United Capital Plc has launched a specialised open-ended dollar-denominated mutual fund, which offers investors opportunity to invest in broad range of assets and earn competitive returns.
The new mutual fund, United Capital Global Fixed Income Fund, is the eighth mutual fund being managed by United Capital Asset Management Limited, one of Nigeria’s leading fund managers and a subsidiary of the publicly quoted group.
United Capital Global Fixed Income Fund will invest in securities and Eurobonds, floated by the federal government of Nigeria and other sovereigns, as well as top-tier corporates, money market instruments and alternative investment assets.
The fund exposes investors to a broader range of asset classes, allowing them to generate regular income streams by investing in select dollar-denominated global fixed income instruments issued by non-Nigerian issuers, sovereign bonds, and top-tier corporate Eurobonds.
Managing Director, United Capital Asset Management Limited, Odiri Oginni said subscribers should expect competitive short- to medium-term capital appreciation on their dollar-denominated holdings in the fund, higher than return rate on domiciliary deposits.
According to her, with rising inflation and exchange rate volatility, the fund allows local investors, particularly, to diversify their portfolios and hedge against currency devaluation while generating potentially higher returns.
“The current macroeconomic clime in Nigeria has prompted a rise in demand among investors for high-yielding investment options in foreign assets,’’ she added.