PAC Asset Management Limited has called on investors to invest in the N1bn mutual fund, which it inaugurated in Lagos recently, saying such funds were designed to protect their investments.
The Managing Director, PAC Asset Management, Mr. David Okwuadigbo, was quoted in a statement from the firm on Thursday as saying that the fund, scheduled to close on March 13, offered investors the opportunity to diversify their portfolio and reduce the risk to their investment.
The company had inaugurated the N1bn fund early last month, offering one billion units of N1 each with a minimum subscription of 50,000 units and multiple of 10,000 units thereafter.
Explaining the rationale behind it, Okwuadigbo said the investment could be used to build up funds for specific future events/schemes like starting a business, sending children to college, financing purchase of a home or any other asset. It can also be used as collateral to secure credit facilities.
He said, “The PACAM Balanced Fund is a diversified portfolio, which will invest in a range of high quality assets such as high valued equities, investment grade fixed-income securities, money market instruments and high yielding real estate investments.
“The PACAM Balanced Mutual Fund is sponsored and to be managed by PAC Asset Management Limited, a subsidiary of PanAfrican Capital Plc and approved by the Securities & Exchange Commission.”
The primary objective of the Fund, according to him, is to achieve long-term capital appreciation, capital preservation as well as providing a stable stream of income to investors by investing the Fund’s assets across a mix of high quality listed equities on the Nigerian Stock Exchange, investment grade fixed income instruments, money market instruments and real estate assets in Nigeria.
On asset allocation, he said the fund manager had established target weightings of asset classes aimed at achieving long-term investment objectives of the fund.
“The allocation is constructed to minimise risk and volatility in the fund’s NAV by spreading investments among the constituent asset classes namely; fixed income or bonds, money market, equities and real estate,” he said.
Punch
