Old Mutual Unit Trust touts annual growth

Old Mutual Unit Trust (Omut), a subsidiary of Malawi Stock Exchange (MSE)-listed Old Mutual Malawi Limited says it registered satisfactory performance in 2017, recording a return of 33 percent and 23 percent on balance fund and money market fund, respectively.

In an interview on the sidelines of its Sixth Annual General Meeting (AGM) in Blantyre on Monday, Omut managing director James Mhura said the performance was anchored by the positive performance on the local bourse and high interest rates on the market.

He said other than the 13- counter MSE doing well, the balanced fund, which is also invested on the stock market also performed well.

“Performance of our balanced fund meant that capital gains on that balanced fund were high and that led to growth in funds for our [two] funds.

“Interest rates, despite the fact they had been declining in the year, were recorded at over 20 percent in the year; hence, the high returns earned by our investors, especially when they were reinvested which in the end increased the growth,” he said.

Mhura said people are now embracing the Unit Trust in the years it has been in operation, adding that has enhanced the growth of Unit Trust.

One investor, Sellah Suya, in an interview on the sidelines of AGM, expressed satisfaction with the performance of the company.

“We have seen growth in our funds in 2017 and there are indications that this year will be even better on account of several economic pointers that have taken a good direction. We are, therefore. happy with the performance,” she said.

To invest in the Unit Trust, investors need to make a minimum investment of K100 000 after which they are at liberty invest any amount above K30 000.