The Initial Public Offer (IPO) of the Stanbic Income Fund, has seen 171 per cent over subscription at the end of the bid.
The bank’s Portfolio Manager, Kwabena Boamah said the Fund saw about 342 investors taking up the offer, out of which about 300 were individuals who made the purchases from their personal resources.
The Stanbic Investment Management Services (SIMS)- Stanbic Income Fund (SIF) is an opened-ended trust fund which invests in fixed income securities intended to give high interest earnings to investors.
The IPO which lasted a month had 200,000 units on offer at a price of GH¢1.00 per unit.
“We are not too surprise about the turn of events. We knew the product will do well because of our track record as a tried and tested brand in investments and asset management,” Mr Boamah said.
He said SIMS was happy about the patronage because “it indicates that people still have disposable incomes to invest even though there are complaints of low incomes. People want to invest in
their future and are thus looking for investment products that would offer them higher interest but have lower risks”.
The subscriber base of the fund is currently moving towards a million after hitting 800,000 recently and SIMS is promising good returns to
the subscribers.
The IPO of the SIF was launched on December 15 last year and ran for nearly a month.
The fund which has Merchant Bank as its trustee is focused on fixed income funds.