April 2025 Unit Trusts in Uganda Update – Sanlam Dollar Fund Performance and Strategy

The Sanlam Dollar Fund is gaining momentum among Ugandans earning, saving, or planning in USD. With a 6.29% yield in April 2025, it’s an attractive option for investors looking to earn in hard currency while shielding their wealth from local currency fluctuations.

Fund Overview

This is a conservative USD-denominated unit trust designed for income generation and capital preservation. It’s especially suited for diaspora remittances, tuition planning, exporters, and professionals paid in foreign currency.

Key details for April 2025:

• Effective Annual Yield: 6.29%

• Minimum Investment: USD 1,000

• Fund Size (AUM): USD 3.2 million

• Risk Profile: Conservative

• Income Distribution: Monthly (compounded)

• Valuation Days: Daily (excluding weekends & public holidays)

• Transaction Cut-Off: 10:00 AM

• Management Fee: 1.5%

• Benchmark: 3-Month SOFRA

• Inception: October 2024

• Fund Manager: Sanlam Investments East Africa

What the Fund Invests In

To provide steady returns, the fund invests in:

In April, the fund leaned heavily on Eurobonds and USD deposits, prioritizing both yield and liquidity.

April 2025 Market Update

Inflation

US inflation remained flat at 3.0%, although forecasts for 2025 were revised slightly upward to 2.7%.

Currency

The Dollar Index (DXY) declined from 104.21 to 99.47, reflecting weakening demand for the US dollar amid slowing global growth and anticipated rate cuts.

Interest Rates

While the Fed held rates steady at 4.25% – 4.50%, yields on government bonds dropped by about 0.2%. This is in line with investor expectations of future interest rate reductions.

Fund Strategy

To preserve capital and maintain steady income, the Sanlam Dollar Fund stuck to its preference for high-quality Eurobonds and deposits. The fund’s structure remains conservative but responsive to market shifts.

Why This Fund Matters for Ugandan Investors

This fund suits investors who:

• Earn or save in USD

• Plan to pay for foreign tuition or relocation

• Want to diversify out of UGX

• Seek passive USD income

Benefits include:

• Hard currency exposure

• Monthly income distribution

• Conservative structure

• Daily pricing and flexible access

How to Invest in the Sanlam Dollar Fund via Level Africa

Follow these simple steps:

1. Create an account at Level Africa

2. Upload your National ID or Passport

3. Navigate to Unit Trusts

4. Select “Sanlam Dollar Fund”

5. Fund your wallet in USD

6. Place your order

7. Monitor performance and earnings from your Level dashboard

Final Thoughts

The Sanlam Dollar Fund’s 6.29% yield in April 2025 reinforces its value as a safe, income-generating USD investment for Ugandans. With inflation steady and interest rates set to fall, the fund’s conservative approach makes it a strong option for capital preservation and long-term planning.

Start Now – Create an Account on Level Africa
Join our community of like minded investors like yourself today Building Wealth With Level Africa.
Stay updated by following our WhatsApp channel.

---

Frequently Asked Questions

What is the Sanlam Dollar Fund?

It’s a USD-based unit trust that invests in Eurobonds, deposits, and commercial paper to deliver monthly income and preserve capital.

What was the return in April 2025?

The fund returned 6.29% effective annual yield.

What’s the minimum investment?

USD 1,000 for initial deposits and top-ups.

Who should consider this fund?

Diaspora Ugandans, parents planning for tuition abroad, freelancers paid in USD, or investors looking for FX diversification.

Is this fund regulated?

Yes. It’s licensed by the Capital Markets Authority of Uganda and managed by Sanlam Investments East Africa.

How liquid is the investment?

It offers daily pricing with short settlement timelines, allowing flexible withdrawals.