Standard Chartered Bank Kenya has announced a significant development, offering Kenyan retail investors access to offshore unit trust fund investments. These investments, known as the Signature CIO Funds, are established in collaboration with Amundi Asset Management, a leading European asset manager with over 100 million clients and $2 trillion in asset under management. The initiative opens up opportunities for Kenyan investors to participate in US, European, and Asian equities and bonds markets.
Investors can join the Signature CIO Funds with a minimum investment of $1,000 (Sh145,400), making these global markets more accessible to a wider range of Kenyan clients.
The Signature CIO Funds utilize the expertise of Standard Chartered’s Chief Investment Officer based in Singapore for investment strategies and advisories, while Amundi assumes the role of fund manager.
Paul Njoki, Head of Affluent Banking and Wealth Management for Standard Chartered Kenya and East Africa, emphasized that these funds are tailored to investors looking to diversify into offshore markets, even if they lack the extensive knowledge typical of sophisticated investors.
Clients can access these funds through Standard Chartered’s mobile app, with a minimum investment requirement of $1,000, or opt for a monthly plan starting at $100.
The asset allocation within the Signature CIO Funds is diverse, spanning government bonds and the S&P 500 in the US market, European stocks, and various opportunities in Asia, including China, India, and Japan.
Amundi Asset Management, ranks as one of the world’s top asset managers, formation resulted from the merger of the asset management units of French banking giants Crédit Agricole and Société Générale in 2010, establishing its prominence in the industry.
The Signature CIO Funds are divided into four units, catering to different investor profiles based on risk appetite and investment goals:
1. Income Fund: Suitable for those seeking regular income, with around 50% of assets allocated to fixed income and the rest diversified across equities, exchange-traded funds, cash, and Reits.
2. Growth Fund: Geared towards aggressive capital growth, with a focus on equities, commodities, and alternative asset classes.
3. Conservative Fund: Offers a high exposure to fixed-income assets, providing stability and lower-risk investment options.
4. Balanced Fund: Maintains a well-rounded allocation in both equities and fixed income, with a slight bias towards equities.
Standard Chartered Bank Kenya’s initiative represents a significant step towards democratizing access to international investment opportunities, empowering Kenyan retail investors to diversify their portfolios and engage with global markets.
This story is developing, and further updates will be provided as they become available.
Disclaimer: Investment in financial markets carries risks, and prospective investors are encouraged to seek professional advice before making investment decisions.
Photo Source: Google
September 2, 2023
Delino Gayweh
Serrari Financial Analyst
