- FCMB Legacy Equity Fund posted the best returns for an equity based mutual fund in 2017
- Out of the 10 Equity based Mutual Funds in Nigeria, only 5 beat the Nigerian Stock Exchange All Share Index Performance of 42.3%
- This articles reviews the performance of Mutual Funds in Nigeria
One of the many ways passive investors sweat their cash is by giving it to fund managers to manage on their behalf. Investing in a mutual fund remains one of the most reliable way of meeting an investment goal, particularly if you are a busy person and not very savvy with the intricacies of investing.
Nigeria’s has its own band of mutual funds and we are very sure most of them will visit you this year to either pitch to you as a potential investor or urge you as an existing investor to remain and increase your investment in their care.
However, before you decide, take out time to see the Mutual Funds that performed the most this year.
Mutual Fund Score Card
In the world of investing, a mutual fund is acclaimed to have done well if it meets the following criteria
- It posted positive real returns (That is positive returns after adjusting for inflation)
- It beat the Nigerian Stock Exchange All Share Index
- It beats the risk free rate available in the market (which is the one year treasury bills rate)
Here are the results
In terms of returns, FCMB’s Legacy Equity Fund posted the best returns so far in 2017. This is followed closely by ARM Aggressive Fund and second runner up is FBN Nigeria Smart Beta Equity fund.
All the Equity Based Mutual Funds returned positive returns when you net-off inflation. They also performed well when compared to risk free securities such as treasury bills.
Source: SEC
View using our interactive table.
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