Britam Bond Plus Fund

The Britam Bond Plus Fund is an investment fund where money from various investors is pooled together and invested in a variety of bonds including Corporate Bonds, Treasury Bonds and Other Fixed Income securities, minimizing the risk involved with investing directly in bonds.

Provides diversification through varied bond purchases and allows for immediate liquidity, giving an edge over bonds in the market which are not easily disposed off.

The income fund looks to achieve a reasonable level of current income that beats inflation and outperforms bank savings, current and fixed deposit accounts with maximum stability for the capital invested.

It is suitable for conservative investors who seek regular income from their investment.

Fund Overview

It is a low to medium risk investment suitable for short term to medium term investment goals.

***Recommendable investment period is at least 12 months to maximize return

Interest is earned on a daily compounding basis.

It is an open-ended investment. Funds are availed within 24-48 hours of request.

Interest rate fluctuates daily depending on market performance.

** Interest can be paid out monthly upon request

No initial fee or charges are applied to the fund.

Average return is between 13.00 – 14.00% p.a

Interest declared/published is net of fees but gross of tax(15% withholding tax on interest only).

. Monthly savings can be achieved via bank standing orders, check off system or Mpesa

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From the Menu Select Invest with Britam-Select New Customer- Choose Bond Plus Fund- Invest- Enter Your Details

Select Yes on Financial Advisor refferal and put my Name Gallin Wekesa, plus Phone number 0712870447

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Frequently Asked Questions – Britam Bond Plus Fund
Please find below some of the frequently asked questions on the Britam Bond Plus Fund and the suitable responses to the same;

1. What is the Britam Bond Plus Fund?
   The Britam Bond Plus Fund is one of the regulated Unit Trust investment Funds offered by Britam Assets Managers (BAM). A unit trust fund is a Capital Markets Authority (CMA) registered and licensed collective investment scheme.
2. Does BAM directly purchase and trade in Bonds for investors in this fund?
   Being a Unit Trust, the Britam Bond Plus is a pooled fund that invests exclusively in fixed income instruments. The various investor funds are combined and invested collectively as one pot. The fund invests in a mix of high yielding, low risk investments, specifically treasury bonds and deposits at tier 1 banks to ensure high levels of liquidity and convenience for clients who want to access their funds.
3. Why should one invest in the Britam Bond Plus Fund as opposed to buying Bonds directly from the Government?
   One of the most important principles in investment is diversification. The bond plus fund invests in a wide range of government bonds, and thus our clients get access to these options by investing in the bond plus fund.
   The fund also offers high levels of liquidity, and although it is suitable to medium- and long-term clients, it provides liquidity at any time to any client who wants to redeem part or all of their investments.
   Investors who invested directly in bonds over the last few years have had a hard time liquidating their investments before maturity in the current interest rate environment, where buyers are favoring new bond issues offering higher coupons. This has led some clients to be locked-in to the investment, or to sell at a discount (loss) if they need funds urgently.
   The fund has affordable minimum initial and top amounts of Kes. 1,000
4. What are the applicable charges for investing in the Britam Bond Plus Fund?
   The fund charges an annual management fee of maximum 2% and withholding tax of 15% both deducted from the interest earned. The daily published rates are usually net of (after) the fees but gross of (before) the WHT. Tax exempt clients with a valid tax-exemption certificate are not charged the WHT.
5. How is the return computed and at what rate?
   The interest is earned and computed on a daily compounding basis as per the applicable rate for the day. The returns fluctuate daily and have been on an upward trend. The published effective annual yield as at the 11th October 2023 was 13.16%
6. Is the Britam Bond Plus Fund a locked/fixed investment?
   As per Britam policy, funds are not accessible within the first 14 days of initial investment after account opening. Afterwards, there are no lock-in periods for any money invested in the Fund. Investors can access the funds within 48 business working hours and have them transferred straight to their M-Pesa or Bank account.
7. What are the applicable charges for withdrawing funds?
   The fund allows for one free withdrawal every month and subsequent withdrawals within the same month will be charged Kes 750
8. Can clients top up their investment?
   Regular top ups are highly recommended so as to keep growing their savings and realize more interest earnings as well as achievement of their investment goals.
9. When and how can a client top up?
   Top ups can be done at any point. Minimum is Kes. 1,000
   They can be done via the fund Paybill (500006), USSD *778#, Bank Transfer, Pesalink, Cheque, Standing orders or Check Off
10. How can clients keep track of their investment performance?
    Email statements are sent every month. We also encourage use of the Britam Customer Portal and My Britam App for self service support.
11. How safe are the clients’ funds?
    The investments in the Bond Plus fund are held in a custody account with Standard Chartered Bank. The investments do not sit in the Company balance sheet and are also supervised by a reputable fund trustee. In addition to being audited annually by an external auditor, we also ensure that the investments we undertake are well diversified and in compliance with the CMA guidelines.

To sign up, Contact:

Gallin Wekesa-Financial Advisor @Britam

0712-870-447 gwwekesa@britam.com, gallywexa@gmail.com