The Co-op Trust Wealth Management Services targets high net worth individuals or organisations who have short to medium (periodic or lump sum term) funds that require to be invested for short and/or fixed periods of time.
The service is designed to take into account the following:
- The unique cash flow profile of the individuals or organization
- The need to ensure moderate to low investment risk
Unique Cash Flow Profile
The investments in this product are designed to match the projected cash flow profile of the client. Common tools used include a mix between treasury bonds and term deposits, pre-negotiated short-term funding arrangements with banks, and other cash flow management tools.
An individual or organisation may from time to time find itself holding an excess cash position. The excess cash position may be subject to the following characteristics:
- The cash held might be needed on short notice or upon expiry of a given period/term
- The funds should not be subjected to any capital risk
- The volume and schedule of drawdowns is unpredictable or uncertain
- The funds can nonetheless be invested to optimize short term gains
For a client in this situation, wealth management can ensure that the return maximisation objective is achieved while ensuring the above objectives are respected.
Wealth Management Services is structured to ensure that the investments are moderate to low risk through ensuring that the portfolio of investments is well-diversified, invested in risk-free securities and that an Investment Manager takes personal responsibility for monitoring the portfolio and adhering to pre-agreed risk management measures with the client.
On Investment Approach, the lender says that, “We concentrate on fixed income investment on Interest-Bearing Assets (including Call Deposits, Fixed Deposits, Corporate Bonds and Kenya Government Bonds) which ensure that the principle amount invested is not eroded by the volatility of the market. These assets also earn interest which serves as additional income to the fund.”
In addition, these assets are liquid and can be easily traded in the secondary market to make some capital gains.
How Wealth Management Services work?
The client enters into a Wealth Management agreement with Co-op Trust Investment Services Limited. The agreement states inter alia: The name of the specific Investment Manager responsible for returns.
The Investment Manager will at all times liaise with the client in decision making and implementation. It should be known that the specific Investment Manager receives guidelines from the investment committee and all implementations are countersigned by the Senior Investment Manager.
Joining Requirements
- Execution of the Discretionary Investment Management Agreement
- Execution of the fee agreement
- Execution of a Deed of Adherence
- Submission of the deposit cheques as seed investment in the plan
- All the above will be processed by ourselves and forwarded to you for execution.
