First Fund records impressive performance

The First Fund, a short term investment sche-me by FirstBanc Financial Services, closed last year with an impressive annual yield of 37.38 per cent.

The fund performed 13 per cent more than Bank of Ghana’s benchmark of 24.10 per cent for the 91-day treasure bill and 23.61 per cent for 182 day bills.

Professor Cletus Dordunoo, Board Chairman of the First Fund Limited who announced this in Accra said last year’s performance was also far ahead of that of other money market mutual funds.

Speaking at the Fifth Annual General Meeting (AGM) in Accra on Tuesday he said the fund had seen a significant growth of assets under its management.

The fund he said recorded a total of GH¢ 22.8 million as the value of assets under its management as against the GH¢13 million it recorded in 2013.

Professor Dordunoo said the Heritage Fund, which is also managed by the group, recorded GH¢1.45 million growth.

He said the fund price for the heritage fund also increased marginally from 0.35 at the end of December, 2013 to 0.39 in 2014.

According to Prof. Dordunoo, both funds performed well despite the rise in inflation and depreciation of the Cedi because of management’s hard work and continuous contributions by shareholders.

He said managers of the funds positioned themselves well to achieve growth in the face of an economy that experienced significant domestic and external vulnerabilities on the back of large fiscal deficit, a slowdown in economic growth, and rising inflation which closed the year at 17 per cent.

He, however, noted that interest rates of treasury products which rose significantly, as the central bank sought to address the national budget deficit and also control the depreciation of the cedi, did not hamper the growth on returns.

He expressed satisfaction with the performance of both funds and assured shareholders of higher returns in the future saying “we remain dedicated to growing the fund to maintain its position as the best performing money market mutual fund in the country”.

“As part of effort of growing the fund, it is our plan to sign on to the e-zwich platform to afford clients the flexibility of making top-ups and also to receive their redemption payment on card,” he said.

By Charles Amankwa 

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