Stanbic Cash Trust is a money market open-ended unit trust that is offered to investors who are seeking to maximize short-term income while preserving capital.
The trust is managed and administered by Stanbic Investment management Services Limited, a company duly registered with the Securities and Exchange Commission (SEC) to provide portfolio management investment advisory services.
On Tuesday, this flexible attractive investment plan was launched by Alhassan Andani, Managing Director of Stanbic Ghana at a short ceremony in Accra. The trust has Merchant Bank as its trustee.
For starters, 300,000 units priced at GH˘1.00 each are available for the initial public offer period after which additional units would be added, Kwabena Boamah, Head of the Stanbic Cash Trust disclosed during the launch.
“Investors can buy a minimum of 20 units and in multiples of five units thereafter. Subscription could be made directly in person or banker’s drafts or direct lodgments with receiving agents as specified in the offer document. Payment could be done in full on application.
“After the offer period, additional units in the fund will be created and purchased on demand by subscribers on an ongoing basis at a price computed in accordance with the terms of these scheme particulars. The fund will re-invest all investment income earned or received.
Investors in the fund will benefit from the capital appreciation of the unit price.” Mr. Boamah stated that the fund is authorized and registered in Ghana as a unit trust scheme and is governed by a trust deed.
“The trustees of the fund shall be vested with all the assets of the fund as mandated by law and the regulations to protect the interest of investors.”
The fund is targeted at individuals, corporate bodies, associations, pension and provident funds and is tailored to meet the investment needs of the following types of investors: Ghanaian citizens and corporate bodies including those based abroad; Ghanaian financial institutions and insurance companies; provident, pension and endowment trusts; religious organizations; educational institutions; associations and investment clubs and foreigners. “The net asset value of the fund will be determined by the manager once daily at 5.00 pm.
This time currently represents a reasonable time after the close of business of the money and capital markets in Ghana. Any assets or liabilities that are initially not expressed in Ghanaian cedis will be translated into Ghanaian cedis before the trust is valued. The net asset value will be computed by dividing the value of the securities held by the trust plus any cash or other assets minus all liabilities including accrued expenses by the total of units outstanding at such time. Expenses including fees payable to the manager and trustee are accrued daily.”
Mr Boamah added that investors who may want to redeem all or any part of their interests may do so by giving notice in writing to the manager of the trust. “Investors’ holdings will be redeemed by the trust at a unit price calculated in accordance with the terms of the scheme’s particulars.
“The fees of the fund shall be a percentage of assets under management which shall be accrued and charged. Fund management fee is 2.50 percent while trustee fee is 0.40 percent.”
Source: Daily Guide
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