PAC Asset Management Floats N1bn Mutual Fund

Trading floor of the the Nigerian Stock Exchange

By Goddy Egene

Investors in the nations capital market will, as from next week, have the opportunity to own quality assets in a diversified portfolio with steady returns on investment, as Pac Asset Management Limited, floats N1billion mutual fund called PACAM Balanced Fund.

Pac Asset Management Limited is a subsidiary of Pan African Capital Limited.

The fund manager is offering one billion units of N1 each for public subscription at par with minimum subscription of 50,000 units and multiples of 10,000 units thereafter

The offer opens on February 9 and closes on March 18. According to the fund manager, investors will have the opportunity to own high quality assets that fill fetch steady returns on investment of about 16.02 per cent in 2015, 15.86 per cent in 2016 and 15.88 per cent in 2017.

Speaking on the offer, Managing Director and Chief Executive Officer, Pac Asset Management, Mr. David Okwuadigbo, said The PACAM Balanced Fund, which we are offering to the investing public is an open-ended mutual fund designed to achieve capital preservation, long-term capital appreciation, steady and stable returns on investment.

He added that the fund would invest in a balanced and diversified portfolio. According to him,40 per cent of the fund will be invested in equities, up to 15 per cent in bonds, 15 per cent in the money market and 30 per cent in real estate.

Okwuadigbo explained that the fund was also ideal for investors, who were very busy and were not in a position to properly track investments made through a stockbroking house.

We are saying, If we put this fund together and dedicate 24 hours a day of our time and give it professional management, it will certainly do better. In fact, if you check all the developing economies, you will find out that the mutual funds are investment instruments that are actually becoming very valued and appreciated because of some of the reasons I mentioned.

Speaking in the same vein, the Chairman, Pac Asset Management, Mr. Chris Oshiafi, said investors should take advantage of the fund and secure their future.

People should save and have investment for the rainy day and people should have investments that are safe. The PACAM Balanced Fund presents you an opportunity to have a very safe investment because a balanced fund is diversified across asset classes. We are confident that Nigerians now get the message and the message is that we should have savings and investments, he said.

He assured investors of the safety of the fund given the experience of the fund managers and other parties to the offer.

We have gone out of our way to make sure that the parties to this fund are very experienced such that they will give that necessary protection to investors who come into this fund, he said.