Stanbic subsidiary launches unit trust as industry sees assets rise by 20%

July 2, 2024 in Financial Services, Investment by Editor

Semakula (left) Karuhanga and Konde (right) join other guests and staff to celebrate the launch of SUT which offers a low a risk investment experience for potential investors.

SBG Securities, a subsidiary of the Stanbic Uganda Holdings Limited (SUHL), has unveiled the Stanbic Unit Trust (SUT). This is an investment vehicle that enables one to pool their money together with several other investors, to be invested in the capital markets by a professional fund manager.

SUHL Chief Executive Francis Karuhanga said, ““In Uganda, we are seeing the unit trust industry showing strong growth, with assets under management increasing by 20 percent in the past year alone, according to reporting by Capital Markets Authority Uganda. At Stanbic Uganda Holdings, we want to enable our customers tap into this impressive growth and not be left behind ensuring that they have access to financial investment services and that’s why we have designed the Stanbic Unit Trust.”

Against a background of many Ugandans seeking ways to invest and enhance their income, a Unit Trust is seen as an ideal starting point that does not require a substantial financial commitment. A minimum of UGX100,000 is required to join while any additional investment in the Trust should not be lower than UGX50,000.

Potential investors can onboard easily, either physically at SBG Securities’ offices or digitally through their website. Simply provide a National ID, passport photographs, and complete the requisite forms.

SBG Securities Chief Executive Grace Semakula said, ‘The SUT shatters traditional barriers to entry, making investment accessible to a wider audience. Our team of experienced fund managers will navigate the investment environment, diversifying portfolios across treasury bills, bonds, fixed deposits, and shares to minimize risk and maximize returns for our customers.”

SUT accommodates various investment goals and needs, offering three distinct funds including Money Market Fund (short-term), Bond Fund (medium-term), and Balanced Fund (long-term). Semakula said clients can also invest jointly, for minors, or as part of a savings group.

SBG Securities Board Chair Aggie Konde said, “The Stanbic Unit Trust is a game-changer for Ugandan investors. Our team of young expert professionals led by our Chief Executive Grace Semakula will ensure you enjoy a low-risk investment experience for your savings, coupled with flexible contribution options enabling individuals to steadily grow their funds.”

With an annual management fee of 2%, investors can trust SBG Securities’ professional oversight and management, further consolidated by being a member of the Standard Bank Group—Africa’s largest commercial bank by assets.  SUT is designed to be an affordable and reliable investment option, making it an attractive choice for Ugandans seeking financial growth.