GAAM celebrates first year with exceptional growth rates

Wednesday, 20 March 2013 00:00 - - {{hitsCtrl.values.hits}}

Guardian Acuity Asset Management (GAAM) commenced operations one year ago with the objective of taking Unit Trusts to the market by offering the best possible investment opportunities to the prospective clients.

After the first years of its operations the GAAME equity fund managed to out perform the All Share Price Index and S&P SL20 Index by 11.49% and 6.32% respectively. The fixed income fund has yielded a tax free return of 12.39% as at February 2013.

GAAM Fund Manager Sumith Perera quoted: “GAAM equity fund has significantly out performed the overall market, largely on account of superior stock selection and a highly disciplined investment process. The unit holders of the fund have been having great return on their investment despite the relatively low performance of the market.”

“The GAAM fixed income fund’s objective is to give investors the highest possible return by exposing the fund only to high quality instruments and issuers which is investment grades and above. The investors have received a competitive return while being able to withdraw the funds at any point of time.” Perera said.

GAAM funds consist of equity fund and fixed income fund which has varying investment objectives. The equity fund invests in listed equities on the Colombo stock exchange while the fixed income fund invests in high quality corporate debt and bank deposits, with a smaller exposure to Government securities which are risk free.

The performance of both funds during the year of inception, have been above the market trends and both funds continue to grow even with market uncertainties and volatility. GAAM is committed to give better returns for their investors with the least risk. This is mainly due to the investment strategy GAAM has adopted. According to GAAM, the first year performance is evidence of this strategy and how it has helped them to be right on top in terms of fund performance.

Unit trusts give the small investor the opportunity to participate in the returns from a large diversity of financial instruments, which have been pooled together.