By Michael Eboh
StockbrokersÂ and investment analysts have expressed confidence over the proposed management of the Access Balanced Fund and Access Fixed Income Fund by the fund manager â€” Access Investment and Securities Limited and its expected return on investment to investors.
The stockbrokers, at a forum in Lagos, noted that the yield curve management, trading strategy and funds administration processes put in place by the fund managers is a reflection of the expertise and professionalism of the fund managers, which is expected impact positively on its returns on investment to investors.
Access Investment Securities, a wholly-owned subsidiary of Access Bank Plc, recently floated two mutual funds â€” Access Balanced Fund and Access Fixed Income Fund and is currently undertaking an initial public offering, through an offer for subscription for both funds, worth N2 billion, comprising 10 million units each of both funds.
Speaking at the forum, Mr. Okonkwo Ekene, Head Capital Market, Calyx Securities Limited, expressed satisfaction with the proposed approach to management of the funds by the Funds Managers.
Speaking in the same vein, Mrs. Nkoli Edoka, a stockbroker with Prime wealth Capital Limited, said that clearly the mutual fund is unique in its propositions to investors and she is confident that the approach to its application to investment will be of significant benefit to investors.
According to her, the proposed approach to funds management as shown that the yield curve management, trading strategy and funds administration process, is an indication of the level of expertise that would go into the funds administration and quality of returns investors should expect.
Managing Director/Chief Executive Officer, Access Securities and Investment Limited, Mr. Winston Osuchukwu, said that the offer presents a unique and highly rewarding investment opportunity to investors to set their money working efficiently and effectively.
He noted that the funds, which operate independently of the shareholders, presents extremely exciting benefits to investors.Â
He said, â€œFor instance, Access Fixed Income Fund was created and structured with the ultimate goal of achieving long-term returns that are uncorrelated with the Nigerian equities market by investing in a portfolio of Federal Government bonds, money market securities and cash that have been approved by the Securities and Exchange Commission (SEC) of Nigeria for our investors.Â
â€œSimilarly, investors in the Access Balanced Fund can buy a single product that will automatically rotate their investment among equities, bonds, money market securities and cash, based on a thoroughly tested quantitative model that gives the investors the best upside potential while managing the downside risk.â€
He added that the Funds will serve as portfolio diversifiers for investors and provide a consistent stream of income, given their highly diversified approach and feature.â€ Illustrating this point, Mr. Osuchukwu said that â€œinvestors in the Access Fixed Income Fund will enjoy regular coupon payment, potential capital gains on their investments, interest payment on intermediate coupon and interest payment on the principal invested.â€
For subscribers to the Access Balanced Fund, returns include but are not limited to regular coupon payment, potential capital gains, interest on intermediate coupon, dividends payment, capital appreciation and interest on principal invested.â€