![\"List](\"https:\/\/nigerianfinder.com\/wp-content\/uploads\/2020\/06\/List-of-Mutual-Funds-in-Nigeria.jpg\")
<\/p>\nMutual Funds are investment schemes which are professionally managed. For those who have heard of lots of investment options and wonder which they can trust so as not to be scammed, mutual funds are a type of investment you should look into. Mutual funds are a pool of funds that are professionally managed by expert mutual fund managers. Mutual funds are relatively safe because the mutual fund managers keep a record of the performance and growth of these funds. They are also able to make required changes so that the funds perform well and the investors can get the best possible returns.<\/p>\n
Mutual funds are controlled by an Asset Management Company (AMC), this is usually a renowned investment company that pools the funds from a group of investors. They then invest these funds in bonds, stocks, and securities. There are many forms of mutual funds in Nigeria that offer different conditions for investment and returns on investment.<\/p>\n
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In mutual funds, a number of investors gather (which includes you) put a certain amount of money in and thus a mutual fund is created. The profit from the investments is shared among all investors.<\/p>\n
There are different types of mutual funds. These are:<\/p>\n
Fixed income funds offer you the opportunity of investing your money with low to medium risk. These funds allow investors to get stable revenue from investing majorly in debt securities such as a government bond, corporate bond, certificate of deposit (CD), municipal bond, or preferred stock.<\/p>\n
EDC Fixed Income Fund<\/p>\n
Lead Fixed Income Fund<\/p>\n
Coronation Fixed Income Fund<\/p>\n
Stanbic IBTC Guaranteed Fund<\/p>\n
Stanbic IBTC Conservative Fund<\/p>\n
These types of mutual funds are considered to be of medium risk. They also specialise in long-term investments which bring in returns slowly but steadily. Below are examples of Balanced funds: Coronation Balanced Fund<\/p>\n
Pure equity funds are a type of mutual fund specialise in long-term investments. The aim is to gradually grow the capital. Pure equity funds are considered to be of high risk. This type of mutual fund buys shares of Nigerian enterprises or foreign enterprises that operate in Nigeria. Below are examples of such pure equity funds:<\/p>\n
FBN Nigeria Smart Beta Equity Fund<\/p>\n
Stanbic IBTC Aggressive Fund<\/p>\n
Coral Growth Fund<\/p>\n
Afrinvest Equity Fund<\/p>\n
UBA Equity Fund<\/p>\n
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Before you choose the particular mutual funds, you want to invest in, it is important you understand the major mutual funds available in the market and how those funds have performed over time.<\/p>\n
Stanbic IBTC Aggressive Fund is popularly known for offering competitive returns. It also diversifies its investment options, aggressive allocation. They are also able to trade an asset quickly without causing a drastic change in the asset’s price. The Stanbic IBTC Aggressive fund offers low to medium volatility (trading price), hence relatively lower risk.<\/p>\n
The fund is one of the Stanbic IBTC Umbrella funds. Others include the Stanbic IBTC Absolute and Stanbic IBTC Conservative funds. Stanbic IBTC Aggressive Fund<\/strong> is reported to typically invest a minimum of 60% of its assets in the equity market and the other 40% in fixed income securities. Stanbic IBTC Aggressive Fund is a great option for mutual funds\u2019 investments; however, it is best suited for investors who can bear high risk. If you would prefer those with low risks, it is safer to join the Conservative mutual funds. If you want to totally avoid taking risks, go for the Absolute Return mutual funds where they invest 100% in fixed income securities and your money is much more guaranteed. Stanbic IBTC Aggressive Fund<\/strong> is managed by Stanbic IBTC Asset Management and you can start with just \u20a65,000.<\/p>\n First Bank Capital Limited offers the following mutual funds:<\/p>\n FBN Money Market Fund<\/p>\n FBN Fixed Income Fund<\/p>\n FBN Heritage Fund<\/p>\n The investments in the mutual funds offered by First Bank of Nigeria are considered to be one of the safest. They are good for those do not want to invest a lot of money at once, have medium expectations, and want to have their money back in a short time. \u00a0You can start with just N10,000. You receive your revenue quarterly. You can expect the interest of 14% in FBN Mutual Funds.<\/p>\n The\u00a0Zenith Equity Fund\u00a0invests majorly in equities as well as income securities.<\/p>\n This Fund is designed for investors seeking to maximise their returns at minimal risk. Investors are able to build wealth at relatively lower risk than direct stock investments.<\/p>\n Other mutual funds offered by Zenith Capital Limited are:<\/p>\n Zenith Equity Fund<\/p>\n Zenith Income Fund<\/p>\n Zenith Ethical Fund<\/p>\n This mutual fund invests in equities and fixed income instruments.<\/p>\n United Capital has other mutual funds such as:<\/p>\n United Capital Bond Fund<\/p>\n United Capital Equity Fund<\/p>\n United Capital Money Market Fund. You can start with as little as N10,000.<\/p>\n United Bank of Africa (UBA) Asset Management Limited offers the following mutual funds:<\/p>\n UBA Money Market Fund<\/p>\n UBA Bond Fund<\/p>\n UBA Balance Fund<\/p>\n UBA Equity Fund<\/p>\n ARM offers other funds such as:<\/p>\n ARM Money Market Fund<\/p>\n ARM Discovery Fund<\/p>\n ARM Aggressive Growth Fund<\/p>\n ARM Ethical Fund<\/p>\n ARM Mutual Funds<\/p>\n ARM Mutual Funds is a perfect way to invest money for those who are not willing to drop large sums of money. The investment is considered to be of low risk. You can invest with as little as N5,000. If you want to increase your investment, you can add money to your account at any time you want. Returns are paid off every quarter and you can expect a rate of interest as high as 15,97%.<\/p>\n Other mutual funds are:<\/p>\n Cowry wise<\/p>\n First City Monument Bank Mutual Funds<\/p>\n Stanbic IBTC Pension<\/p>\n EDC Fixed Income Fund<\/p>\n Lead Fixed Income Fund<\/p>\n Coronation Balanced<\/p>\n Disclaimer <\/strong><\/p>\n This article is meant for general informational purposes only and does not substitute for professional advice. Do seek professional advice when you want to invest in any mutual fund scheme.<\/p>\n","protected":false},"excerpt":{"rendered":" Mutual Funds are investment schemes which are professionally managed. For those who have heard of lots of investment options and … <\/p>\nFBN Money Market Fund<\/strong><\/h3>\n
Zenith Equity Funds<\/strong><\/h3>\n
United Capital Balanced Fund<\/strong><\/h3>\n
United Bank of Africa (UBA) Asset Management Limited<\/strong><\/h3>\n
ARM Aggressive Growth Fund<\/strong><\/h3>\n