JN Mutual Funds is set to launch two new funds within the next few months – a money market fund denominated in pound sterling, and an equity fund focused entirely on international markets.
Allan Lewis, managing director, JN Mutual Funds, made the disclosure at the JN Mutual Funds Annual General Meeting (AGM) on January 11, which was held in a hybrid format of a physical meeting and streamed live. He said the mutual funds will be launched subject to the approval of the Financial Services Commission and the JN Mutual Funds board of directors.
“We think that we have many Jamaicans who are residents in the UK who wish to return home and they might find this fund attractive; and secondly we are also looking to consider a pure play international equity fund, which will allow our shareholders to invest entirely in the international equity markets,” he said.
Lewis further explained that the pure play international equity fund contrasts with the existing Global Equity Fund, where approximately 70 per cent of the funds are invested in the equities listed on the Jamaica Stock Exchange.
Giving an update on the performance of the mutual funds, Lewis noted the best performing funds were the Global US Dollar Fixed Income Fund, which posted the best return for 2020 of 6.55 per cent in US dollars terms, while the Local Money Market Fund posted the best return of 5.02 per cent for 2021.
As at December 2021, the total net asset value stood at J$7 billion compared to J$6.1 billion in December 2020. This includes a wide range of securities, such as money market securities, fixed income securities (Government of Jamaica), corporate debt obligations (both local and international), equities (both local and international stocks), real estate fund and private equity.
Looking ahead, Lewis said that in the coming year, JN Mutual Funds will seek to maintain the trust of shareholders by preserving and growing their capital despite the expected increased volatility in the securities markets.
IMPORTANT RESOLUTIONS PASSED BY SHAREHOLDERS
The AGM was chaired by chairman of JNFM Mutual Funds, Peter Morris, who underscored the importance of the AGM, which was delayed due to the ongoing pandemic and the COVID-19 protocols implemented to help to keep the country safe.
“Several important resolutions were passed by shareholders during the AGM,” noted Morris, “including changes to the Articles of Association of the Company”.
“The directors of JN Mutual Funds are accountable to you, our members. Our responsibilities include oversight of the portfolios managed by the investment manager and ensuring that the company has sound risk management and compliance processes,” he said.
JNFM Mutual Funds Limited, trading as JN Mutual Funds, is an open-ended mutual fund company. It is duly licensed as a qualified collective investment scheme by the Financial Services Commission pursuant to the Securities (Collective Investment Schemes) Regulations, 2013.
JN Mutual Funds currently operates six separate funds, namely: the Local Money Market Fund, Global Money Market Fund, Global Fixed Income Fund, Global Diversified Income Fund, Global Equity Fund, and the Global US Dollar Fixed Income Fund. All six funds are managed by JN Fund Managers Limited, a member company of The Jamaica National Group.