ICEA Lion Asset Management Limited(ILAM) has registered a Net Profit of KSh 62.7 Million at the end of the first six months of this year.
This is compared to KSh 43.7 Million posted in the H1, 2019.
A subsidiary of ICEA Lion Group, the fund manager’s balance sheet grew to KSh 749.9 Million from KSh 592.8 Million while total income rose to KSh 268.1 Million from KSh 202.7 Million during the period under consideration.
Its pre-tax profit rose to KSh 89.6 Million from KSh 62.5 Million with total shareholders’ funds rising to KSh 553.7 Million from KSh 519.7 Million.
While a bearish Nairobi Stock Exchange(NSE) hit returns from its investments in equities and growth funds, ILAM managers were able to ride off these declines with robust earnings from its money market as well as bond funds.
According to the firm’s comprehensive income statement for the six months period ended June 30th, 2020, the Equity Fund made a net loss of KSh 145.3 Million from a net profit of KSh 34.8 Million in H1, 2019.
The Growth Fund also experienced a net loss of KSh 27.5 Million from a net profit of KSh 13.9 Million during the same period last year.
The firm’s Money Markey Fund, its largest portfolio, posted a net profit of KSh 234.3 Million compared to KSh 218.9 Million over the same period last year.
The Bond Fund made a net profit of KSh 2.5 Million, a decline compared to KSh 4.1 Million in 2019.
Considered one of the oldest fund managers in Kenya, ILAM targets institutional and corporate investors, including pension schemes.
The firm also seeks for retail investors with surplus cash to invest at regular intervals or in one-off lump sum investments.
These include individual investors, high net-worth individuals, clubs, small business associations and community credit unions.
Total income from its Money Market Funds increased to KSh 382.5 Million in the first six months of this year compared to KSh 350.8 Million in H1, 2019.
A depressed NSE led to the fund manager cutting down its investment in quoted equities from KSh 1,031,000 to nil at the end of the first half of this year.
Unrealised profits from investments also fell substantially from KSh 5.3 Million in H1, 2019 to KSh 372,000 at the end of June 30th, 2020.