Sunday, June 24, 2018 1.00PM / Proshare WebTV
As part of its drive to create value for the Nigerian financial market, Cordros Asset Management Limited launched the first ever set of targeted funds in the country, the “Cordros Milestone 2023 fund” and “Cordros Milestone 2028 fund”.
At an event in Lagos which brought together stakeholders in the financial and capital market in the country, the Chairman of Cordros Asset Management Limited, Mr Emeka Ndu said the launch of the funds were significant for Cordros and the Nigerian Mutual Funds market.
According to Mr Ndu, “The two target date mutual funds will deepen the Nigerian capital market and boost financial inclusion in the country”. He said the 2023 milestone fund was for those with a 5 year investment goal plan, while that of 2028 is a 10 year investment plan.
The Chairman acknowledged the remarkable growth in the global target date mutual funds market, which has hit $1.1trillion at the moment.
In his presentation, the CEO, Cordros Asset Management Limited, Mr Leye Adekeye believed the two target date mutual funds, helps in setting investment targets for Nigerians, particularly the rising youthful population.
Mr Adekeye informed stakeholders that the funds were duly registered with the Securities and Exchange Commission of Nigeria and are focused on future investment goals. He described the funds as the first set of target date mutual funds to be launched in Nigeria, new to the market and less risk averse instruments.
Speaking further, Adekeye shared that since in the 90s the target mutual funds were created globally to meet the needs of those who seek to make real-time future investments. The objective of the funds according to him is to reduce volatility as they approach their target dates.
“The Cordros Milestone 2023 and 2028 funds have the advantages of inflation hedging and provides immense opportunities who seeking growth in their investments, and capital accumulation” Adekeye said.
The milestone funds have the offer of 500million units each and has N2,500.00 as the minimum amount for subscription & subsequently N1,000.00 which is tailored towards reducing entry barriers into the fund.
It has a medium risk profile and are unitized funds focused on capital allocation which will leverage on the opportunities in the mutual funds market.