The United Capital Asset Management Limited (UCAM) will roll out its N1 billion Children Investment Fund (CIF) today at a minimum of N5 million per subscriber through Initial Public Offer (IPO) of 5,000,000 units of N1.00 each.
However, the UCAM clarified that an investor could make an initial subscription of N1 million and augment it with further investment commitment.
The fund is targeted at qualified investors looking to build a financial reserve for their children’s future needs such as education, healthcare, and major life events while pursuing long-term capital growth through a diversified investment portfolio.
The CIF was launched by the Group Chief Executive Officer of the United Capital Group, Mr. Peter Ashade, in Lagos.
Ashade explained that the fund is a response to the growing need for increased retail participation in the capital markets and the promotion of early financial literacy as critical pillars in Nigeria’s journey toward a $1 trillion economy.
He said: “Today, we do not merely launch a new financial product. We unveil a vision – a vision for the future of our children, for the prosperity of Nigerian families, and for the economic destiny of our nation. This is why today’s launch holds a special meaning for us all.”
Ashade said that the CIF is a purposeful step toward in shaping the financial future of the next generation because every Nigerian child deserved a head start with a structured, deliberate, and empowering financial foundation that would prepare them not just for life, but for leadership, opportunity, and legacy.
He said: “The CIF is designed to offer families a simple, yet powerful vehicle for long-term financial planning.
“Whether it is saving for education, healthcare, or the seed capital for a child’s first business venture; this fund is about preparing the next generation to thrive, and lead in a world that rewards early planning and smart choices.
“We are laying the financial foundation for the next generation of Nigerian innovators, entrepreneurs and world-changers.”
According to him, “we are saying to families: it is never too early to start planning.
“We are saying to children: your future deserves to be financially secured from the outset.
“And we are saying to Nigeria: United Capital is committed to building a nation where prosperity is accessible, inclusive, and generational.”
In her presentation, the Managing Director/Chief Executive Officer of UCAM, Dr. Odiri Oginni, described the CIF as timely following a recent report revealed that it would cost between cost N31.4 million and N65.5million to give a child quality education in Nigeria today.
Oginni said that the goal of the CIF to enable parents and guardians to be more intentional and systematic in planning for the financial needs of their children and wards.
She said that the CIF is “an actively managed Naira-denominated fund that is focused on long-term capital growth and steady income through a diversified portfolio of equities, fixed income, and money market instruments.”
According to her, the United Capital Children Investment Fund would target returns that outpace inflation since education and other child-related costs rise with inflation.
Therefore the fund would be invested in money market instruments, equities and fixed income securities to ensure capital growth and appreciation, liquidity and stability.
She said: “The fund manager will actively seek to take advantage of attractive investment opportunities as they arise. “The fund shall be invested by the fund manager, in all or any of the asset classes and in accordance with the maximum proportions specified by the fund manager.”
She added that the key investment considerations that would guide the CIFare diversification, accessibility, liquidity, capital appreciation and risk.
“Investing in the Fund provides an opportunity for investors to diversify their product portfolios and investments while taking advantage of stable and competitive returns.
“Investment in the fund provides individual investors with access to securities which typically they would otherwise not have access to due to high minimum investment thresholds.
“The fund will enable investors to enjoy greater flexibility as they are able to invest in a security which can be redeemed partially or in full after allotment.
“The fund seeks to provide investors the opportunity to benefit from stable returns by investing in competitive short, medium and long-term securities and investment products, while aiming to protect investors’ investments and exposure to market volatility.
“The fund minimizes issuer specific risk through proper diversification of asset mix to while ensuring stable return on investment for investors,” Oginni said.
