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Business News of Friday, 10 July 2015


Dalex Group launches subsidiary company

Dalex Africa Group, a wholly Ghanaian-owned institution, has launched its newest subsidiary company called the Dalex Capital Management Limited in Accra.

The occasion was used to introduce the company’s first mutual fund dubbed the “Dalex Vision Fund”.

The fund is geared towards long-term capital appreciation which seeks to invest in the growth of common stocks which are listed on recognised markets throughout Africa.

It is intended to maximise medium to long-term income by investing in high yielding corporate debt instruments and medium to long-term government securities.

At the ceremony, the Executive Chairman of Dalex Africa Group, Mr Alex Kwasi Bruks, said the rationale behind the introduction of the fund was to support businesses to acquire the needed finances to grow their operations.

According to him, the reason why Ghanaian companies were unable to undertake big projects was because of the lack of capital coupled with high interest rates from the banks.

Mr Bruks said the fund was an open-ended growth mutual fund.

“After the offer period, additional shares in the fund will be created and purchased on demand by subscribers on an ongoing basis at a price computed in accordance with the terms of this scheme’s particulars”,he added.

According to Mr Bruks, the fund would re-invest all investment income earned or received, and added that “investors in the fund will benefit from the capital appreciation of the share prices”.

He said the fund was targeted at institutional and retail clients who sought to realise significant capital appreciation over the long term.

Delivering his keynote address, the Deputy Director-General in charge of Legal at the Securities and Exchange Commission (SEC), Mr Alexander Williams, commended the management of Dalex Africa Group for the introduction of the fund.

According to him, the fund would help facilitate the growth of the capital market in Ghana, and added that “these schemes offer opportunities to all investors, including those with limited funds, to have access to a diversified portfolio of investments”.

Mr Williams said the fund had been thoroughly examined to ensure accuracy in compliance with SEC’s Unit Trust and Mutual Fund Regulations, 2001 (LI 1695).