October 2023 Unit Trust Update – UAP Old Mutual Money Market Fund Performance and Strategy

October 2023 delivered a steady 11.07 percent return for the UAP Old Mutual Money Market Fund, offering short-term investors a reliable place to earn income while shielding their capital from market volatility. Despite inflationary concerns and foreign exchange pressure, the fund continued to exceed expectations with its risk-managed approach.

Fund Overview

Managed by UAP Old Mutual Investment Group – Uganda, the Money Market Fund is tailored for individuals and businesses looking for secure, interest-earning investments with flexible access.

Key highlights for October 2023:

Fund Size: UGX 5.88 billion
Minimum Investment: UGX 100,000
Top-Up Amount: UGX 100,000
Liquidity: T+2 (two business days)
Risk Profile: Medium
October Yield: 11.07 percent
Benchmark: 91-day Treasury Bill (closed at 9.3 percent)
Management Fee: 2 percent
Initial Fee: 0 percent
Fund Inception: 20 August 2013

Performance Summary

The fund once again outperformed its benchmark over all periods.

Period	Fund Return (%)	Benchmark (%)
October 2023	11.07	9.30
Quarter to Date	11.47	9.71
Year to Date	11.77	10.04
Since Inception	11.06	9.99

What the Fund Invests In

The fund invests in a mix of short-term interest-earning instruments that balance income generation with liquidity.

Asset allocation:

Treasury Bonds: 33.98%
Treasury Bills: 29.89%
Corporate Paper: 26.20%
Fixed Deposits: 5.14%
Cash & Call: 4.70%

Maturity profile:

52.02% matures in under 3 months
19.90% in 3–6 months
3.76% in 6–9 months
0.00% in 9–12 months
24.32% above 12 months

This structure allows the fund to react quickly to interest rate changes while keeping investors’ funds easily accessible.

Why This Fund Matters for Ugandan Investors

In October, the Uganda shilling weakened by 0.47 percent to close at UGX 3,774.04, affected by increased import activity, fiscal pressure, and reduced World Bank funding. Despite this, the fund’s performance held strong.

Treasury bill rates dropped:

91-day T-bill: 9.3%
182-day: 11.8%
364-day: 12.8%

The Bank of Uganda was expected to cut the policy rate in Q4 2023, and inflation was projected to average 3–4 percent in early 2024.

This made the fund’s 11.07 percent yield especially attractive for:

Income-seeking savers
Capital preservation during currency swings
Emergency fund storage
Investors moving out of long bonds or equities

How to Invest with Level Africa

You can get started in minutes:

Create an account at Level Africa
Upload your National ID or Passport
Go to the Unit Trusts section
Select the Money Market Fund
Deposit money into your wallet
Place your investment order
Track your earnings from your dashboard

Final Thoughts

October’s return of 11.07 percent proved once again that the UAP Old Mutual Money Market Fund offers consistency, liquidity, and strong returns—even during economic uncertainty. It’s one of the best short-term options for conservative Ugandan investors.

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Frequently Asked Questions

What is a money market fund?

It’s a fund that invests in short-term, interest-generating instruments like Treasury bills, fixed deposits, and corporate paper to earn monthly income.

How fast can I withdraw my money?

You can access your money within two business days (T+2).

What’s the minimum amount to invest?

UGX 100,000 to get started, with top-ups starting from the same amount.

Is this fund safe?

Yes. It’s regulated by the Capital Markets Authority and managed by professionals focused on capital preservation.

Who should invest in this fund?

It’s ideal for people saving for short-term goals, managing emergency funds, or parking idle business cash.

How does it compare to SACCOs or fixed deposits?

The fund generally offers higher returns, better liquidity, and more flexibility than most SACCO or bank savings options.

How do I invest through Level Africa?

Sign up at Level Africa
Upload your ID
Fund your wallet
Choose the Money Market Fund
Place your order
Monitor returns from your dashboard