Old Mutual Investment Group celebrates growth

CAPTION: Members of Old Mutual Investment Group unit trust board and management at the Sheraton Hotel. (Courtsey photo).

By Our reporter

KAMPALA – Old Mutual Investment Group (OMIG) Uganda successfully hosted its 2025 Annual General Meeting (AGM) at the Sheraton Hotel, Rwenzori Ballroom, bringing together over 300 stakeholders. The event provided a comprehensive overview of the OMIG Unit Trust Funds’ performance and strategic direction for the financial year ending December 31, 2024.

He highlighted the country’s robust growth despite global uncertainties. “Uganda recorded real GDP growth of 6.06% in FY2023/24, up from 5.34% the year before. The size of the economy grew to USD 41.33 billion,” he said.

Kihuguru attributed this growth to strong performance in services, infrastructure, and oil and gas investments, which created over 15,000 jobs and attracted nearly $10 billion in cumulative investment by the end of 2024.

He also commended Uganda’s fiscal discipline and price stability, noting that headline inflation averaged 3.32% and the Ugandan Shilling significantly appreciated, closing the year at 3,670 per USD. Capital markets also showed strong performance, with the Uganda Securities Exchange All Share Index rising 36.94% and the Local Share Index up 12.93%, driven by renewed investor confidence. These favorable conditions contributed to what he called a “transformational year” for OMIG’s funds.

OMIG Managing Director Zac Kisesi thanked unit holders and partners for their trust and collaboration. He underscored OMIG’s growing impact on financial inclusion in Uganda, citing a 67% increase in total unit holders, from 30,165 to 50,416.

“We’re especially proud that over 20,000 new investors joined our unit trust products in just one year. This speaks to growing awareness and accessibility of investment solutions in Uganda,” he stated.

Kisesi reaffirmed OMIG’s dedication to innovation, governance, and delivering consistent returns for all investors.

John Golooba, OMIG’s Chief Financial Officer, presented the financial results for the Unit Trust Funds, reporting a 43% increase in total assets under management to Shs 2.407 trillion.

“Each of our funds registered strong performance. The Umbrella Fund returned 11.77%, the Money Market Fund 11.28%, and the Balanced Fund 12.64%, all exceeding their benchmarks,” he noted. The Dollar Fund, in particular, more than tripled in value to USD 39.22 million, earning a net return of 5.03%. He attributed this success to strategic portfolio reallocation towards fixed income and longer-dated government bonds.

Stephen Ineget, the KPMG Country lead, presented the independent auditor’s opinion, confirming that OMIG’s financial statements “give a true and fair view” of the Group’s position in accordance with IFRS standards and Uganda’s capital market regulations.

Ineget noted that the audit found no material misstatements and no key audit matters were flagged, highlighting OMIG’s strong internal controls and financial transparency.

Hilda Kansiime from Kasirye Byaruhanga & Co Advocates, representing the legal advisors, discussed the evolving regulatory landscape, including new capital markets reforms and anticipated regulatory tightening before the 2026 general elections.

Kansiime reassured attendees of OMIG’s robust governance framework and compliance posture, ready to adapt swiftly to legal and policy changes.

Remarks were also heard from OMIG’s key banking partners. Andrew Omiel, representing Stanbic Bank Uganda, praised OMIG for fostering investor confidence through transparency and education, emphasizing the importance of investor literacy.

Patrick Ssewanyana, speaking for KCB Bank Uganda, highlighted efforts to enhance cross- border investor services and streamline reporting, noting the Dollar Trust’s importance to retail and diaspora investors seeking stable, regulated hard currency options.

The meeting also addressed shifting market dynamics. With the government’s domestic financing needs pushing up interest rates, OMIG strategically repositioned its portfolios towards higher-yielding long-term bonds. Bond exposure in the Umbrella Fund increased by UGX 264 billion, reaching Shs60 billion, with allocations to tenors above 10 years rising to 47.4%. Mr. Golooba assured unit holders that liquidity and risk discipline were maintained across all portfolios.

Looking ahead, Chairperson Geoffrey Kihuguru expressed cautious optimism for Uganda’s projected 6.3% growth in 2025, supported by increased oil activity, improved credit conditions, and macroeconomic stability. However, he cautioned against downside risks like global trade tensions, donor funding cuts, and increased government borrowing before the 2026 elections. “In this environment, we remain committed to cautious, transparent, and responsive fund management,” he said in closing.

The AGM concluded with a lively Q&A session, where unit holders appreciated the transparency and engaged with senior management on various topics. The Chairperson delivered a vote of thanks, acknowledging the contributions of partners, staff, and investors for another landmark year