WHC ‘Faida Fund’ to take off in March

Dar es Salaam. Watumishi Housing Company (WHC) yesterday said that its new collective investment scheme will be up and running by March 2022 after an administrative software that is being developed by e-government authority is finalised.

The scheme dubbed “Faida Fund” was announced this year after the public housing developer decided to invest in financial markets.

WHC is a public entity established in 2013 as a property developer and a licensed fund manager for management of the Watumishi Housing Company-Real Estate Investment Trust (WHC-REIT).

WHC-REIT was licensed by the Capital Markets and Security Authority (CMSA) in 2015 and became the first fully-fledged REIT to be established in Tanzania and East Africa.

WHC chief executive officer Fred Msemwa told The Citizen that the scheme is expected to take on board people from all walks of life and enable them invest in financial markets and other securities.

Explaining, he said that the opportunity will include students, employees, retirees, peasants and bodaboda operators to enable them invest in financial markets and create reasonable returns and grow their investment.

“We will be the vehicle that will collect investments and take them to a place where they will have good returns,” he said.

Dr Msemwa added that the scheme will empower people economically while giving an opportunity to those who could otherwise not participate in financial markets to have that opportunity.

He said it will take on board up to 200,000 ordinary investors from all walks of life.

According to him, the administration software developing system that is currently being finalised will be the trading platform for the scheme.

“We are currently working with a team of experts to put up the administrative software that will enable transactions to take place,” he said.

He noted that the scheme has already been approved by the Capital Markets and Security Authority (CMSA) as well as the WHC Board.

According to him, the public will be able to invest every month or at their convenience at a rate below Sh5,000.

Investors will be allowed to keep on saving by buying additional units any time they wish. Under the scheme, it will be possible for micro and small investors to mobilise their small investments and access professional investment management services to for more profitable investment which they could not access individually.

“Under this scheme it will be convenient for very small investors such as bodaboda operators, fishermen, peasants, students and others to start small and grow their wealth slowly,” Dr Msemwa said.