Sanlam introduces investment scheme
DAR ES SALAAM: SANLAM Unit Trust Scheme (SUTS) has been licensed by the Capital Markets and Securities Authority (CMSA) to operate in the country as a collective investment fund.
The entrance of the SUTS in the country’s capital market elevated the number of mutual funds to four after UTT-Amis, the oldest; Faida Fund managed by Watumishi Housing Investments and Timiza Fund run by Zan Securities.
The SUTS comprises the Sanlam Pesa Money Market Fund and the Sanlam US dollar Fixed Income Fund.
The former is for investors in local currency while the latter is for non-Tanzania residents. CMSA’s Chief Executive Officer Nicodemus Mkama said the funds support the government’s strategies to expand access to financial services to a wider segment of the population in urban and rural areas.
“The two funds have met the requirements of the law, regulations and guidelines for Collective Investment Schemes,” Mr Mkama said when gracing the launching event on Monday.
The initial public offer of the open-ended collective investment schemes operated by Sanlam Investments East Africa (SIEA) will last for one month starting yesterday.
And, after the IPO continuous sale and redemption of units will be done as per market condition.
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The initial investment for the local currency fund is 10,000/- while for the dollar fund is 1,000 US dollars. The investment limit is the sky.
SIEAL is the fund manager and CRDB Bank Plc is the custodian bank. SIEA Chief Executive Officer Mr Jonathan Stichbury said the country holds immense potential with its growing economy as one of Africa’s fastestgrowing economies.
“SIEA will align with Tanzania’s broader economic goals of promoting financial inclusion and deepening the capital markets. “By encouraging savings and investment within the country, the company seeks to contribute to the economic growth of Tanzania and create a more prosperous future for all Tanzanians,” Mr Stichbury said during the launch.
SIEA is committed to fostering a culture of saving and investment in the country by providing accessible and well-managed investment solutions.
Funds are invested in shortterm, low-risk securities like government securities like treasury bills, treasury bonds, highquality corporate bonds, and bank deposits.
SIEA Chairman Mr Julius Magabe said Sanlam has over 45 years of experience in the country’s market providing robust and diversified financial solutions.
“The introduction of SIEA in Tanzania represents our commitment to expanding financial opportunities and empowering Tanzanians to build a secure financial future,” Mr Magabe, who is also Sanlam Life Tanzania CEO, said.
Sanlam Life Insurance CEO Mr Robert Dommisse also said that they have a wealth of expertise and a track record of success in managing investments and creating value for their clients worldwide.
“The opening of the business and unit trust will allow SIEA to offer Unit Trust solutions in Tanzania as they cater to the unique needs of Tanzanian investors,” Mr Dommisse said.
