EcoCapital Prime Fund has held its 3rd Annual General Meeting to account to its shareholders the successes chalked over the year while discussing the performance of the fund for the year 2021.
EcoCapital Prime Fund made a return of 23.77 percent in 2021, outperforming its benchmark by 9.37 percent. It also ended 2021 with assets under management of GH₵6.5million, representing a growth of about 100 percent.
Speaking on the performance of the fund for the year 2021, Fund Manager at EcoCapital Prime Fund, Elliot Amponsah, indicated that it is as a result of the smart allocation of funds into medium-term government and quasi-government securities.
“The performance was mainly informed by the asset selection processes we went through. Mainly what we did had to do with the yields on the market. I mean the game is all about the yields, and also the quality of the yields that you are able to pick on the market.
“So, what we did was just to ensure that we picked very high quality, high yield securities on the market, and this is something we believe impacted what we are seeing today,” he said this during the Annual General Meeting in Accra.
Mr. Amponsah mentioned that the current economic difficulties are likely to impact the fund’s performance due to a lot of investors redeeming their monies as a result of what is happening on the market.
In view of this, he said EcoCapital is still taking good measures to ensure it gets some yields from the market, and be able to give shareholders value for their money.
“So certainly it would impact the performance of the fund; but again, we are looking at ensuring that we get value for shareholders. What is happening is that we are rebalancing the portfolio over and over again so that when these investments mature, we will be able to scoop some of these high yields from the market for the investors.
“We are also taking into account the fact that a lot of investors are redeeming their money, as it stands now; and a lot are becoming aware of what is happening on the market. So a lot of mutual funds are being hit by redemptions here and there. The investors are looking at going onto the market themselves with all these three funds on the market,” he noted.
Commenting on the outlook for the years ahead, he said conversations with investors are ongoing to try and get them onboard; and with the expertise and know-how of management, they can go around the market and get something very good for them, going forward.
Representative of Custodian, Solace Fiadjoe of Guaranty Trust Bank, stated that they have invested according to the guidelines that was approved by the regulator. She added that they have not overly invested in any asset class which is risky, hence, working according to regulations.
The meeting also paved way for the management of EcoCapital Prime Fund to launch its 3rd anniversary.