Ugo Aliogo, Lawal Kehinde and Bonny Oriarehu
The Managing Director, FSDH Management Limited, Olumayowa Ogunwemimo has expressed the desire of the company to lower its Coral Fundsâ€™ initial minimum from N50, 000 to N5, 000, stating that the firm was committed to allowing unit holders to invest in the mutual fund.
Ogunwemimo who disclosed this in Lagos at the fundsâ€™ Extraordinary General Meeting, expressed optimism that there are more young investors looking to start a saving culture, â€œtherefore a N50, 000 investments maybe too high for them.â€
She stressed that the investment would be beneficial to first time investors and earners.
Ogunwemimo described the Coral Growth Fund as a flagship fund, saying it was created in 2001 and then launched as a public fund in 2005.
She further explained that the fund has been in existence for 17 years, adding that the funds are invested in equities and fixed income securities.
Therefore it allows investors to take advantage of the opportunities on the floor of the Nigeria Stock Exchange (NSE).
According to her, â€œNow the Coral Growth Fund gives the same opportunity, but this time it is on fixed income securities. With N5, 000 the only government instrument you can buy is the federal government savings bond.
â€œThe Coral Growth Fund gives you access to a variety of fixed income securities. Clients are exposed to treasury bills, commercial papers, and others which ordinarily they will not be able to get with N5, 000.
â€œWith the amount of feedback we have received which made us to drop the minimum to N5, 000, people are looking to invest and save for the future, especially during the recession, people realised the need to save for the rainy day.â€
She added: â€œWe are hoping to see an increase in earning. We are hoping to see an increase in the number of clients who will not only be first time investors, but people who are going to invest in equities. We have different mechanisms in place that allows investing on a regular basis.â€