FCAM’s Legacy fund rating upgraded to A(f) by Agusto & Co.

A mutual fund managed by First City Asset Management Limited (FCAM), Legacy Short Maturity (NGN) Fund, has received a risk rating upgrade.

The fund’s rating has been upgraded by two notches, from BBB+(f) to A(f), by Agusto & Co, the foremost pan-African rating agency. FCAM is the wealth and investment management arm of FCMB Group Plc, one of Nigeria’s leading financial institutions.

The higher rating of A(f) indicates that Legacy Short Maturity (NGN) Fund has a low to moderate exposure to downside risk (impairment to the net asset value) in the medium term.

According to Agusto & Co, the new rating of Legacy Short Maturity (NGN) Fund was on account of the fund’s good quality assets, adequate liquidity management strategies, conservative approach to credit risk and enhanced risk management, and zero currency risk exposure.

In addition, the rating agency stated that interest rate risk in the fund was moderate in the short term, and that it has a high quality portfolio management team with over 18 years’ experience across various financial fields.

Speaking on the upgrade of Legacy Short Maturity (NGN) Fund from BBB+(f) to A(f), the Chief Executive Officer of FCAM, Mr. James Ilori, said, “we are delighted that our focus on consistently creating value for unit holders, in line with the investment objectives of Legacy Short Maturity (NGN) Fund, has once again been recognised by Agusto & Co, via a double riskrating upgrade for the Fund.

“We will continue to manage the fund in the most professional manner, in line with international best practices.’’