SIB forex fund delivers 20 per cent half-year return

Kenya’s premier regulated online forex trading money fund-Mansa X delivered a 20.3 percent return in six months through to June 30,2020.

The fund managed by the Standard Investment Bank (SIB) continued to squeeze through uncertainities to remain the top earner ahead of other investment classes including listed stocks and government bonds.

“We are elated at the ability to squeeze out a return for our clients at a period when the world experienced turbulent market conditions casting increased doubts about the capacity of any fund to deliver above average market returns,” said SIB Global Markets Executive Director Nahashon Mungai.

“This validates our strategy of trading using a long/short trading model that is better placed to take advantage of volatile markets.”

The fund which currently holds assets estimated at Ksh.1.4 billion provides investors with global markets exposure in currencies, commodities, precious metals, global stock indices and single stocks and cash and cash equivalents.

In comparison, equities listed at the Nairobi Securities Exchange (NSE) continued to deliver a negative return in the period as the all share index performance declined by 19.4 percent across the six months.

Government securities meanwhile marked a drop in yields as a result of heavy investor appetites as subscriptions to Treasury bills and bonds remained high in the period at 152.6 and 119.6 percent respectively.

Activity in the secondary bind market was meanwhile constrained by the high preference for safe haven assets as its turnover declined by 15.1 percent in the year to June 30.

The traditional real estate market market was underlined by a similar performance as segments such as residential properties marking a negative capital appreciation.

Money market funds meanwhile remained resilient amidst uncertainities born by the Covid-19 pandemic as the top five local funds delivered an average return of 10 percent.