First Mutual Wealth Money Market Fund
First Mutual Wealth Money Market Fund
The First Mutual Wealth money market fund is a short term, interest earning fund tailor made for investors seeking periodic and certain income while preserving the capital invested. The fund invests in a broad selection of fixed income securities such as Treasury Bills, Bankers’ Acceptances (BAs), Debentures, Commercial Paper, Negotiable Certificates of Deposit (NCDs) and other Fixed Deposit Instruments.
The fund targets the highly risk averse investors who require regular income and capital preservation and returns higher than call account deposits.
Minimum investment period of 1 month with a recommended average investment tenor of 91 days. After the first month, the investment can be held for any period determined by the investor.
Interest accrues on a daily basis and is payable monthly on the first day of each month. The interest earned may be reinvested in the investor’s account to earn more units or may be paid out to the investor’s bank account if required.The interest rate is not fixed but varies in line with short term interest rates prevailing on the market.
Over and above interest earning objective, this fund can be used to house funds in a disciplined manner that are targeted at either asset acquisitions or other expected future payments such as school fees, loan repayments among other things.
Withdrawal terms are flexible in line with investor liquidity needs.
