Recently launched investment firm Xeno Technologies have announced a slight rise in the average yields on money market and bond funds.
The company announced during its Annual General Meeting that the yields on the Uganda Bond Fund (XUBF) had grown from 14.50% in 2018 to15.82% in 2019.
The company yields on its Money Market funds on the other hand rose to 11.79% last year up from 9.35% in the previous year.
This was revealed during the company’s first ever Annual General Meeting since it its launch 3 years ago.
The growth on both ends was attributed largely to low inflation which was recorded during the year (2.9%), as well as rapid economic growth at the time which was averaging 5.6%.
However, company saw a sharp fall in returns for its domestic equity fund from 15.60% in 2018 to -13.20% last year.
This was blamed on negative market sentiment resulting in low demand and low activity for the domestic equities
On the other hand, the company’s Regional Equity Fund yields grew from -7.50% to 39.10%, all thanks to the lifting of interest rate caps in Kenya which resulted in a surge in the regional equities.
Xeno’s total assets under management at 2019 in the XENO Unit Trust Funds stood at UGX 8 billion at 2019 (+164% growth).