• Monday, June 24, 2024
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BusinessDay

Cordros Capital stimulates Nigeria’s underserved retail segment with N1 billion fund

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Nigeria-based investment banking firm, Cordros Asset Management Limited (CAML) is giving a lifeline to businesses in the retail segment and the investing public with the recent signing of its money market fund following clearance of its offer documents by the Securities and Exchange Commission (SEC).

In view of the ratification, investors have the opportunity to subscribe to a total fund size of N1 billion of 10,000,000 units at N100 per unit.

CAML is a subsidiary of Cordros Capital. The proposed capital, according to a statement from the firm, is in line with the organisation’s strategy to create array of products suitable for the underserved retail segment of the economy.

In his opening remarks, Emeka Ndu, chairman of CAML commended the company’s partners for believing in the project.

Adegbolahan Aina, portfolio manager for Cordros Capital Limited noted, “This fund is meant to give added value. What we found out was that, a lot of people that manage funds don’t cater for the retail segment, so the sector is underserved in a way. Most of the funds are tailored to individuals and companies with the big money. The idea of a mutual fund is that you can invest your N5, 000 or N10, 000 and make some money in return.

“So the fund is going to be attractive to people in the retail segment. A student can save part of their allowance and invest. It is also capital reservation. And there is going to be regular income stream. We normally pay dividends in this fund. Every three months you are supposed to get dividends.

Also if you are planning to go to the university for instance, your parents can achieve that goal, there is regular income stream and there is safety of funds as well. We are regulated by the Security and Exchange Commission.

Everything we do is regulated. The fund for instance is not going to be in our name, it is going to be in the name of the trustee, custodian. So it is very safe.”

Since it opened its doors to the public in 2007, Cordros has maintained its vision to be among the top five ranking players in investment banking in Nigeria.

According to Layi Olaleru, managing director, CAML, “We are a fully fledged investment bank. We have Cordros Asset Management. We do our brokerage business under Cordros Security Limited. We also have a financial advisory firm. We are a diversified investment.

FRANK ELEANYA