Stanbic IBTC Money Market Fund has been assigned a fund rating Aa(f) for the fourth straight year by Nigerian credit rating agency, Agusto & Co.

The fund, one of the six mutual funds managed by Stanbic IBTC Asset Management Limited, was assigned the rating in recognition of its steady performance and prudent management, a statement by the fund manager said.

According to the statement, the evaluation is based on the quality of the prudent investment guidelines and risk management approach adopted in the management of the Stanbic IBTC Money Market Fund with respect to interest rates and credit risks.

It noted that the rating, which was the highest rating so far conferred on a mutual fund managed in Nigeria by Agusto & Co, denoted a fund with “minimal exposure to downside risk (i.e. impairment of the net asset).”

The Chairman, Stanbic IBTC Asset Management Limited, Mr. Yinka Sanni, was quoted as saying the company would continue to leverage its “robust risk management framework to safeguard” its investments and ensure optimal return for investors in the company’s mutual funds. This, he said, was anchored on strict adherence to global best practices by the fund manager.

He said, “We are excited at Stanbic IBTC Asset Management Limited that the Stanbic IBTC Money Market Fund has been rated Aa(f) for the fourth consecutive year by Nigeria’s leading credit rating firm. It is a clear recognition that validates the robustness of our risk management framework and dedication to deliver exceptional customer service. We remain steadfast in offering investment options that guarantee respectable returns to unit holders.”

On his part, Chief Executive Officer, Stanbic IBTC Asset Management, Mr. Olumide Oyetan, said, “The Stanbic IBTC Money Market Fund is a collective investment scheme that invests in a wide range of very liquid short-term money market instruments such as guaranteed commercial papers, bankers’ acceptance, term deposits and certificates of deposit, among others, with domestic banks in Nigeria.”

According to him, the fund invests 100 per cent of its assets in low-risk money market securities (including treasury bills) with financial institutions in Nigeria rated ‘A’ and above by credit rating agencies recognised by the Securities and Exchange Commission.

The Stanbic IBTC Money Market Fund is currently the largest open-ended mutual fund managed by Stanbic IBTC Asset Management.