Coronation Merchant Bank Subsidiary To List Three Mutual Funds On NSE

Raises N2.168bn From Subscribers

The board of Coronation Merchant Bank Ltd will on Monday be on the Nigerian Stock Exchange (NSE) to list three mutual funds for trading.
A mutual fund is an investment vehicle comprising monies pooled from numerous otherwise small and medium-scale investors/subscribers to be invested in securities such as stocks, bonds, money market instruments and similar assets for enhanced returns. They are usually managed by professional fund managers, resulting in significantly low management cost.
The three include the Coronation Money Market Fund; Coronation Fixed Income Fund and Coronation Balanced Fund.
While 479 subscribers pooled N1.654bn through the Coronation Money Market fund, which recorded 110% subscription level; Coronation Fixed Income had 39 subscribers and yielded N315.205m at 79% success rate; while Coronation Balanced Fund with 64 subscribers achieved N198.615m or 99% rate.
The funds which opened between July 10 and 28, 2017 at N1,000 per unit, like every other, according to the managers “seek innovative channels for investing these funds with a view to delivering on the yield expectations of investors without violating their investment preferences.”
A statement by ReputationPlus, on behalf of Coronation Asset Management, said listing of the funds on the Nigerian Stock Exchange would enable accessibility by international investors.
The NSE being the first West African stock exchange to be granted full membership status of the World Federation of Exchanges, the statement added, “enjoys the followership and patronage of the international investment community, which will enable Coronation Asset Managers deliver superlative yields on its diversified portfolios of equities, bonds and other securities to each investor who subscribed proportionally to the funds.”