FSDH boss predicts gradual recovery of capital market

The Managing Director of FSDH Asset Management Limited, Mr. Kenneth Spurling, has predicted the sustenance of the current positive trend in the capital market in the next few months.

Spurling, who spoke with our correspondent on the sidelines of The Annual General Meeting of the Coral Income Fund and Coral Growth Fund, on Thursday, said, “We expect a gradual recovery in the share prices of selected securities during the coming months.

Speaking on the performance of the Coral Funds, which are managed by FSDH Asset Management Limited, he noted that both funds declared a combined profit of N246 million for the financial year ended December 31, 2009, adding that unit holders would enjoy a dividend payout of N15 and N22. dividend per share for of the Coral Income Fund and Coral Growth Fund respectively.

Specifically , the net income of the Coral Income Fund’s stood at N65 million, compared to the loss of N2 million recorded in 2008, while net income after tax increased to N52 million from the loss of N16 million made in 2008. The Fund’s total expenses also stood at N 12 million from the N14 million incurred in 2008. On its part, the Coral Growth Fund, the net income stood at N299 million from the N1.4 billion loss incurred in 2008, while expenses stood at N100 million from the N162 million incurred in 2008.

According to him, “We do not a take view of only the market when buying our securities;  we do an analysis of companies, looking at each individual investment.“We look at their market value and the market share of the company, before we invest in their securities”.