Egypt Opens Subscription in 'Seyola' Cash Fund, Targets Up to EGP 100 Mln Investments

Egypt announced on Sunday the rolling out of subscription in 'Seyola' cash investment fund, which is its first cash fundthat allows to invest in in number of financial instruments.

The targeted investments through the fund is EGP 50 up to EGP 100 million.

On Friday, Hala El Said, Minister of Planning and Economic Development and Chairperson of the Board of Directors of the National Investment Bank (NIB), announced that NI Capita company, the NIB's investment arm, has launched a "Seyola" fund, which came within the framework of the strategy of the company to reinforce its role in achieving financial inclusion and developing the capital market.

a El-Said expounded that the targeted issue sums will be invested in liquid financial and short-term instruments, including bonds; T-bills; banking deposits; financing bonds; saving certificates and other investment funds documents.

NI Capital also aims to meet the market needs and requirements of its individual and institutional clients alike, according to the minister.

El-Said added that 'Seyola' fund is the first of its kind to be established by investment managers in Egypt and that it is also the first cash fund to invest in transferred values, benefiting from recent legislative amendments to investment funds.

"NI Capital's introduction of its first cash fund is a new step in the path of the leading company in the field of providing non-banking financial services, and an enhancement of its unique role," said CEO of NIB and Chairman of NI Capital, Mahmoud Montaser. "In providing investment products to meet customer needs and support the Egyptian economy," he added.

CEO and Managing Director of NI Capital, Mohamed Metwally also illustrated that the fund comes as a continuation of the success achieved by NI Capital in managing the investment portfolios of many investors, whether from government agencies or private sector companies.

Hazem Kamel, Managing Director of Investment Management at NI Capital, said that the company's investment department is working on introducing new and innovative products in the coming period as part of its strategy to support the state’s plan and work to achieve sustainable development goals.

He added, "the NI Capital cash fund seeks to introduce and make available new investment tools to achieve financial inclusion and make them available to different groups [within] society, whether they are institutions or individuals." The 'Seyola' cash fund aims to achieve a daily cumulative return commensurate with low risk associated with the instruments invested in it while, maintaining a high degree of liquidity that allows the investor to buy and recover daily, according to Minister El-Said.

Also according to El-Said, NI Capital has contracted with the 'Arabiya Online' company owned by it, in addition to the 'Mubasher' company, to receive subscriptions and promote the fund among customers from the segment of individuals and institutions with the ability to receive the subscription electronically, while NI Capital will promote the side of large institutions.

NI Capital established the National Investment Charity Education Fund in 2020 in order to provide sustainable financing for educational projects while managing charitable work, the size of the fund has so far reached EGP 150 million, according to the planning ministry.

NI Capital was established in 2015 as an independent financial services company, acting as an independent catalyst for promoting public-private cooperation and attracting both domestic and foreign expertise to add value through promoting sustainable economic and social development across Egypt.

It also provides an integrated set of investment banking services, investment management services and financial advice in the Egyptian market.

It also manages the government IPO program to attract local and foreign investments to the Egyptian exchange and diversify sources of income for the government.