The Lead Balanced Fund (“the Fund) is an Open-Ended Mutual Fund registered in Nigeria and authorized by the Securities and Exchange Commission as a Unit Trust Scheme. The Fund seeks to provide steady income flow, capital preservation and liquidity for investors. It will invest in quality assets such as Treasury Bills, Government (Federal and State), Corporate with investment grade rating, Commercial papers and other quality money market instruments. The Fund is suitable for all classes of investors who seek capital preservation, regular income flow and ease of liquidity. With a minimum investment amount of a N50,000 and subsequent multiples of N5,000, investors can participate in the Fund.

Introduction of the Fund

    • The Lead Balanced Fund is an Open-Ended Fund authorized and registered in Nigeria as a Unit Trust Scheme under Section 160 of the Investment and Securities Act No. 29, 2007, comprising of 5,000,000 units of N 100.00 each. The Fund is governed by a Trust deed and United Capital Trustees Limited have been appointed as Trustees. The Units of the Fund will be issued on a continuous basis to new subscribers at the prevailing offer price after the initial offering.

Investment Objectives

    • The Fund will seek to achieve capital appreciation, by holding long term positions in different asset classes and provide regular income streams for unitholders. The fund will focus on value investing by holding long term equity positions in viable blue chip companies that are attractively priced and listed on the NSE. In addition, the fund will invest in high quality fixed income securities such as Treasury bills, Bonds and other short term instruments thereby reducing the overall volatility of the investment portfolio and offering investors competitive returns.

Investment Philosophies

The Fund will base its investment on the following philosophies.

  • Capital Preservation: Capital preservation is the primary investment philosophy of this fund. As such, the investment manager will take reasonable measures to preserve investors’ capital, understanding that losses may occur on the individual instrument.
  • Risk Aversion:Risk is present in all investments types and styles, including equities and fixed income investments. The fund recognises that some risks are necessary to ensure long term investment returns that are sufficient to meet the investment objectives. However, the investment manager will make reasonable efforts to regularly evaluate the portfolio assets and ensure that the risk assumed is appropriate for the investment objectives.
  • Investment Discipline:Investment managers will adhere to the investment strategy as agreed and ratified by the investment committee and will be evaluated regularly to ensure adherence.

Fund will be managed by a team of experienced portfolio managers whose investment selection decisions are based on the outcome of thorough research of all target investments.

Asset Allocation Table

S/N Asset Class Asset Allocation Range(%) Target Weighting (%)
1 Equities 10-60 30%
2 Treasury Bills/other money market securities 20-07 55%
3 Bonds 0-20 10%
4 Cash 0-5 5%
Bank details

Bank Name: UBA PLC   Account Name: UBA NOM-UCT/Lead Balanced Fund   Account No: 1021985477