Net assets of Egypt’s investment funds rise 14.7% in 3 months – FRA

Net assets of Egypt’s investment funds rose 14.7 per cent to 470.9 billion Egyptian pounds by the end of June from 410.69 billion pounds three months earlier, the Financial Regulatory Authority (FRA) said on Tuesday.

The regulator attributed the increase to growth in the number of investment funds following the launch of new investment products, according to its second-quarter investment funds performance report.

The number of investment funds rose to 224 by the end of June, following the launch of 15 new funds during the quarter.

Assets denominated in Egyptian pounds totalled 444.56 billion pounds, while foreign currency-denominated assets amounted to the equivalent of 26.41 billion pounds.

Total assets under management (AUM) increased to around 479 billion pounds by the end of June from 419.5 billion pounds at the end of March, representing growth of 13.96 per cent, the report showed.

The number of investment fund certificates rose to 44.04 billion by the end of June from 31.42 billion three months earlier, an increase of 40.16 per cent.

Individual investors held 32.9 billion certificates, accounting for 74.7 per cent of the total, while legal entities held 10.72 billion certificates, or 24.3 per cent. Certificates allocated to founding entities represented the remaining 1 per cent.

Sector funds posted the highest average return during the second quarter at 18.82 per cent, followed by thematic funds at 18.78 per cent. Index funds returned an average of 18.35 per cent, while equity funds gained 17.45 per cent, Islamic equity funds 16.37 per cent, and exchange-traded funds (ETFs) 16.13 per cent, according to the report.

Attribution: Amwal Al Ghad English

Subediting: Y.Yasser