Collective Investment Schemes (CIS) were introduced in November 2003, by the Collective Investment Schemes Act, with the first unit trust being established by African alliance around 2005. The industry has since grown, with various players entering the market. Currently there over 6 fund managers and 91,289 funded investor unit trust [...]
A fund manager plays a crucial role in managing unit trust funds, responsible for:1. Investment strategy: Developing and implementing investment objectives, policies, and strategies.2. Portfolio management: Selecting, buying, and selling securities within the fund.3. Risk management: Monitoring and managing risk exposure to ensure alignment with investment objectives.4. Research and analysis: [...]
Why Earn Interest on Savings AccountsInflation Protection: Interest earnings help maintain purchasing power during inflation.Wealth Growth: Compound interest accelerates savings growth over time.Liquidity: Savings accounts provide easy access to funds.Low Risk: Typically, savings accounts are insured and low-risk.Disciplined Savings: Encourages regular savings habits.Effects of High Inflation on your Investments and [...]
GDP Growth Rate; Measures economic expansion or contraction, impacting corporate earnings and stock prices. Inflation Rate: Affects purchasing power, interest rates, and currency value, influencing investment returns. Interest Rates: Impact borrowing costs, consumer spending, and investment decisions. Unemployment Rate: Indicates labour market health, influencing consumer spending and economic growth. Consumer [...]
Passive income refers to earnings that require minimal effort or involvement to maintain, allowing individuals to generate revenue without actively working for it. This type of income can provide financial stability, freedom, and security. Importance of Passive Income:1. Financial Independence: Passive income can help achieve financial independence, reducing reliance on [...]
1. Risk Profile Conservative investors: Favor low-risk investments, such as bonds, money market funds, or dividend-paying stocks. Moderate investors: Balance risk and potential return with investments like balanced funds or index funds. Aggressive investors: Seek higher returns with higher-risk investments, such as stocks, real estate, or alternative assets. 2. Investment [...]
Return Comparison: 1. Unit Trust Funds: 2. Government Securities: 3. Fixed Income Bank Deposits: Risk Comparison: 1. Unit Trust Funds: 2. Government Securities: 3. Fixed Income Bank Deposits: Liquidity Comparison: 1. Unit Trust Funds: 2. Government Securities: 3. Fixed Income Bank Deposits: Other Key Considerations: 1.Unit Trust Funds: 2. Government [...]
Business continuity is not guaranteed in the event of a founder’s exit, highlighting the importance of listing your company on the Uganda Securities Exchange (USE). Founders play a crucial role in shaping a company’s vision, strategy, and culture. Their departure can create uncertainty, impacting employee morale, customer relationships, and overall [...]
Unit trust funds, also known as Collective Investment Schemes (CISs)are investment vehicles that pool money from multiple investors to invest in a diversified portfolio of assets, such as stocks, bonds, and other securities. Each investor owns a proportionate share of the fund’s assets, represented by units. These units can be [...]
Real assets determine the wealth of an individual, whereas financial asset merely represent claims on real assets. Nevertheless, financial assets and markets in which they are traded play several crucial roles in facilitating savings and investments for individual and institutional investors. Tangible assets with intrinsic value. Examples: Advantages of Investing [...]