NewGold Issuer Limited (RF), an issuer of the largest exchange traded funds (“ETF”) in South Africa – NewGold ETF – recently announced the introduction to the market of a new ETF and the first of its kind, in the form of NewGold Platinum Debentures, commonly referred to as NewPlat ETF, which will be fully backed by physical platinum.

An investment in the NewPlat ETF issued by NewGold Issuer Limited (RF) will provide investors the opportunity to obtain exposure to the Rand performance of platinum bullion.
NewPlat ETF is listed on the main board of the Johannesburg Stock Exchange (JSE) within the Exchange Traded Funds sector, share code: NGPLT (ISIN: ZAE000177580).

All the debentures in issue are 100% backed by allocated platinum bullion, approximately equivalent to 1/100th of an ounce of platinum bullion, and the value of each NewGold Platinum Debenture is expected to rise or fall in accordance with the fluctuations in the Rand price of platinum bullion.

NewGold Issuer Limited (RF) will charge an annual fee of 0.4% of the value of the platinum bullion held in custody, to meet its operating expenses.

Today, platinum is considered valuable because the metal is rare and has a history of a restricted supply due to a difficult extraction process. Platinum also has a variety of important commercial applications. For example, it has a chemical property used in catalytic converters to clean noxious pollutants from the exhausts of petrol and diesel engines.

Only platinum’s sister metal, palladium, has a similar ability. Added to this platinum jewellery’s appeal also continues to grow and demand is on the rise. Platinum and palladium have a variety of industrial uses, including in catalytic converters for vehicles, and overall demand is growing.

Another important growth driver of platinum is given by its unique properties that catalyse the conversion of harmful pollutants emitted by vehicles into less harmful carbon dioxide and water vapour.
Global vehicle sales are growing as people in developing countries become richer and more likely to buy cars. Concurrently, increasingly stringent emissions standards are requiring car manufacturers to use more PGMs in each catalyst.

For those interested in adding platinum exposure to their portfolios, platinum exchange-traded funds (ETFs) can easily and quickly accomplish those goals. This precious metal may not have the same status of gold or silver, but it is nonetheless a crucial aspect of many common items, as well as an ingredient in certain chemical processes.

NewPlat ETF trades on the Johannesburg Stock Exchange (JSE) where investors can buy shares under the stock symbol –MKR. The NewPlat ETF is an Exchange Traded Fund that is incorporated in South Africa. It is an investment that will provide the opportunity to obtain exposure to the Rand performance of platinum bullion. NewPlat ETF is fully backed by physical platinum bullion, approximately equivalent to 1/100 ounces of platinum bullion. ETFs track the platinum price, however a platinum ETF, such as ABSA Capital’s NewPlat, is backed up by physical bullion stored in a vault, while a platinum ETN is where the bank does not physically hold platinum but covers its liability through platinum futures contracts.

ETFs allow investors to own a piece of the metal without incurring the risk of storing physical bars or coins, since the investor is only exposed to the price performance of the metal. Using ETFs, investors can gain exposure to the platinum price for as little as R300 per month or a lump sum of R1000. ETFs are extremely liquid which means that you can enter and exit the market quickly. As a comparison, if you wanted to invest in the platinum mining sector, you would have to make individual purchases of platinum mining stocks. Added to this, there is the decision of which companies to choose.

However, in the case of a platinum ETF, you make a single purchase at one price and save on fees. Therefore, with simply one trade you have instant exposure to the price of platinum. Another notable advantage in investing in the NewPlat ETF extends from an announcement made in the 2013 Budget Speech, where several financial institutions have been given allowance to operate in the platinum exchange-traded fund. This is now extended to a larger number of financial institutions and allows for commodity Exchange-traded funds, including those referencing platinum. These are now classified as domestic assets in accordance with the South African Reserve Bank prudential regulation

This provides investors with the opportunity to invest in the NewPlat ETF without compromising their foreign investments allocations. Data from NewPlat ETF interim 2025 financial analysis shows that NewGold Issuer Limited (RF) will charge an annual fee of 0.4% of the value of the platinum bullion held in custody, to meet its operating expenses. The Platinum underlying the NewPlat ETF is of South African origin in London/Zurich good delivery form (plate or ingot, with the maximum weight of 6kg, with at least 99.95% purity, and specified markings).

The platinum is held in safe custody by the NewGold’s Custodian, Barclays and is fully insured, allocated and cannot be lent out, and independently audited by NewGold’s auditors, Ernst and Young. Absa publishes buy and sell prices (bid / offer spread) continuously to the JSE during JSE trading hours. Prices are then visible to the market via price publishing systems, e.g., Reuters / Bloomberg / XTP / Hermes. Absa normally will execute trades automatically via the JSE of up to 100,000 debentures. The platinum market is not as liquid as the gold spot market and the spreads may be wider than what is experienced with the NewGold ETF.

Investors can call the market maker directly for a price on a trade size larger than 100,000 debentures. If price is mutually agreed, it is confirmed by telephone and then captured by both counterparties to independent execution systems, e.g., XTP and Hermes, where they are then matched by size and price, and confirmation is received. Absa, as market maker, may create NewPlat debentures if they are holding insufficient stock via their sponsor in communication to the JSE, and then source the physical ounces of SA platinum equivalent to the debenture creation.

For reference, a market maker or liquidity provider is a company or an individual that quotes both a buy and a sell price in a financial instrument or commodity held in inventory, hoping to make a profit on the bid–ask spread, or turn. Market makers are typically large banks or financial institutions. They help to ensure there is enough liquidity in the markets, meaning there is enough volume of trading so trades can be done seamlessly. Without market makers, there would be little liquidity. In other words, investors who want to sell securities would be unable to unwind their positions due to a lack of buyers in the market.

Market makers are useful because they are always ready to buy and sell if the investor is willing to pay a specific price. Market makers act as wholesalers by buying and selling securities to satisfy the market—the prices they set reflect market supply and demand. The listing’s expected performance is set to deliver solid dividends and a strong share price for investors who choose to purchase shares today, securing a solid buy-in on the JSE in 2025 and in the future.

NewPlat is the first product in South Africa through which institutional and retail investors can securely invest directly in platinum spot. For more information regarding the company’s forecast, the buy or sell of shares and the live price chart, visit the Johannesburg Stock Exchange or the company’s online Investor Relations page.

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We have made it simple to buy JSE listed firm shares online. The easiest way to buy NewPlat ETF shares or stocks is to; start by submitting the ‘BUY THIS SHARE’ form. Next, one of our experienced and certified stock brokers will personally get in contact with you to discuss your custom stock request. Finally, a stock advisor will confirm the amount of shares you are looking to invest in NewPlat ETF Group and assist you with the setup and management of your stock portfolio account.

1. Start by Filling in the BUY THIS SHARE form.
2. Insert your name, email, telephone number and monthly remuneration.
3. Then, Indicate the amount you are looking to invest in NewPlat ETF Group.
4. Click the “ INVEST NOW” button
5. Once we have received your info, a dedicated stock advisor will personally call you back to discuss your personal share request.
6. Lastly, your newly appointed personal stock advisor will handle all account setups and reporting as stipulated by the financial services board of South Africa (FSB)

Buying JSE shares has never been this convenient and easy. #myfirstshare

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