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FBN Capital introduces Fixed Income Fund, Money Market Fund

By on June 22, 2012

In its resolve to bolster wealth creation through specialized products, FBN Capital, the investment and asset management business of the FirstBank Group has launched two funds – the FBN Money Market Fund and FBN Fixed Income Fund.

According to a statement, “the Funds have been created to cater to the specific needs of retail and institutional clients in Nigeria, and give investors a platform for diversifying and growing their investments for optimal returns.

“The FBN Money Market Fund which has a minimum investment of N5,000 (five thousand naira) only, is an open-ended mutual fund which will emphasize income payment on a quarterly basis to its various investors, hold various Money Market Instruments, invest in low-risk securities, and pay out returns that reflect short term interest rates.

“The FBN Capital Fixed Income on the other hand is for the more affluent investor, requiring an minimum amount of N100,000 (one hundred thousand naira). It is also open-ended, but will pay income on a semi-annual basis, hold a variety of government and corporate debt obligations and other money market instruments. The Fund will be actively managed to maximize its total return potential while minimizing any increase in risk relative to its market benchmark.”

Commenting on the launch of the Funds, the MD/CEO of the FBN Capital, Mr. Kayode Akinkugbe, said “the launch of both funds simultaneously by FBN Capital is in line with the strategic objectives of the business as well as the regulators to deepen the market by offering collective investment products on a broad platform”.

The Director and Head of Asset Management of the company, Mr. Michael Oyebola further buttressed this point, stating “With the minimum investment amounts set for each fund, there’s a fund for everyone at FBN Capital – regardless of income level. We hope to leverage on FBN Capital’s strong fixed income franchise and strengthen relationships with our customers across the FirstBank Group to take advantage of the open and ready market of the mutual funds segment.”

FBN Capital is a leading player in deal origination, execution and distribution. A market leader in debt structuring, arranging and syndication, the firm has won several awards including the 2010 Africa Banking Award for the Best Debt House in Nigeria and the 2011 EMEAFinance awards for Best Bond and Best Syndicated Loan in Africa. FBN Capital offers services in Investment Banking, Asset Management, Markets, and Principal Investing/Private Equity, and has advised on landmark transactions across several sectors of the economy.