SIB Mansa-X fund assets surge by Sh10.7bn in months on investments

Standard Investment Bank (SIB) multi-asset fund Mansa-X recorded a 48.4 percent growth in assets under management to Sh32.8 billion in the six months ended June 2024.

The fund's assets stood at Sh22.1 billion at the end of December 2023, meaning that it has added Sh10.7 billion to its stockpile.

The fund's asset growth is attributable to inflows from new investors and reinvestments by existing ones.

The Kenya shilling denominated arm of the fund has grown from Sh19.5 billion in December to Sh27.9 billion, delivering the largest jump in the Mansa-X AUM across the six months.

The dollar-denominated portion of the fund's assets has meanwhile grown to reach $38.6 million (Sh4.9 billion) from $20.6 million (Sh2.6 billion) previously.

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Returns on the shilling-denominated side of the fund stood at 4.99 percent in the second quarter and at 5.62 percent in the first while the dollar fund had a return of 2.93 and 3.48 percent respectively in the same review period.

The multi-asset fund has maintained its portfolio diversification stance with the shilling fund’s top 10 holdings covering fixed-income instruments, the Nasdaq 100 index, the Japanese Yen, interest rate derivatives, and sugar.

The US dollar-denominated fund meanwhile is differentiated by higher holdings of the S&P 500 index, gold futures, and single stocks including Broadcom Inc and the Eli Lilly and Company.

The Mansa-X Kenya shilling fund requires a Sh250,000 minimum investment and a Sh100,000 minimum top-up, while the USD fund has a minimum investment of $2500 (Sh322,450) and a $1000 (Sh128,980) minimum top-up.

The fund attracts a five percent per annum pro-rated financial services charge and a performance charge of 10 percent on returns above the hurdle rate set at 25 percent for the Kenya shilling fund and 15 percent for the dollar fund.

Mansa-X deploys a long-short trading model that seeks to optimise returns for clients irrespective of market conditions while offsetting downside risks on capital. Long-short is an investing strategy that takes long positions in stocks that are expected to appreciate and short positions in stocks that are expected to decline.

Globally, the fund invests in single stocks and stock indices, fixed income, derivatives, precious metals, currencies and commodities.

Local investments meanwhile cover cash and cash equivalents, fixed income, NSE derivatives, exchange-traded funds, and NSE equities.

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