It is an open ended balance fundthat invests in a diversified portfolio which makes this fund best suited for medium risk profile, wherein the maximum cap for investment into listed equity is 50% at (DSE), while the balance i.e. 50% is being invested into debt instruments of varying nature/tenure.
The investment policy of the Fund on one side provides a perfect diversification tool to its investors, while on other hand is a risk mitigation strategy against vagaries of stack market, as equity component is kept low, when compared with its investment into fixed income securities.
This is the oldest fund of UTT AMIS which has been in operation since May, 2005. The current size of the fund is more than Tshs213.00 billion, with an investor base of more than 95,000 unit holders.
The fund has been offering lucrative returns ranging from 10% p.a. to 20% p.a. [net off tax]. With subject to increase or decrease
It is a fairly liquid Fund, as units can be redeemed whenever desired. Money will be received within 10 working days of the redemption request. There is no lock in period.
Exit load is @ 1% of NAV as compared to 10% withholding tax deducted by Banks on redemption of FDs. This is amongst the lowest in the market.
Transparency is there as NAV of the Fund units is declared on a daily basis.
Moreover, as the fund belongs to UTT AMIS which is a Government organisation of repute, safety of money is guaranteed. Thus it is apparent that Umoja Fund passes on all the three litmus tests of – Safety, Liquidity and Returns
Considering the above factors, you may invest a reasonable amount in the UMOJA fund and maintain a close watch on its performance for future investment/ disinvestment decisions into the Fund.