Stanbic Equity Fund

What is the Stanbic Equity Fund?

The Stanbic Equity Fund is a collective investment scheme that invests in a portfolio of equity securities across all the industries of the stock market. The object of the fund is to provide a medium whereby investors can obtain undivided participation in a diversified portfolio of equity investments. The equity fund offers the greatest potential for long-term growth and is a good choice for long-term goals.

Investor Profile:

Individuals:

The Stanbic Equity Fund is designed for individuals who have cash available to invest over the medium to long term i.e. 3-5 years. The fund effectively provides an investment opportunity for individuals who require long- term capital growth as well as providing investors with a good protection against inflation.

Institutional:

The fund is suitable for institutional investors who require undivided participation in a well-diversified portfolio of equity instruments. It is designed for institutions who require potentially higher returns over the medium to long-term.

How does the Stanbic Equity Fund work

Individual investor's funds are pooled together to purchase a portfolio of equity securities. It provides you with the opportunity to purchase a well-diversified spread of equity securities in a recognized stock exchange both locally and offshore. An investor receives units based on the value of the underlying securities and the amount invested. For example, if on a particular day, the price of a unit is Kshs.100 (computed by dividing the Net Asset Value by the total number of units), an investor investing KShs.200,000.00 will receive 2,000 units.

By investing in the Stanbic Equity Fund you enjoy:

High Liquidity

Clients are able to withdraw funds at short notice, with no minimum 'lock-in' investment periods or penalty fees.

Professional Management

Experts experienced in the investment arena are managing your money on a daily basis and ensuring your peace of mind.

Free Switching

If your risk tolerance and return expectations change, as an investor you are allowed to transfer (switch) to another unit trust fund managed by Stanbic Investment Management Services (E.A) Limited using your accumulated fund value as your capital to invest in the new fund of your choice.

Easy and Affordable Investment

Collective Investments are a very convenient and low cost way of investing in markets, which investors would otherwise be difficult to access. You can also share in the rewards of the stock market without running the risks of direct investment. This is because if you were to invest directly into the stock market you may encounter high transaction costs, lack the investment expertise including the risk of non-diversification.

Potentially Higher Returns

Equity Funds have the potential for higher returns than Money Market and Balanced Funds over the long term even though the returns may fluctuate over the short-term. In selecting securities for Stanbic Equity Fund, the Fund Manager seeks to establish a portfolio of investments for unit holders of the fund, which has as its main objective the provision of medium to long-term capital growth.

Investment Strategy

The Stanbic Equity Fund was created to achieve an investment medium for unit-holders, which shall have as its primary objective long term capital growth, a reasonable level of dividends and the maximum stability for capital invested. To achieve this, Stanbic Equity Fund invests in ordinary shares listed on an exchange and when appropriate; other securities, including non-equity securities and preference shares. The fund aims to achieve returns in excess of the NSE ALL
Share index (NASI) measured over a 3-year period.

How to Invest and Disinvest

Investing:

Our procedures are designed to be investor friendly. An application form available from Stanbic Investments Management Services (E.A) Limited needs to be completed and submitted. Once this has been done and identity verified, your funds can be transferred.

Disinvesting:

By simply completing and having the authorised signatories sign the appropriate form your funds will be readily available within 4 working days. Withdrawal of funds can be made either on a total or partial basis. Transfers will take place electronically into the client's account. For security reasons, payments will only be made to original account holders; no third party payments will be made.

Investment Amounts

Minimum	Kshs 100,000.00
Minimum additional investment	Kshs 20,000.00
Minimum balance required on investment	Kshs 100,000.00

Fee Structure

Initial Fee	4.75% - 5.25%
Annual Management Fee	2.0%
Exit fee	Kshs 0

About the Fund

Fund Manager	Stanbic Investment Management Services (EA) Ltd
Launch Date	July 2009
Risk Profile	Medium
Trustee	KCB
Custodian	Standard Chartered Custody Services
Auditors	Pricewaterhouse Coopers

Disclaimer
The price of shares and the income there from the collective investment scheme pays dividends may go down as well as up. Investors are reminded that in certain specified circumstances their right to redeem their shares may be suspended.

Stanbic Unit Trust Funds are approved by the Capital Markets Authority. The Authority does not take responsibility for the financial soundness of the scheme or for the correctness of any statements made or opinions expressed in this regard. The terms and conditions of investment with respect to Stanbic Unit Trust Funds are governed by duly registered Information Memorandum and Trust Deeds.