eBusiness Weekly
Tapiwanashe Mangwiro
The Fidelity Growth Fund had a good outing last year as it recorded gains of 494.16 percent during the period under review.
According to the Securities Exchange of Zimbabwe’s GroWealth 2021 full year report, the Fidelity fund saw its most returns in the first quarter where it gained a mammoth 104.71 percent.
The fund, however, gained just 37.54 percent in the fourth quarter with 16.99 percent coming in December.
Investors in the Fidelity fund had a good year as their 494.16 percent return was above the 310.53 percent gain recorded by the All Share Index in the full year 2021.
The fund also out gained the Top 10 index which closed the year with gains of 307.51 percent and inflation which was at 60.75 percent as of December 2021.
The returns of the Fidelity fund have been highly competitive over the years, with the returns having compared favourably to inflation and other benchmarks.
Robert Mugonera the Fidelity fund manager said; “These investments are easily accessible to the average citizen with a minimum investment of US$10,000. Our funds are highly liquid and disinvestments are processed within three working days.
“We maintain a rigorous top-down approach that takes into account the broader economic context and applies it to specific assets. We use a systematic combination of valuation models and relative pricing multiples to determine fair value estimates of assets.”
On what distinguishes their funds from others in the market, Mugonera said their funds have been in existence since 2001, and they have survived the turbulence that have befallen the local economy over the last two decades and have delivered real value in the process.
“While we manage some funds that invest in risky assets like equities where capital loss is a possibility, we are proud to have consistently preserved capital for our investors over the 20 years we have been in existence,” Mugonera said.
