UTT fund value balloons by 50pc in one year

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TANZANIA: THE UTT AMIS fund value has increased by 54 per cent in one year, attributed to improved investor’s confidence in the financial markets.

In the report released on Sunday during the 15th Annual General Meeting (AGM), the value soared to 1.53tri/- at the end of June from 996.5bn/- of the same period last year, an increase of some 538.9bn/-.

“The performance of the funds during the period has continued to be good, and the investor’s profits also increased,” said Mr Simon Migangala, UTT’s Managing Director.

Currently, UTT AMIS is supervising six funds including Umoja, Wekeza Maisha, Watoto, Jikimu, Liquid and Bond.

The investor’s profits climbed up and surpassed the performance benchmark. Annual profit increased by 11.2 per cent compared to 12.6 per cent of the last year and the fund value soared to 320bn/- until June from 289bn/- in a similar period last year.

Additionally, the statement highlighted the positive performance of the local companies in the stock market as per the bourse share indices.

According to Tanzania Share Index (TSI) which measures the performance of local listed firms on Dar es Salaam Stock Exchange (DSE), the index increased from 3,928.5 points to 4,091.8 points a year to June.

The report showed that the Jikimu fund recorded a 14.0 per cent increase compared to 7.6 per cent which is the fund’s benchmark, while the Umoja fund registered 11.2 per cent and Wekeza Maisha increased by 12.5 per cent.

Other funds’ profits include Liquid, which increased by 12.5 per cent, and bond 12.3 per cent against their 9.7 per cent benchmark.

Speaking on the five-year strategic plan which ends next June, Mr Migangala said the UTT AMIS is optimistic to focus on the use of technology to provide services to investors and be able to access financial services digitally.

The report showed that until June, the fund managed to connect its financial system with numerous banks including CRDB, NMB, NBC and Stanbic.

The fund said it is in the process of connecting with more banks such as Absa, Exim, KCB, People’s Bank of Zanzibar, DCB and UBA.

TCCIA Investment to raise over 10bn/- through shares

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DAR ES SALAAM:THE TCCIA Investment Ltd on Thursday launched an initial rights offering for selling over 72.9 million shares targeting to raise 10.58bn/- by December 1, this year.

The funds earned from the sale will enable the TCCIA Investment Company to beef up its investment in the capital markets.

This will include investment in corporate shares and bonds in the country and East African Community (EAC) as well as Southern African Development Cooperation (SADC).

“It will enable the company to realise its strategic goals of boosting value of shareholders’ investment,” said Chief Executive Officer of the Capital Market and Securities Authority (CMSA), Nicodemus Mkama during the launching event.

Mr Mkama said the capital markets drive economic growth by enabling availability of financial resources and strengthening good governance and bringing productivity to the company and institution.

He said the authority will continue building capacity by ensuring that an enabling and participatory environment is in place.

This is meant to enable institutions in the public and private sector to use capital markets for securing funds for implementation of development projects, green bonds, blue bonds, social bonds and subnational bonds.

He explained that on November 3, this year, the CMSA endorsed the TCCIA Investment Ltd to sell its  72,957,660 shares on initial rights offering to its shareholders at a price of 145 per each share.

The approval was issued after the CMSA was satisfied that the company met conditions under the Capitalisation and Right Issues),