Custodian Asset Management Limited (CAML), a subsidiary of Custodian Investment Plc, has officially commenced operations with the launch of its first investment product, a ₦20 billion Money Market Fund.

The launch was formalised through a signing ceremony at the company's corporate office in Sabo, Yaba, Lagos, bringing together key professionals involved in the fund, including trustees, auditors, bankers, registrars, solicitors, a rating agency and other advisers.

The fund comprises 20 billion units priced at ₦1 each, giving it an offer size of ₦20 billion. BusinessDay independently reported the same fund structure and described it as CAML's first investment product.

The signing ceremony formalises the responsibilities of the various institutions involved in the fund's governance, custody, administration and reporting as the product enters the market.

CAML is positioning the Money Market Fund as an investment option for individuals, businesses and institutions seeking professionally managed exposure to short-term money market instruments.

Money market funds generally invest in short-term instruments and are designed to provide investors with a combination of liquidity and income while seeking to preserve capital, although returns and investment risks can vary.

Speaking on the launch, CAML Managing Director, Opeyemi Agunbiade, said the new fund reflects the company's plan to widen access to professionally managed investment solutions.

She said the product was developed in response to demand for an investment vehicle focused on capital preservation, liquidity and competitive returns in a changing economic environment.

Agunbiade also stressed the importance of governance, transparency, prudent fund management and investor protection in the company's operations.

The launch comes shortly after the Securities and Exchange Commission listed Custodian Asset Management Limited as an active Fund/Portfolio Manager. The SEC register gives the company's address as 29 Commercial Avenue, Sabo, Yaba, Lagos, and lists Opeyemi Agunbiade as its managing director.

CAML Non-Executive Director, Niyi Falade, also emphasised governance and disciplined risk management as important elements of the company's approach to asset management.

Falade noted that the involvement of several professional institutions in the transaction was intended to provide a strong framework around the fund's administration and oversight.

The new company expands Custodian Investment Plc's presence in Nigeria's investment management industry, complementing the group's interests across areas including insurance, pensions, real estate, trusteeship, stockbroking and hospitality.

CAML's entry comes at a time when Nigeria's investment management market continues to see new products aimed at investors looking for alternatives for managing short-term funds.

The company said its broader objective is to provide investment and wealth management solutions that help clients manage liquidity and pursue their financial objectives through disciplined professional management.

With the launch of the ₦20 billion Money Market Fund, Custodian Asset Management now joins the growing number of asset managers offering money market products to Nigerian investors.

Reporting by TalkNaijaMedia