It Is Still a Good Time to Invest
Kwabena Boamah, Managing Director of Stanbic Investment Management Services LTD (SIMS), has encouraged Ghanaians to continue investing in spite of the current economic challenges.
Mr. Boamah said this at the 2023 Annual General Meeting (AGM) of SIMS held at the SBIncubator in Accra. He acknowledged the difficulties faced by Ghana’s economy since 2022 primarily due to debt restructuring. “The major issue has been debt restructuring, which involved clients, both institutions and other market players, exchanging old bonds for new bonds,” he stated.
Despite the challenging financial climate, Kwabena Boamah encouraged Ghanaians to continue investing. “It is still a good time to invest in the Fund because, currently, investments are short-term in selected money market instruments, and we have been diversifying to ensure that we mitigate the risk exposure of the funds. While there is always some level of risk, the risk on the subclass Amortized Cost (AMC) is lower” he noted.
“Keep investing and stick to the basics: diversify your investments and be aware of risk. Every investment has risk, but the risk may differ from one to the other. Do not stop investing – preserve the value of your money against inflation” he concluded.
Stanbic Investment Management Services LTD (SIMS), a member of the Standard Bank Group, is an investment management and advisory firm licensed by the Securities and Exchange Commission and registered with the National Pensions Regulatory Authority as a pension fund manager. SIMS is a multi-specialist asset manager that connects retail and institutional clients with multiple investment opportunities across asset classes and markets. It manages the Stanbic Income Fund Trust (SIFT) and Stanbic Cash Trust (SCT) which are unit trusts as defined in the Unit Trusts and Mutual Funds Regulations, 2001 (L.I. 1695).
The SCT is an open-ended unit trust fund with the primary objective of maximizing short-to-medium-term income while preserving capital through investing in a portfolio of fixed-interest securities including treasury securities and quasi-government securities and money market securities. The SIFT aims to maximize medium-to-long-term sustainable income and capital appreciation, by investing in a portfolio of fixed-income securities including government treasury notes and bonds, and corporate debt securities. SIMS’ client base consists of individuals, institutions, organisations and associations with various investment objectives. Investors may invest at regular intervals or in one-off lump sum investments.