SUNBIZ

Government Receives Over $700,000 Dividend From Unit Trust Of Fiji

The Attorney-General and Minister for Economy Aiyaz Sayed-Khaiyum on behalf of the Government received a dividend cheque of $704, 919 from Unit Trust of Fiji. While receiving the cheque at
19 Dec 2019 10:00
Government Receives Over $700,000 Dividend From Unit Trust Of Fiji
From left: Unit Trust of Fiji board member Fazrul Rahman, Attorney-General and Minister for Economy Aiyaz Sayed-Khaiyum, Unit Trust of Fiji board chair Shaenaz Voss, Unit Trust of Fiji board member Maciusela Lumelume on December 18, 2019. Photo: DEPTFO

The Attorney-General and Minister for Economy Aiyaz Sayed-Khaiyum on behalf of the Government received a dividend cheque of $704, 919 from Unit Trust of Fiji.

While receiving the cheque at the Ro Lalabalavu House, yesterday, Mr Sayed-Khaiyum said Unit Trust of Fiji is not only becoming a good investment institution for Fijians but also for other Pacific Islands.

Unit Trust of Fiji Board chair Shaenaz Voss attributed the payout to their sound financial performance and growth over the past two financial years.

“In 2016 we had a net profit after tax of $585, 503 and the dividend to Government for 2016 is $292, 752,” Mrs Voss said.

“In the 2017 financial year, we managed a net profit after tax of $824, 333 and the dividend to the Government of Fiji is $412, 167,” she said.

“So we have combined for 2016 and 2017 the total dividend that we have paid today is $704, 919.”

Unit Trust of Fiji highlights

She said their net profit after tax and dividend increased in 2017 by 41 per cent compared to 2016 results.

“Funds under management investment portfolio in 2017 was recorded at $176.6 million, grew from $138 million in 2016.

“That was growth of $38.6 million equivalent of 28 per cent increase in value.

“Unit holders also increased from 17, 309 in 2016 to 18, 694 in 2017, a growth of eight per cent.

“As of December, 2019, we are sitting at 21, 000 unit holders, so we will be finishing the year on a high note.”

Government acknowledges growth

While receiving the dividend, Mr Sayed-Khaiyum acknowledged the work of the chair and the board of directors for their hard work fiin presenting significant growth through the years.

“The board has made a very strategic decision, with the fact that you get a rate of return of 19 per ficent is highly significant,” Mr Sayed-Khaiyum said.

“I would like to acknowledge the chair’s work and the other directors of Unit Trust of Fiji,” he said.

Mr Sayed-Khaiyum said Government was excited about the increase in many ordinary Fijians buying units with Unit Trust of Fiji.

“The fact that we are having our Pacific Island neighbours having a lot of confidence in the Unit Trust of Fiji.

“They don’t make these decisions it’s their superannuation funds, they have people who carry out due diligence, they look at risk factors and they have obviously seen Unit Trust of Fiji as a very good investment opportunity.

“It is giving us a good footprint for the region, it’s a sign of confidence, and we urge all Fijians to invest with the Unit Trust of Fiji.”

Unit holder’s dividend.

Mrs Voss said the dividend paid out to unit holders combined for 2016 and 2017 was $10.4 million.

“This was the highlight for us and I think this is the highest that’s ever been paid out to the unit holders of Unit Trust of Fiji.

“The total dividend paid to unit holders was $5.8 million which provided a total return of what is probably one of the highest at the moment at 19.39 per cent which increased from 11.03 per cent in 2016.

“The annualised dividend rate for income fund was 3.70 per cent and the dividend that we paid under income and growth fund was six and a half cents.”

She added that Unit Trust has investments in South Seas Towage Limited (SSTL), HFC Bank; Government guaranteed bonds fiand also provide bridging finance to SSTL.

“We also have diversified shares in BlueScope Lysaght (Fiji) Limited as well.

From left: Ministry of Economy, Head of Fiscal Policy, Research and Analysis, Shiri Gounder, Unit Trust of Fiji board member Fazrul Rahman, Attorney-General and Minister for Economy Aiyaz Sayed-Khaiyum, Unit Trust of Fiji board chair Shaenaz Voss, Unit Trust of Fiji board member Maciusela Lumelume on December 18, 2019. Photo: DEPTFO

From left: Ministry of Economy, Head of Fiscal Policy, Research and Analysis, Shiri Gounder, Unit Trust of Fiji board member Fazrul Rahman, Attorney-General and Minister for Economy Aiyaz Sayed-Khaiyum, Unit Trust of Fiji board chair Shaenaz Voss, Unit Trust of Fiji board member Maciusela Lumelume on December 18, 2019. Photo: DEPTFO

Grassroots investments increase

“We have seen that the Unit Trust of Fiji unit holders are individuals, grassroots people, and companies as well but I am delighted to say that we have seen a major increase particularly from grassroots investments.

“In a number of areas where we’ve had education funding, which was launched years ago.

“It is good to see that our people are understanding investments; they are investing for the future of the children, particularly in education.

“The other product that’s really taking off for us is where we have gone out to employees directly where they are deducting on a monthly basis investing into the fund as well.”

Feedback: inoke.rabonu@fijisun.com.fj

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