Stanbic Bank, on Wednesday, launched an open-ended Unit Trust Fund to be primarily invested in fixed income securities. Dubbed: “Stanbic Income Fund,” the Initial Public Offer will run between December 15 and January 6, 2011, and investors can buy a minimum of 20 units, and in multiples of five units thereafter.
Speaking at the launch, Mr. Emmanuel A. Asiedu, Head of Stanbic Investment Management Services (SIMS), said the Fund sought to maximise short-term income, as well as long-term sustainable returns and capital appreciation.
SIMS is registered with the Securities and Exchange Commission to provide portfolio management and investment advisory services.
He said the Fund would focus on investment in fixed income securities, including bonds, notes, treasury bills, commercial paper, placement with financial institutions listed and unlisted and issued by governmental, quasi-governmental and corporate issuers across Africa.
“Common, or preferred shares, including convertible preferred shares, debentures convertible into common or preferred shares, share purchase warrants or rights, equity interests in trusts, and joint ventures, are also investment options available to the fund,” he said.
Mr. Asiedu said after the offer period, additional units in the Trust would be created and purchased on demand by subscribers on an ongoing basis at a price, computed in accordance with the terms of the scheme’s particulars.
“The Trust will reinvest all investment income earned or received. Investors in the Trust will benefit from the capital appreciation of the unit price,” he said.
Dr. Joyce Aryee, Chief Executive Officer, Ghana Chamber of Mines, who launched the Fund, said investing in products such as the SIF would no doubt generate the wealth needed for development. -GNA