SEC advocates for more investment products
The Director-General (DG) of the Securities and Exchange Commission (SEC), Mr Adu A. Antwi, has asked financial institutions in the country to expand their investment vehicles by creating more financial products in the market.
That, he said, would create a variety of investment products in the country’s capital market, thereby making it competitive and liquid.
Mr Antwi gave the advice at the launch of two funds by Omega Capital Limited (OCL), an investment management and advisory company, in Accra.
The company launched the Omega Equity Fund and Income Fund to serve as an investment vehicle for people and institutions.
Omega Income Fund seeks to achieve growth in income and maximise short-term income. The fund has long-term sustainable returns and capital appreciation.
The equity fund, on the other hand, is a long-term collective investment scheme with the objective of mobilising funds from the public for investment in shares of listed companies on the Ghana Stock Exchange and other organised markets globally.
The DG of SEC said at the event that while institutions sought to improve the demand side of the market, players in the field must also seek ways to improve the supply side of the market by creating new products that could be patronised by the investor community.
“There is the need for us collectively as regulators and operators to step up the education drive to educate investors on how to maximise their investments using the capital market as an investment avenue,” Mr Antwi said.
According to him, the introduction of Omega Income and Equity funds offers investors an additional avenue to place their funds for management by professional fund managers, adding that “this would also encourage healthy competition in terms of quality service from fund managers”.
Mr Antwi, therefore, encouraged the management and staff of Omega Capital Limited to acquaint themselves with the securities industry laws that governed the operation of mutual funds.
The Chief Executive Officer of OCL, Mr Nana Kumapremereh, said the two funds would provide opportunity for investors to grow their wealth in the medium to long term.
According to him, the collective investment schemes are the best ways to attract people in the lower income bracket to set aside money for their future needs.
Mr Kumapremereh said the funds were so tailored to meet investors’ expectations by putting money in a diversified portfolio of securities with the objective of achieving long-term capital growth.
He added that the two funds were licensed by the SEC to operate in September this year, adding that they were a specialised company that pooled money from several investors for collective investment.
By Dominic Moses Awiah/Daily Graphic/Ghana