Nairametrics| ACAP Canary Growth Fund returned 13.74% in 2016, 19.91 percentage points above its benchmark, the Nigeria All Share Index which closed the year with a negative return of -6.17%. The fund’s 2016 performance is an improvement over its 2015 return of 5.76%. The fund which charges a 1.5% management fee has therefore generated an inception (10/28/2011) to date (12/31/2016) return of 51.76% in total returns terms (including the dividend of N0.04 paid in 2013).
The fund’s assets totaled N1.2billion as of Dec., 30 2016, up 3.34% from the end of 2015, according to SEC NAV summary report analyzed by Quantitative Financial Analytics Ltd. The asset allocation target for the fund according to its website is 20 to 70% equities, 5 to 50% money market instruments, 10 to 40% real estate, 10 to 50% Fixed income and a maximin of 5% in cash. There are however no specifics of its 2016 asset mix from available information. According to analysis by Quantitative Financial Analytics Ltd, ACAP Canary Growth Fund had an estimated inflow of N5.8 million and outflow of N114 million but the estimated gain of about N146 million generated in 2016 led to its NAV growth.
ACAP Canary Growth Fund has a risk reward ratio of 7.07:4.65 making it a medium-risk medium return fund. The fund also has some correlation with the broad stock market. Quantitative Financial Analytics Ltd have determined that the fund has a correlation of 0.58, an Alpha of 7.35, and Beta of 0.41 when measured against the Nigeria All Share Index. The R-Squared of the fund with relation to the ASI is .33 showing that only about 33% of the fund’s performance is attributable to the performance of the broad stock market in Nigeria while the remaining 67% of its performance is due to other factors like  the asset selection skills of the fund manager.
ACAP Canary Growth Fund aims to “continuously preserve capital and yield superior returns in the medium to long term”. The investment requirement in the fund is an initial investment of 50,000 units with subsequent investments in multiples of 10,000 units. This implies that at current price of N0.7275, a new investor will need a minimum of N36,375 to invest in the fund and N7,275 for subsequent investments. Per available information, the fund manager follows an investment selection process that is “based on strong fundamental analysis and history of technical performance” while the fund is “designed to meet the needs of investors who have medium to long-term investment objectives”.
The ACAP CanaryGrowth Fund (“The Fund”) is a Securities and Exchange Commission (“SEC”) registered collective investment scheme listed on the Nigerian Stock Exchange Memorandum Quotation. Our role as Fund Manager to the CanaryGrowth Fund has resulted from the first ever acquisition and transfer exercise of a collective investment scheme in Nigeria, upon the approval of the Securities and Exchange Commission and the Trustees to take up the fund management role of the Oceanic Vintage Fund (“Fund”) from Oceanic Bank Plc.
This process was ratified at the Annual General Meeting & Extra-Ordinary General Meeting (“EGM”) of the Oceanic Vintage Fund on Friday, 28th October 2011, where unit holders were formally notified of the voluntary retirement of Oceanic Bank Plc as fund manager to the Oceanic Vintage Fund and unanimously approved the resolutions to reposition the Fund under the management of ACAP.
Hello, I am a subscriber to the fund and would like to know the state of my investment and collect any dividend if available…your contact address and phone number and email would be most appreciated