Tuesday, August 9, 2022
  • About
  • Advertise
  • Privacy Policy
  • Cookie Policy
  • Contact
  • Login
  • Register
  • Home
  • News
  • Economy
  • Columns
  • Companies & Markets
  • In Business With
  • Lifestyle
    • Motoring
  • Sports
    Men’s U-19 cricket team preps for world cup qualifiers

    Men’s U-19 cricket team preps for world cup qualifiers

    Record breaker Tebogo was advised against the 400m race

    Tebogo’s expected move to the US sparks mixed reactions

    GU clinches P3m Sponsorship Deal with Bank Gaborone

    GU clinches P3m Sponsorship Deal with Bank Gaborone

    Less Rewards for The Mares after Historic WAFCON Feat

    Less Rewards for The Mares after Historic WAFCON Feat

    Sponsorship offers pour in for Botswana’s World Athletics U-20 Heroes

    BAA targets Four Medals at World Athletics U20 Champs

    Orange Phikwe Marathon attracts Int’l Runners

    Orange Phikwe Marathon attracts Int’l Runners

    Trending Tags

    No Result
    View All Result
    • Home
    • News
    • Economy
    • Columns
    • Companies & Markets
    • In Business With
    • Lifestyle
      • Motoring
    • Sports
      Men’s U-19 cricket team preps for world cup qualifiers

      Men’s U-19 cricket team preps for world cup qualifiers

      Record breaker Tebogo was advised against the 400m race

      Tebogo’s expected move to the US sparks mixed reactions

      GU clinches P3m Sponsorship Deal with Bank Gaborone

      GU clinches P3m Sponsorship Deal with Bank Gaborone

      Less Rewards for The Mares after Historic WAFCON Feat

      Less Rewards for The Mares after Historic WAFCON Feat

      Sponsorship offers pour in for Botswana’s World Athletics U-20 Heroes

      BAA targets Four Medals at World Athletics U20 Champs

      Orange Phikwe Marathon attracts Int’l Runners

      Orange Phikwe Marathon attracts Int’l Runners

      Trending Tags

      No Result
      View All Result
      The Business Weekly & Review
      No Result
      View All Result
      Home Companies & Markets

      Education Fund: Bifm’s star performer as offshore bonds beat target

      While Botswana Investment Fund Management’s (Bifm) Letlotlo Education Fund returned 1.37 percent over the third quarter of 2021, underperforming its benchmark return of 2.38 percent by 1.01 percent, the fund outperformed the benchmark by 0.30 percent in a 12-month period, returning 4.55 percent.

      mm by Baboloki Meekwane
      November 29, 2021
      in Companies & Markets
      Reading Time: 2 mins read
      0
      Education Fund: Bifm’s star performer as offshore bonds beat target

      GABORONE 25 October 2018,BIFM chief executive officer Neo Bogatsu (R) during the BIFM Trustee Training workshop under theme "Good Pension Fund Governance and Responsible Investing in Gaborone on 25 October 2018. Pic: Tshekiso Tebalo/ Press Photo.

      0
      SHARES
      46
      VIEWS
      Share on FacebookShare on Twitter

      Within the quarter, asset allocation decisions and stock selection decisions detracted from the fund performance as shown by Bifm. But the star of the show was the offshore bond which returned 2.94 percent over the quarter, outperforming the benchmark return of 2.76 percent by 0.18 percent.

      Letlotlo Education Fund, a multi-asset fund that invests in local and offshore equities, bonds, property, and money market instruments, currently stands at P12,143,019.28 in value. 

      The fund aims to provide a degree of long-term capital growth by investing in a diversified range of assets. It has a moderately low-risk profile which provides a small degree of risk and volatility for some degree of growth. The seven-year lock-in period caters for investors with a long-term investment horizon and is deemed to be suitable for the investor with a moderately low-risk profile who wishes to generate some degree of long-term capital growth. This fund is best suited for individuals who wish to plan and save for predetermined future expenses such as a child’s future education. 

      Bifm’s Ya Masa Junior Fund, which is a multi-asset fund that invests in local and offshore equities, bonds, property, and money market instruments, returned 3.32 percent over the second quarter of 2021. This was an underperformance of 1.26 percent against the benchmark return of 4.58 percent. 

      “Within the quarter, both asset allocation and stock selection decisions detracted from fund relative performance. Over the 12-month market period, the fund underperformed the benchmark return of 13.64 percent by 0.38 percent,’’ the asset management firm announced in its Q3 update. 

      The local equity allocation underperformed the benchmark Domestic Companies Index (DCI) total return of 8.55 percent by a marginal 0.71 percent, returning 7.84 percent over the quarter as four of the six securities within the financial sector appreciated, whilst the other two remained flat. While the local bond allocation underperformed its benchmark return of -2.09 percent by 1.52 percent, returning -3.61 percent over the quarter, it is important to note that the offshore bond allocation returned 0.56 percent over the quarter, outperforming the benchmark return of 0.37 percent by 0.18 percent. 

      “Data regarding rollouts of COVID-19 vaccinations was promising, resulting in less pressure on the global healthcare systems but another wave can certainly not be ruled out, hence some pessimism persisted over the quarter,” Bifm wrote. On the back of the volatility, “we saw a global bond sell-off with rates rising slightly in the US, Germany, and the UK”.

      The fund aims to provide long-term capital growth by investing in a diversified range of assets. It has a moderately high-risk profile and a seven-year lock-in period which caters for investors with a long-term investment horizon who are comfortable with accepting some degree of risk and volatility for some degree of growth.

      The fund is suitable for the investor with a moderately high-risk profile who wish to hold investments over a long-term horizon and generate long-term capital growth and is best suited for individuals who wish to save and invest for the long term in their individual capacity or on behalf of their children. The fund requires a minimum investment fee of P200 and currently stands at over P16 million in size. 

      Tags: Botswana Investment Management FundLetlotlo Education FundLong-term capital growthYa Masa Junior Fund

      Navigation

      • Home
      • News
      • Economy
      • Columns
      • Companies & Markets
      • In Business With
      • Lifestyle
        • Motoring
      • Sports

      Recent News

      • Pula–Rand exchange rate: a pain for domestic businesses
      • New Turnstar board is optimistic about the future
      • Absa partners with BWConnecSpaces to drive local & regional entrepreneurship engagement
      • Botswana, SA celebrate 28 years of trade relations
      • Economists say interest rate hike is not ideal

      Site

      • About
      • Advertise
      • Privacy Policy
      • Cookie Policy
      • Contact

      © 2021 The Business Weekly & Review. All Rights Reserved.

      No Result
      View All Result
      • Home
      • News
      • Economy
      • Columns
      • Companies & Markets
      • In Business With
      • Lifestyle
        • Motoring
      • Sports

      © 2021 The Business Weekly & Review. All Rights Reserved.

      Welcome Back!

      Login to your account below

      Forgotten Password? Sign Up

      Create New Account!

      Fill the forms below to register

      All fields are required. Log In

      Retrieve your password

      Please enter your username or email address to reset your password.

      Log In
      This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
      Are you sure want to unlock this post?
      Unlock left : 0
      Are you sure want to cancel subscription?