Bgoni outlines new investment opportunities to strengthen pension fund returns
Staff Writer
ZSE Holdings ceo Justin Bgoni says ongoing reforms and product innovation within Zimbabwe’s capital markets are creating new opportunities for pension funds to improve long-term returns and better protect retirement savings from inflation and currency risks.
Addressing delegates at the Zimbabwe Association of Pension Funds 2026 Annual General Meeting and Conference, he said the exchange was actively developing investment structures designed to give pension funds greater diversification, liquidity and access to hard currency assets.
Bgoni said pension funds had faced difficult operating conditions over the years due to inflation volatility and policy uncertainty, but noted that the exchange had responded with reforms aimed at building stronger and more resilient investment platforms.
“We have not sat back and watched the situation get worse,” Bgoni said. “We are building complementary platforms and offering much more diversity in terms of what pension funds can do.”
A major part of the strategy is the expansion of the Victoria Falls Stock Exchange (VFEX), Zimbabwe’s US dollar-denominated bourse, which was established to provide a stable investment environment insulated from local currency volatility.
“We established the US dollar-denominated Victoria Falls Stock Exchange to take out the currency volatility from the market,” he said.
Bgoni said the VFEX had already demonstrated stronger returns compared to the local currency market and was expected to become a key platform for pension funds seeking long-term value preservation.
He also highlighted the growing importance of Real Estate Investment Trusts (REITs), which allow pension funds to convert property assets into tradable units that can generate regular income while improving liquidity.
“What REITs do is that they subdivide a property into units,” Bgoni explained. “That means pensioners can access value more easily and still benefit from regular income.”
He said REITs also carried tax advantages that enhanced returns for investors and pension funds.
Bgoni further said Exchange Traded Funds (ETFs) were opening opportunities for local pension funds to gain exposure to international equities and commodities without moving capital outside Zimbabwe.
“We can bring American shares, Chinese shares and Indian shares onto our market,” he said. “That helps diversify country risk and gives pension funds wider investment opportunities.”
He cited the recently listed ETF with exposure to gold and Johannesburg Stock Exchange-listed shares as an example of how Zimbabwean investors could now access global assets through local markets.
Bgoni said the emerging Victoria Falls International Financial Centre would further strengthen pension fund investment opportunities by providing access to international banking, investment advisory services and hard currency products within Zimbabwe.
“One of the big benefits for pension funds is international access,” he said. “You will not need to go outside Zimbabwe for international investment services.”
He said the exchange’s long-term vision was centred on continuous innovation, broader investment choice and building sustainable growth for pensioners through diversified and globally connected capital markets.
