We’ve partnered up with the fully licensed Azimut Egypt, the local investment arm of Azimut Group, one of Europe’s leading independent asset managers to bring you the new Egypt-focused fixed income mutual fund AZ-Savings.
What is the AZ Savings Fund?
AZ Savings is an open-ended private placement fund investing mostly in near-term fixed income instruments. It is considered a low-risk, liquid investment instrument. You can invest in the fund daily and redeem weekly—no more liquidity worries. Here is a link to the prospectus.
This fund invests in low-risk instruments like treasury bills, treasury bonds, corporate bonds and sukuk. The graph below shows the maximum limits on the type of investments the fund can invest in:
For more info on Investment Allocation Evolution, click here
Everyone who invests in the fund owns certificates issued by this fund. These certificates give everyone the same mix of investments in the same proportion. As the value of the fund as a whole rises or falls, each person’s certificate value will go up and down with it.
You can invest in the fund and own more certificates daily and you can redeem these certificates every week, every Monday to be specific at their new price.
What is the historical performance of this fund?
You can see here a 10 days moving average of the fund’s annualized returns, as well as the historical unit prices.
How do I invest?
To be able to invest:
- Open a Thndr investment account through the app
- Fund your Thndr account
- Search for AZ Savings on your Thndr app (you can also search for AZS)
- Check out the expected targeted return* on your investment by using the calculator
- Tap Buy
- Enter the amount you want to invest and submit
How do I redeem?
- Enter the amount of certificates you want to redeem
- Tap Sell
- The fund will be transferred to your Thndr wallet and you can withdraw them anytime you like**
*Targeted return is based on the current yield of the fund investment assets.
**Redemption requests are received everyday, but executed on Mondays with proceed being sent the following Tuesday
Place your buy order before 11:30 AM & it’ll get executed on the same day. Place order after 11:30 AM & it’ll get executed the following day at the new certificate price.
Sell orders are executed weekly.
Place your order before 11:30 AM on Monday & it’ll get executed on Tuesday. If your order is placed after 11:30 AM on Monday, it’ll get executed in a week’s time the following Tuesday.
Let’s compare to other options
*Returns on AZ Savings Fund are tax exempt
What are the risks?
AZ Savings can be exposed to various types of risk like interest rate risk, credit risk for corporate bonds as well as liquidity risk.
The fund manager typically manages these types of risks by diversifying the investments of the fund across different asset classes and maturity ladders that match the liquidity and nature of money inside the fund.
The fund manager also sets a max exposure to a single issuer and related parties.
More About Azimut
Azimut Egypt is one of the largest asset management companies in Egypt with over 20 years of experience and whose Assets Under Management exceed EGP 8.5 billion.
Azimut Egypt is the local investment arm of Azimut Group which operates in 18 countries around the Globe.
Azimut Group manages around USD 70 billion in different asset classes.