Obinna Chima
Utica Capital Limited yesterday, launched the Utica Custodian Assured Fixed Income Fund (UCAF), an investment and insurance blended fixed income fund.
UCAF is an open-ended fixed income fund that offers investors who have a strong preference for regular income, the opportunity to invest in low to medium risk, fixed income instruments with competitive returns with Life Insurance as value addition.
Utica Capital Limited is an asset management company, licenced by the Securities and Exchange Commission (SEC) under the Investment and Securities Act (ISA) 2007 to provide top-notch investment and fund management services to High Networth Individuals (HNIs), Corporates, mass affluent and retail clients in Nigeria.
Speaking during a media briefing to launch the investment instrument in Lagos, the Managing Director, Utica Capital Limited, Mr. Ola Belgore, said: “UCAF is a product that represents not only our commitment to excellence but also our contribution to the success of the Funds and Portfolio Management Industry in Nigeria.
“UCAF is a perfect blend of returns and protection. UCAF as an investment and insurance blended collective investment scheme embodies the very essence of our mission: to become one of the most sought-after brands in Asset, Portfolio and Funds Management industry in Nigeria and Africa within the first 10 years of existence.”
A minimum amount of N100,000 is required for the initial subscription and N10,000 for additional subscription. In addition to providing regular income to investors who have a strong preference for regular income, the fund would provide life insurance cover (death and permanent disability by accident) up to a maximum limit of 10 times of the Unit holders principal investment in the fund not exceeding N35million.
According to Belgore, some of the key features that make UCAF attractive include easy and flexible entry and exit from the fund, blend of investment and insurance – UCAF provides life assurance benefits for individual subscribers.
“Another key feature is the bi-annual income distribution – for investors looking for investments that offer steady streams of income, UCAF will avail them the opportunity alongside competitive returns. “There is also the option of reinvestment of coupon for subscribers who want compounded returns on their investment.”
Furthermore, UCAF would invest primarily in low to medium – risk securities including FGN, Corporate and Municipal bonds, certificates of deposits and commercial papers (to a lesser extent) or other highly liquid securities with financial institutions rated by a registered rating agency as specified from time to time by the Commission.
Its asset allocation shows 70 to 80 per cent of it would be invested in FGN Bonds; 10 to 20 per cent of it on Corporate/Municipal Bonds; three to five per cent on money market instrument, while one to two per cent would be retained as cash.
“In the ever-evolving world of Investments, the need for innovative, reliable, and adaptable investment solutions has never been more crucial. Our team, here at Utica Capital, understand the unique challenges and opportunities that investors face in today’s dynamic marketplace. We have dedicated ourselves to designing products and services that align seamlessly with investors unique needs and financial objectives,”.
He added: “The Utica Custodian Assured Fixed Income Fund is not just about these features; it is about meeting the need of would-be investors and Utica’s unwavering commitment to the financial wellbeing of the investing public.
“We have partnered with other capital market professionals in the formation of the fund, and I would like to convey my appreciation to them all – the Trustee, Custodian, Registrar etc particularly our partner on the Insurance side of the Fund – Custodian Life Insurance Limited.
“Their relentless pursuit of excellence has culminated in a product that we are truly proud of. Also worthy of commendation is the leadership of the Securities and Exchange Commission. The positive disposition of the management to new ideas is quite commendable and provides the environment for an innovative firm like Utica Capital Limited to thrive.”
Also commenting on UCAF, the Chairman, Board of Directors, Utica Capital Limited, Dr. Adesegun Akin-Olugbade, “I am profoundly proud of the remarkable strides our team has taken in our relentless pursuit of excellence. We are not just unveiling a mutual fund today; we are unveiling a testament to our dedication, expertise, and innovation.
“In our industry, where the dynamics are ever evolving and the challenges are relentless, it is our duty to provide the investing public with the opportunities needed to achieve their financial goals.
“We understand that every investor has unique aspirations, dreams, and financial needs, and that is why we have meticulously crafted this new product, the Utica Custodian Assured Fixed Income Fund to cater to a diverse range of financial objectives.”
In her presentation, Portfolio Manager, Utica Capital Limited, Aderonke Osho, stressed that the life insurance aspect would benefit all active unitholders in the Fund.
She noted that UCAF offers investors who have a strong preference for regular income, the opportunity to invest in low to medium risk, fixed income instruments with competitive returns.
