Investar Securities Limited is observing the economy’s movement in the midst of the global coronavirus (COVID-19) pandemic and the anticipated tail end of an economic shutdown, before making a statement on the future of the Titan Balanced Fund, the company’s Chief Executive Officer Ansel Watson told Guardian Business yesterday, adding that the fund so far has been performing at the projected seven to ten percent return on investment.
The fund saw a return on investment (ROI) of 5.38 percent in its first quarter in action. It holds a balanced mix of common stock from Playtech Systems Limited (parent company of Island Luck), government bonds, corporate bonds and cash.
The fund has been subscribed to by everyday Bahamians, which Watson said has continued.
But as The Bahamas’ economy nosedives due to the complete shutdown of the tourism sector and local industries and businesses remain closed, fund managers are keeping a close eye on their customers’ investments.
“These are new times,” Watson said.
The Titan Balanced Fund was created to be a opportunity for average Bahamians to invest and grow their money.
The minimum investment in the balanced fund was $500.
When asked if some of those investors might have begun to return to reclaim their investment because of the state of the local economy and the level of joblessness, Watson said there has not been any “unusual activity” with regard to the fund.
The $500 minimum investment level was introduced to attract the most Bahamians possible and was a huge draw for the fund. The addition of Playtech Systems to the stock was also expected to be a draw to potential investors.
Island Luck and other gaining houses have been rocked by the shutdown caused by COVID-19. Though Island Luck sought to demonstrate that it could operate under government’s latest economy reopening protocols, Prime Minister Dr. Hubert Minnis recently said that in-home delivery and curbside pickup services do not apply to gaming house operators.
Playtech represents 37 percent of the stock in the balanced fund.
Watson said last year that the fund was engineered to avoid high risks by not relying too heavily on one kind of investment. He said the wide range of investments gave Bahamians access to all types of securities through a single fund, which has benefitted investors thus far.