Stephen Lubowa (Left) representing the administrator, UAP Old Mutual Life Assurance and Ramla Nantongo (right) representing the Trustee, KCB during unveiling of the interest rate for the year ended 2022 during the Scheme’s Annual General meeting
UAP Life Umbrella Retirement Benefits Scheme successfully conducted its highly anticipated annual general meeting, combining both in-person and online participation at their Nakawa offices.
The event was initiated by Ramlah Nantongo, representing the scheme trustee, KCB Bank, who graciously welcomed attendees and expressed gratitude for their valuable presence. Nantongo also introduced the esteemed service providers supporting the scheme.
During the meeting, Patrick Kimathi, the managing director of UAP Old Mutual Life Assurance Uganda Limited (now Old Mutual Life Assurance Uganda Limited), acting as the administrator and sponsor of the scheme, shared exciting news. Kimathi announced that the scheme’s membership, represented by participating employers, has grown exponentially from 20 in 2015 to an impressive 52 in 2022.
“The scheme has garnered significant interest from various institutions eager to join, and as administrators, we are committed to ensuring its accelerated growth surpasses industry standards. With a track record of consistently declaring annual interest rates above market averages, the scheme’s service providers remain dedicated to delivering exceptional results,” Kimathi explained.
He further assured members that their funds are in capable hands, with a resounded vow to exercise due diligence and provide favourable returns. In the last year alone, the scheme welcomed six new members, further enhancing its strength and appeal.
Addressing the meeting’s attendees, the trustee emphasized the pivotal role played by the Uganda Retirements Benefits Regulatory Authority in effectively overseeing and managing the scheme’s operations.
Demonstrating a vested interest in the scheme’s day-to-day functioning, the trustee highlighted the importance of strategic investments that guarantee optimal returns in a region poised for growth. In conclusion, the trustee assured member schemes of unparalleled service quality and the promise of the best returns.
Taking the floor, the fund manager for the scheme, Old Mutual Investment Group, delved into a comprehensive analysis of the financial landscape. He discussed the downward trend of yields on short-term paper in Q4 2022 due to inflation moderation and increased liquidity.
Expecting yields to remain stable at current levels, he also touched upon external factors, such as fiscal deficit, budget constraints, and escalating public debt, that influence the yield curve throughout H1 2023. Notably, the Monetary Policy Committee (MPC) responded to rising inflation by raising the CBR to 10 per cent in October. The fund manager predicts the MPC will maintain the current rate in H1 2023.
To conclude the AGM, the trustee announced the interest rate for the year 2022/2023, an impressive 12.27%. Despite the challenging economic climate, the scheme achieved remarkable double-digit growth, delivering exceptional returns to its members.
Source: The Observer
