagreb and Ljubljana.
BET-TRN stands for “Total Return Net,” meaning the index reflects not only the price movements of the blue-chips but also assumes that net dividends are reinvested.
InterCapital is managing over 500 million euros and has a portfolio that includes 19 classic funds and 5 ETFs. The company is 1st SEE asset manager that has pivoted from classic UCITS funds into ETFs and digital robo-advisory space with its APP Genius.
