Gold Money Market Fund (GMMF)
Gold Money Market Fund is a collective investment scheme which pools people’s money to participate in a wider range of investments than would be possible for most individual investors, sharing the costs and benefits of doing so. Members of this fund buy units at the market price, and the value changes based on value of the diversified underlying assets of the Fund (high-yielding, short-term instruments or credit such as Treasury Bills, certificates of deposits, and short-term secured commercial paper). The ideal customer for the Gold Money Market Fund is a risk averse investor who is seeking relatively high investment yields. These types of clients are attracted by the potential for short term investment growth as compared to long term securities such as stocks. Investors are attracted by short term financial instruments such as T-Bills.
Objective: To provide income growth and preservation of capital for Unit holders through investment in money market instruments.
Investment Strategy:20% invested in Corporate Bonds, 40% in Certificates of Deposits/Fixed Deposits, 15% in Bankers’ Acceptances, 15% Repurchase Agreements (which may be seen as secured obligation by the Fund), 20% in Ghana Government and its agencies debt instruments and 15% in Bank and Cash. These proportions may vary in accordance to prevailing market conditions.
The Gold Money Market Fund shall not:
1. Invest more than 25% of its total net assets in securities of issuers in any single industry.
2. Invest more than 10% of its total assets in securities of any single issuer except for the Ghana Government, its agencies or instruments.
3. Borrow more than 10% of the total net assets of the Fund at the time of borrowing and only for liquidity purposes.
4. Invest more than 10% of the total net asset value of the Fund in schemes managed by the Manager.
5. Except with prior approval of the Securities Exchange Commission, enter into hedging transactions.
6. Purchase real estate, nor acquire any options, rights or interest in respect thereof provided that the Fund may invest in securities secured by real estate or in securities of companies investing in real estate.
Minimum Investment : Minimum Initial Subscription is 500 Shares and in lots of 100 shares thereafter. (Minimum Amount is GHS 50.00)
Withdrawal :Investors complete a redemption/withdrawal form for the shares to be sold at prevailing market price.