Egypt’s gold, silver fund assets rise to EGP 9.35 bln in June – FRA

Egypt’s gold and silver investment funds rose to 9.35 billion Egyptian pounds in net assets at the end of June, from about 9.28 billion pounds three months earlier, the Financial Regulatory Authority (FRA) said on Tuesday.

The FRA’s quarterly report showed that the investor base expanded by 14 per cent to around 329,000 from about 289,000 at the end of March, reflecting continued demand for precious metals investment funds, a relatively new investment product in the Egyptian market.

Gold investment funds accounted for the bulk of the market, with seven funds managing 9.2 billion pounds in assets and serving around 306,500 investors by the end of June.

The second quarter also saw the launch of Egypt’s first silver investment funds. The two funds accumulated 146.1 million pounds in assets and attracted about 22,300 investors.

Individuals represented 71 per cent of total investors, while institutions accounted for the remaining 29 per cent. Investors aged between 20 and 30 represented 39.4 per cent of the investor base, followed by those aged 30 to 40 at 32 per cent, highlighting strong participation by younger investors.

FRA Chairman Islam Azzam said the latest figures reflected growing investor confidence and the continued development of Egypt’s precious metals investment fund market.

He added that investors aged between 20 and 40 accounted for more than 70 per cent of total investors in gold and silver funds, underscoring younger investors’ strong participation and the need to expand financial technology, introduce new investment products, and strengthen transparency, market efficiency and investor protection.

The Greater Cairo region accounted for the largest share of investors in the funds, while men represented 83 per cent of individual investors and women 17 per cent, the report showed.

Attribution: Amwal Al Ghad English

Subediting: Y.Yasser