Old Mutual Bond Fund offers a dynamically blended portfolio of fixed-income securities issued by the Kenyan government and corporations with some offshore element. The fund aims to achieve the best total returns possible from a well-diversified portfolio invested in a whole range of bonds.
Old Mutual Bond Fund benefits include;
- Expert Fund Management - This basket of bonds is assembled by our financial experts to ensure that the final product has minimum risk and maximum returns. Our Fund Managers have the required skills to build a competitive bond fund which may be unavailable to most individual investors.
- Diversification - The Bond Fund allows you to spread your risk by investing in many individual bonds which ensures the performance of one individual bond does not significantly negatively impact the performance of the Bond Fund. A Bond Fund is ideal if you have small amounts to invest, since you can spread your money across a wide range of bond investments.
- Higher savings - The interest rates on bonds are usually greater than the rates paid by banks on savings accounts. This means that if you are saving and you don't need your money in the short term, the Old Mutual Bond Fund will give you a greater return without posing too much risk.
- Continuous growth - In the Bond Fund, income from all the bonds can be reinvested automatically and added to the value of the fund. Furthermore, bond funds tend to pay periodic interest which includes the interest payments on the fund's underlying securities.
- Flexibility - Though the recommended investment period for the Bond Fund is more than 2 years you can withdraw at any time at the prevailing unit price. With the Bond Fund you will not have to worry about getting a buyer for your bond or awaiting maturity dates as would be the case if you invested into individual bonds.
- Flexi payments - Old Mutual allows you to top up your account at any point in time through our “easy pay” options; M-pesa, postapay, check-off, cheque or direct debit according to your preference.
- Regular account statements - You can keep track of your bond fund investment since the funds value is assessed daily. To know the value of you investment at any point in time you can check your account value by logging into our website or through sms. Or through the free monthly statements that are forwarded to your email account. In addition you can check the daily unit price in the local dailies or through our website.
- Free financial advice - Our Old Mutual Financial Advisors are available to offer you free financial advise. They will assist you to develop your individual financial goals and help you plan for your future.
The Old Mutual Bond Fund is a safe and conservative investment. It provides a reliable stream of income and serves as a great investment vehicle for saving when you don't want to put your money at risk.
Please note that the minimum lump sum investment for this fund is KShs 50,000.
For more information on the Old Mutual Bond Fund, please view the Fund Fact Sheet. Please visit your nearest Old Mutual branch or speak to your financial advisor.