Sagicor Investment Fund Records Best Ever Performance Despite Global Pandemic

January 31, 2022

Investors in the Sagicor Select Growth Fund were rewarded for their trust in leading financial company, Sagicor, following the company’s most recently reported funds’ performance review. 

This is because, despite the enormous challenges and pressure placed on global financial markets due to the economic stagnation caused by the onset of the COVID-19 pandemic, Sagicor Funds Incorporated (SFI), recorded its best ever financial year performance for the Select Growth Fund. 

For the financial year ended September 30, 2021, the Select Growth Fund’s year-on-year return relative to the previous financial year ending September 30, 2020, stood at 16.4%, the best one-year performance return since the fund’s inception in 2004. 

According to SFI Chairman, Dr. Patricia Downes-Grant in her 2021 report, this was “driven by exposures to international equities and continued momentum from the best-in-class performance recorded for the year ended December 31, 2020, while the 3-year average calendar annual return achieved was 9.9%.”

The Chairman further stated that the “Net Asset Value for 2021 increased to $1.77 up from $1.52 in 2020” and “Financial investments increased 24.0% from $52.0 million to $64.5 million, while equities remained the dominant asset class representing 78% of the Fund.”

In its market analysis, SFI stated that the Select Growth Fund benefited from “unprecedented liquidity injected into the global financial system by both monetary and fiscal stimulus policies”, which narrowed credit spreads and kept borrowing costs low, benefiting all segments of the equity asset class.  

Dr. Downes-Grant reported that the firm’s other investment funds, the Sagicor Global Balanced Fund and Sagicor Preferred Income Fund, recorded returns of 11.7% and 2.0% respectively, stating that the positive returns recorded by all three funds was in line with the anticipated rebound in global economic activity following the -3.1% fallout in 2020 as a result of the pandemic. 

“Notwithstanding the rally in major indices through to early September, market sentiment was tempered by downside risks of resurgent health concerns, supply chain disruptions and price pressures”, she reported. “In this context, for the financial year ended September 30, 2021, the Sagicor Mutual Fund continued momentum from the fourth quarter of 2020 and benefited from diversified investments across developed and emerging markets, buoyed by strong corporate earnings and improving economic fundamentals.”