Fund Overview

The Umbrella Trust Fund is a medium- to long-term unit trust designed to provide capital preservation and steady income while offering better returns than short-term money market instruments.

Key details for June 2025:

• Yield: 12.55%

• Fund Size: UGX 2.796 trillion

• Minimum Investment: UGX 100,000

• Top-up Amount: UGX 100,000

• Liquidity: T+2 (access funds within 2 business days)

• Risk Profile: Low

• Management Fee: 2%

• Initial Fee: 0%

• Benchmark: Weighted average of 91-day T-bill (40%), average call rate (40%), and inflation (20%)

• Fund Manager: UAP Old Mutual Investment Group – Uganda

• Launch Date: 20 August 2013

Fund Performance Summary

The fund has consistently outperformed its benchmark, reflecting strong portfolio management and selection of yield-enhancing assets.

What the Fund Invests In

The Umbrella Trust Fund maintains a balanced allocation across various fixed-income instruments, with a bias toward long-term government securities:

Asset Allocation (June 2025):

• Treasury Bonds: 33.98%

• Treasury Bills: 29.89%

• Corporate Paper: 26.20%

• Fixed Deposits: 5.14%

• Cash & Call: 4.70%

Maturity Profile:

• Less than 1 year: 17.58%

• 1–5 years: 16.32%

• 5–10 years: 44.10%

• Over 10 years: 21.99%

This structure helps the fund provide both steady income and long-term capital protection.

Market Context – June 2025

Currency

The Uganda shilling appreciated by 1%, closing at UGX 3,594.41/USD. This was driven by global dollar weakness, strong remittances, and offshore investor inflows.

Inflation

Headline inflation rose slightly to 3.9%, driven by energy costs and outpatient service prices. Food prices eased, offering a partial offset.

Interest Rates

Short-term yields were mixed:

• 91-day T-bill: down 38.2 bps to 11.31%

• 182-day and 364-day: rose slightly

• Long-term bond yields declined due to fiscal year-end portfolio rebalancing.

Outlook

Yields are expected to remain elevated but soften slightly from Q2 highs due to pre-election government spending and high budgetary requirements.

Why This Fund Matters for Ugandan Investors

The Umbrella Trust Fund is suitable for:

• Investors planning for medium to long-term goals like land, retirement, or education

• Risk-averse savers looking for inflation protection

• Professionals and institutions aiming to preserve capital while earning strong income

With its UGX 2.796 trillion fund size, low-risk structure, and T+2 liquidity, this fund offers one of the most consistent and accessible long-term unit trust options in Uganda.

How to Invest in the UAP Old Mutual Umbrella Trust Fund via Level Africa

Level Africa makes it easy to invest in the Umbrella Trust Fund from anywhere:

1. Create an account at Level Africa

2. Upload your National ID or Passport

3. Go to the Unit Trusts section

4. Select the UAP Old Mutual Umbrella Trust Fund

5. Deposit funds into your Level wallet

6. Place your investment order

7. Track your returns and fund performance from your dashboard

Final Thoughts

In a market full of uncertainty, the UAP Old Mutual Umbrella Trust Fund continues to offer low-risk investors a clear edge. With a 12.55% return in June 2025, inflation protection, and quick access to funds, it’s a solid choice for wealth preservation and growth in Uganda.

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 UAP Old Mutual Umbrella Trust Fund?

It is a conservative unit trust that invests in government securities, corporate paper, and deposits for long-term income and capital preservation.

What was its return in June 2025?

It returned 12.55 percent, well above its benchmark of 9.30 percent.

What’s the minimum investment?

UGX 100,000 to start, and UGX 100,000 for top-ups.

How soon can I withdraw?

The fund offers T+2 liquidity, meaning funds are accessible within two business days.

Who is this fund ideal for?

It’s best suited for savers, long-term planners, and institutions that want low-risk, inflation-beating returns.

Is it regulated?

Yes. The fund is managed by UAP Old Mutual Investment Group – Uganda, under the regulation of the Capital Markets Authority.

The post June 2025 Unit Trusts in Uganda Update – UAP Old Mutual Umbrella Trust Fund Performance and Strategy appeared first on Level Africa.

Fund Overview

The Money Market Fund is a unit trust designed for short-term investors seeking steady income, liquidity, and low risk. It invests in high-quality, interest-bearing securities with a maturity of less than 36 months.

Key facts for June 2025:

• Monthly Yield: 12.01%

• Fund Size: UGX 13.085 billion

• Minimum Investment: UGX 100,000

• Top-Up Amount: UGX 100,000

• Liquidity: T+2

• Initial Fee: 0%

• Management Fee: 2%

• Benchmark: 91-day Uganda Treasury Bill

• Risk Profile: Medium

• Launch Date: 20 August 2013

• Fund Manager: UAP Old Mutual Investment Group – Uganda

Performance Summary

The fund outperformed its benchmark across all periods:

What the Fund Invests In

This fund builds its strength from its diversification across reliable asset classes:

• Treasury Bonds: 33.98%

• Treasury Bills: 29.89%

• Corporate Paper: 26.20%

• Fixed Deposits: 5.14%

• Cash & Call: 4.70%

It holds a short average maturity profile, with:

• 52.02% of assets maturing in 0–3 months

• 15.15% in 3–6 months

• 9.38% in 6–9 months

• 4.97% in 9–12 months

• 17.77% beyond 12 months

June 2025 Market Commentary

• Currency: The Uganda shilling appreciated by 1%, closing at UGX 3,594.41/USD. Strong remittances and global dollar weakness supported this gain.

• Inflation: Headline inflation edged up slightly to 3.9%, driven by energy and outpatient services costs.

• Interest Rates: Mixed trends were observed. The 91-day Treasury bill yield dropped to 11.31%, while the long-term bond yields declined across the curve due to end-of-year rebalancing.

• Outlook: Yields are expected to remain high but slightly lower than Q2, as fiscal spending and funding needs increase ahead of elections.

Why This Fund Matters for Ugandan Investors

This fund is particularly useful for:

• Individuals saving toward short-term goals like rent, tuition, or emergencies

• SMEs managing seasonal or idle cash

• Professionals looking for better-than-bank returns without locking up funds

• Conservative investors avoiding riskier assets

Its 12.01% return in June provided:

• Inflation-beating performance

• Daily pricing and quick access

• Better returns than typical savings or fixed deposits

• Safe income with lower volatility than equities

How to Invest in the UAP Old Mutual Money Market Fund via Level Africa

You can get started from anywhere in just a few steps:

1. Create an account at Level Africa

2. Upload your National ID or Passport

3. Go to the Unit Trusts section

4. Select the UAP Old Mutual Money Market Fund

5. Deposit funds into your wallet

6. Place your investment order

7. Track your performance through your dashboard

Final Thoughts

June 2025 saw the UAP Old Mutual Money Market Fund continue its strong, steady performance. A 12.01% return, capital protection, and liquidity make it one of the best-performing money market unit trusts in Uganda today.

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 UAP Old Mutual Money Market Fund?

It’s a low-risk unit trust that invests in Treasury bills, bonds, deposits, and corporate paper to earn regular income while preserving capital.

What is the fund’s return for June 2025?

It returned 12.01 percent, outperforming its benchmark of 11.31 percent.

How soon can I access my money?

Withdrawals are processed within 2 business days (T+2).

What is the minimum investment?

UGX 100,000 to start and the same amount for top-ups.

Is the fund regulated?

Yes. It’s regulated by the Capital Markets Authority and managed by UAP Old Mutual Investment Group – Uganda.

How is this different from saving in a SACCO or bank?

It offers higher returns, daily valuation, professional management, and no lock-in period.

How do I invest via Level Africa?

1. Create an account at Level Africa

2. Upload your National ID or Passport

3. Go to the Unit Trusts section

4. Select the UAP Old Mutual Money Market Fund

5. Deposit funds into your wallet

6. Place your investment order

7. Track your performance through your dashboard

The post June 2025 Unit Trusts in Uganda Update – UAP Old Mutual Money Market Fund Performance and Strategy appeared first on Level Africa.

And with Level Africa, a CMA-regulated investment advisor, you can go a step further — investing in multiple licensed managers and funds through one account.

Let’s break it down.

What Are Unit Trusts?

A unit trust is like a savings group for investments. Everyone puts their money in one pot, and a professional fund manager invests it in a mix of assets like:

• Government bonds

• Company shares (stocks)

• Fixed deposits

• Regional equities

You don’t have to decide which stock to buy or when to sell. The fund manager does that work. In return, you own units in the fund, which represent your share. The value of those units goes up (or sometimes down) based on how the investments perform.

Think of it like buying a platter meal with friends. Instead of each person buying a single plate, you all pool money and share a bigger, more satisfying bigger meal.

How Do Unit Trusts Work?

1. You invest, say UGX 100,000.

2. Your money joins contributions from other investors.

3. The fund manager spreads it across different investments.

4. You get units in the fund.

5. The value of your units changes daily with the market.

6. You can monitor performance through the provider’s online portal or regular statements.

If government bonds pay good interest or company shares perform well, the value of your units grows.

Why Should You Consider Unit Trusts?

Here’s why more Ugandans are choosing unit trusts in 2025:

• Affordable: Start with as little as UGX 100,000 (some providers even allow UGX 10,000).

• Diversification: Your money is spread across different assets, reducing risk.

• Liquidity: Need cash for an emergency? You can withdraw in 1–3 working days.

• Professional Management: Experts invest on your behalf.

• Accessibility: Unit trusts open financial markets to everyday Ugandans without needing millions.

• Transparency: Investors get regular statements and can track progress online.

• Flexibility: Save for school fees, retirement, or a future project.

• Tax Advantage: Unit trusts in Uganda are currently tax-exempt.

Are Unit Trusts Safe?

Safety is always the first question. The answer: Yes, with caveats.

• All unit trusts in Uganda are regulated by the Capital Markets Authority (CMA).

• Fund assets are held by independent trustees and custodians, not the manager.

• Diversification spreads risk.

But — returns aren’t guaranteed. Values rise and fall with the market. That said, compared to chasing “quick money” schemes, unit trusts are one of the safest regulated options for building long-term wealth.

Types of Unit Trusts in Uganda

• Money Market Funds – low-risk, short-term investments in government securities and deposits.

• Balanced Funds – a mix of bonds and shares for moderate growth.

• Equity Funds – higher risk but potentially higher returns from shares.

• Dollar Funds – invested in USD assets, useful for protecting against shilling depreciation.

How to Start Investing

Option A: Direct with a Provider

You can open an account with a CMA-licensed provider like UAP Old Mutual, Britam, Sanlam, ICEA LION, Stanbic, or XENO.
Steps:

1. Open an account with your chosen provider.

2. Fund your account.

3. Choose the fund you want.

4. Monitor your investment performance via their online portal or regular statements.

Option B: Through Level Africa (Multi-Manager Platform)

Instead of opening separate accounts, you can:

1. Create a Level Africa account and complete KYC with your National ID.

2. Deposit money to your wallet.

3. Compare multiple CMA-licensed funds and managers in one dashboard.

4. Invest, track, and redeem easily in one place.

Start Now – Create an Account on Level Africa

Uganda’s Unit Trust Providers (2025 Overview)

With Level Africa, you can access funds from several of these unit trust providers in one account — saving you time, paperwork, and effort.

FAQs

How much do I need to start?
Most providers accept UGX 100,000. Some, like UAP Old Mutual, Sanlam and more start at UGX 100,000.

Can I lose money?
Yes, values fluctuate with markets, but risks are reduced by diversification and CMA oversight.

How fast can I withdraw?
Usually 1–3 working days.

Are unit trusts better than fixed deposits or treasury bonds?
Unit trusts often yield higher than fixed deposits and are more flexible than treasury bonds, but they carry more risk.

Who regulates unit trusts in Uganda?
The Capital Markets Authority (CMA) licenses all providers, funds, and trustees.

Final Thoughts

Unit trusts are one of the simplest ways to grow wealth in Uganda. They’re affordable, regulated, and flexible enough to support your goals — whether that’s education, retirement, or financial independence.

With Level Africa, you don’t just pick one provider. You can compare, invest, and track multiple CMA-licensed funds from one account, backed by a CMA-regulated investment advisor.

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

Disclaimer

Level Africa is a CMA-regulated investment advisor in Uganda. This article is for educational purposes only and does not constitute financial advice. Always review fund fact sheets and consult an advisor before investing.

The post A Beginners Guide To Investing In Unit Trusts In Uganda 2025 appeared first on Level Africa.

Unit trusts are pooled investment funds that allow individuals to invest in a diversified portfolio managed by professional fund managers. They are particularly popular among investors who seek to spread risk while benefiting from expert financial management. This guide explains how unit trusts work, why they are a valuable investment option, and how you can get started.

What is a Unit Trust?

A unit trust is a type of collective investment where money from multiple investors is pooled together to buy a variety of assets, such as stocks, bonds, and real estate. Each investor holds units that represent their share of the fund. The value of these units fluctuates based on the performance of the underlying assets.

Real-life Example of How Unit Trusts Work

Imagine 100 investors each contribute $1,000 to a unit trust, creating a total fund of $100,000. The fund manager then invests this money in a mix of stocks and bonds. If the fund’s investments grow in value, each investor’s share appreciates accordingly. Likewise, if the investments decline, the unit price drops.

Comparison with Mutual Funds and ETFs

• Mutual Funds: Similar to unit trusts but often structured differently in terms of redemption policies and management.
• ETFs (Exchange-Traded Funds): Unlike unit trusts, ETFs are traded on the stock market, offering more liquidity and real-time pricing.

How Do Unit Trusts Work?

Unit trusts operate based on a structured process:

1. Pooling Funds – Investors contribute money, creating a large investment pool.
2. Investment by Fund Manager – A professional manager selects assets according to the trust’s objectives.
3. NAV Calculation – The Net Asset Value (NAV) per unit is determined by dividing total fund value by the number of units issued.
4. Buying & Selling Units – Investors buy units at the NAV price and can sell them back at prevailing prices.
5. Dividends & Capital Growth – Depending on fund performance, investors earn dividends or capital appreciation.

Why Invest in Unit Trusts?

Benefits:

• Diversification: Reduces risk by investing in multiple assets.
• Professional Management: Experts handle investment decisions, removing the burden from individual investors.
• Accessibility: Allows small investors to participate in broader markets with relatively low capital.

Risks:

• Market Volatility: The value of units fluctuates with the performance of underlying assets.
• Management Fees: Fees reduce overall returns and should be considered before investing.
• Liquidity Concerns: While unit trusts offer liquidity, withdrawals may take time to process.

Step-by-Step Guide to Investing in Unit Trusts

1. Define Your Investment Goals – Short-term vs. long-term objectives.
2. Choose a Suitable Unit Trust – Assess risk appetite and asset allocation preferences.
3. Evaluate Fund Performance – Analyze historical returns and expense ratios.
4. Open an Investment Account – Typically done through banks, fund managers, or online platforms.
5. Purchase Units – Invest a lump sum or via regular contributions.
6. Monitor & Review Investment – Adjust holdings based on financial goals and market conditions.

Unit Trusts vs. Other Investment Options

Common Questions About Unit Trusts (FAQ Section)

What is the minimum investment required?
A: Minimum investments vary by fund, typically starting from $100 to $1,000.

Q: How do I withdraw my funds?
A: Withdrawals involve selling your units at the prevailing NAV, which may take a few business days to process.

Q: Are unit trusts safe investments?
A: While they offer diversification, unit trusts are subject to market risks and should align with your risk tolerance.

Q: How are unit trusts taxed?
A: Taxation varies by jurisdiction; some countries apply capital gains tax, while others offer tax exemptions on certain investments.

Conclusion

Investing in unit trusts can be a great way to grow wealth while mitigating risks through diversification. Whether you’re a new investor or looking to expand your portfolio, unit trusts offer a structured and accessible investment option. Explore your options, evaluate fund performance, and take the next step toward achieving your financial goals.

👉 Find a Unit Trust Investment Plan Today

Related Articles

• How Do Unit Trusts Work? A Simple Guide
• Benefits & Risks of Investing in Unit Trusts
• How to Choose the Right Unit Trust for You

The post What is a Unit Trust? A Beginner’s Guide to Investing appeared first on Level Africa.