Dec 20, 2012 at 9:41am

Investors of Gold Coast Securities’ Gold Fund may be smiling to the bank for some time as managers of the fund have hinted of a continuous impressive performance for the coming years despite numerous economic challenges.

The fund which made an impressive return for 2011 says it expects its 2012 returns to record a much impressive return.

Presenting its 2011 performance at its 7th Annual General Meeting (AGM), the Managing Director of the fund said it made a return of 13.3% on investments for last year compared to the 10.67% yield on the 91 day treasury bill and negative 3.1% recorded by the GSE composite index. Its total investment income also grew by 47.3%.

Net assets increased to GHC 3,386,689 in 2011 from a 2010 figure of GHC 3,041,253. However the number of shares issued declined from 31,359,095 to 30,824,094.

All this resulted in the price of a unit rising from GHC 0.097 sat the beginning of January, GHC 2011 to 0.1099 at the close of December 2011 which is a positive change of 13.3%.

The Managing Director of Gold Coast Securities, Seth Asante told Citi Business News, the fund will also record an impressive performance for 2012 despite a turbulent year.

“In 2011 the market was down by about 3 percent but the gold fund was up by 13 percent and around this period many funds did not do well but we sailed through and performed better. Last year interest rates also shot up and we saw the cedi depreciating against the major foreign currencies but we did well.”

He however said “we hope to do well because they have been some companies whose returns have been very good so we bought some of those stocks and for 2012 we will do much better.”

Meanwhile, at the end of 2011 the fund invested 34 percent of its portfolio in the banking sector, 10 percent in the financial service sector, 18 percent in the food and beverage sector and a further 31 percent in money market instruments.


By: Vivian Kai Mensah/citifmonline.com/Ghana