ZB bank in Zimbabwe has launched a new product called the growing gold fund, a unit trust fund whose underlying asset is gold
The fund is earmarked for serious long-term investors whose primary objective is capital growth.
It is said to be ideal for institutional investors such as pension funds and life assurance companies, to mention a few.
"The growing gold fund provides investors with the opportunity to have their funds invested in assets that are internationally valued. As such, this investment is exposed to minimum country risks," sais Mr Churu, ZB Asset Management Chairman. lt is a long term gold-backed unit trust. Funds invested will be used to purchase actual gold.
The returns on investment will be realized when the gold price moves upwards. ZB says the fund offers high returns over the medium to long term as indicated by the gold price which increased by more than 150 per cent over the past five years.
"Trends have shown that investments in gold are a hedge against inflation," says ZB.
By Wallace Mawire
