Afrinvest Asset Management Limited is set to pay note holders on the register of the Nigeria International Debt Fund interim dividend for the 2014 financial year.
The NIDF is a Nigerian Stock Exchange listed mutual fund that invests in fixed-income securities of the federal and state governments.
The fund manager said in a statement made available to our correspondent on Monday that N44.2m would be distributed among note holders, whose names were in the register of the NIDF by July 29, 2014.
It added that the payment would be made within two weeks of the closure date.
The statement quoted the Managing Director, Afrinvest Asset Management Limited, Mr. Ola Belgore, as saying, “This is the 32nd coupon in the life of the fund which was launched in 1997. Since the NIDF is an open-ended fund, it is estimated that a minimum of N36.00 per note will be paid to note holders who are in the books of the NIDF on the closure date which is July 29, 2014.
“The interim distribution is in line with the structure of the NIDF, as the fund is designed to pay distributions twice a year, as indicated in the fund’s Trust Deed.”
According to the statement, the NIDF invests in the domestic and international debt instruments of the Federal Government as well as those of the 36 states of the federation.
It added that the fund “offers investors safety, capital preservation, steady returns, diversification and value, and has a consistent dividend history making it quite attractive for both individual and institutional investors such as Pension Fund Administrators, insurance companies, asset managers and gratuity funds.
Restructured as an open-ended fund in October 2010 at a price of N1, 700 per unit, the NIDF with a price of N1, 988.48 as of July 10, 2014 has achieved a capital appreciation of 16.96 per cent.
Afrinvest Asset Management Limited is a subsidiary of Afrinvest West Africa Limited, a wealth advisory firm involved in investment banking, securities trading, asset management and investment research with a focus on West Africa.
One of the group’s subsidiaries, Afrinvest Securities Limited was recently appointed as a designated adviser by the Nigerian Stock Exchange to listed companies on the Alternative Securities Market.
The Alternative Securities Market is a specialised board of the Nigerian Stock Exchange for emerging businesses (small and mid-sized companies with high growth potential).
It provides the opportunity for the companies to raise long-term capital at relatively low cost from the capital market, while creating opportunities for growth and institutionalisation of companies listed on the board.
Source: Simon Ejembi – http://www.punchng.com/business/capital-market/afrinvest-to-pay-n44-2m-dividend-on-nidf/