Regal report 16th issue q4 2017

REGAL REPORT WEALTH NEWS

16 TH ISSUE: 4TH Q REPORT 2017

WE ARE THE BEST IN CUSTOMIZING A WEALTH MANAGEMENT PLAN TAILORED FOR YOU

Regal Africa Wealth Management provides financial planning , wealth advice to individuals, families, family offices and businesses. We offer a high touch, high quality and customized service.

We believe that finding the right wealth adviser is critical to attaining your lifetime financial plan. Our aim is to help our clients to make the right financial decisions to attain their financial and investment goals as we assist them to plan, grow and manage their wealth.

Regal Africa Group 4th Floor Top Plaza, Kindaruma Rd, Nairobi, Kenya P.O. Box 40187, Nairobi 00100 Tel: +254 0714 009 065

www.regalafrica.co.ke info@regalafrica.co.ke

regal africa W E A LT H M A N A G E M E N T

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Word from the C.E.O Money Market Analysis Equity Market Analysis Bond Market Analysis Balanced Funds Analysis Fixed Income Analysis

Report Created BY: D.Gaitha Creative Studio www.dgaitha.com

WORDS FROM C.E.O We can all be WEALTHY, It takes a Plan, Discipline and Execution to achieve your Financial Freedom” The year 2018 has proved to be a year of great transformation at Regal Africa. We as a team have dedicated our time to not only offer great advisory service and financial products to our clients, but to take the time to grow our strategic partnerships with great financial services that would be beneficial to our clients.

“If you want to go fast go alone, if you want to go far go together” We look forward to working with you as our clients on your WEALTH JOURNEY to help you achieve your financial goals using the right financial products in the marketplace.

Anne Gaitha

Founder and CEO of Regal Africa

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Q4 2017 MONEY MARKET ANALYSIS Money market interest rates remained relatively stable in the final quarter of 2017. The stable interest rate environment was supported by declining inflation which stood at 4.5%, the lowest level in 2017, and Central Bank actions after it retained the Central Bank Rate (CBR) at 10% and used reverse repos to ensure redistribution of liquidity in the banking sector. Despite the increased demand by the government to borrow locally in order to plug the budget deficit, Treasury bill yields remained relatively stable. The yields on 91, 182 and 364 Treasury bills as at the end of the year stood at 8.080%, 10.649% and 11.151% respectively compared to 8.162%, 10.317% and 10.907% as at the end of Q3’2017 respectively.

Money Market Funds’ Return in Q4 2017 The graph below shows money market funds return for the 5 best performing funds in Q4’2017

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Money Market Funds Return for the past 6 months.

The graph below shows money market funds return for the 5 best performing funds in the past 6 months.

Money Market Funds Return for the past 12 months.

The graph below shows money market funds return for the 5 best performing funds in the past 12 months.

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Money Market Outlook for 2018 Interest rates in the money market have remained stable as the Central Bank has rejected expensive bids in Treasury bill auctions despite a huge borrowing appetite by the government. This trend is expected to continue in 2018 with interest rates remaining largely flat as seen in 2017.

Q4 2017 EQUITY MARKET ANALYSIS The equity indices recorded mixed performance in the final quarter of the year. The NASI and NSE 25 Share Index were up by 5.5% and 0.3% respectively while the NSE 20 Share Index was down by 1.1%. For the FY 2017, the NSE 20, NASI and NSE 25 Indices were up by 16.5%, 28.4% and 21.3% respectively. Foreign investors remained net sellers with USD 3.96m of net outflows compared to USD 108.18m of outflows in Q3’2017. Turnover declined to USD 347.24m from USD 517.39m as result of reduced foreign investor trading as a result of the heightened political activity in the country.

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The table below shows the 10 best performing stocks at the NSE in Q4’2017;

31/12/2016 16.50 42.50 118.00 20.50 19.20 28.75 5.80 3.80 13.20 90.00

Standard Group Crown Berger Diamond Trust Bank Kenya Ltd TPS Serena Sasini KCB KenGen CIC Insurance Co-op Bank I&M Holdings

31/12/2017 37.00 80.00 192.00 32.50 29.50 42.75 8.55 5.60 16.00 127.00

2017 Return 124.2% 90.5% 62.7% 58.5% 53.6% 48.7% 47.4% 47.4% 45.5% 41.1%

The table below shows the 10 worst performing stocks at the NSE in Q4’2017;

31/12/2016 909.00 27.25 80.00 22.50 27.00 14.00 5.85 6.05 25.50 7.90

BAT Kenya Eaagads Kapchorua Tea Kenya-Re Car & General Housing Finance Kenya Airways Deacons Athi River Mining Nairobi Business Ventures

31/12/2017 760.00 22.75 65.50 18.10 21.00 10.40 17.15 3.50 13.00 3.35 TH

2017 Return -16.4% -16.5% -18.1% -19.6% -22.2% -25.7% -26.7% -42.1% -49.0% -57.6%

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EQUITIES FUNDS ANALYSIS Q4’2017 The graph below shows the return of the 5 best performing equity funds in Q4’2017

EQUITIES FUND 6 MONTHS ANALYSIS The graph below shows equities funds return for 5 of the best performing funds in the past 6 months.

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EQUITIES FUNDS 12 MONTHS ANALYSIS The graph below shows equities funds return for 5 of the best performing funds in the past 12 months.

Stock Market 2018 Outlook

Economic growth is expected to rebound in 2018 after lacklustre growth in 2017 caused by drought and heightened political activity. The stock market is expected to benefit from the rebound in economic fortunes but in the long run.

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Q4’2017 BOND MARKET ANALYSIS Bond yields across all tenures declined across the year as central bank actions resulted in downward pressure on yields in the secondary market as indicated below by the yield curve. The FTSE bond index returned 3.1% in 2017 as investors concentrated more on the equities market.

The graph below shows bond funds return for the past 3 months.

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BOND FUND 6 MONTH ANALYSIS The graph below shows bond funds return for the past 6 months.

BOND FUND 12 MONTH ANALYSIS The graph below shows bond funds return for the past 12 months.

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Q4 2017 BALANCED FUNDS ANALYSIS The graph below shows balanced funds return for 5 of the best performing funds in Q4’2017

BALANCED FUND 6 MONTH ANALYSIS The graph below shows balanced funds return for 5 of the best performing funds in the past 6 months.

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BALANCED FUND 12 MONTH ANALYSIS The graph below shows balanced funds return for the past 12 months.

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Q4’2017 FIXED INCOME FUNDS ANALYSIS FIXED INCOME FUND Q4’2017 ANALYSIS The graph below shows fixed income funds return for Q4’2017.

Regal Africa is proud to partner with Sanlam in order to make your Financial lives better

TRUST

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CONVINIENCE

EMPOWERMENT

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EXPAND YOUR INVESTMENT PORTFOLIO Are you looking to invest Part of your income this year or do you have a lump-sum saved up to start investing ? Regal Africa would like to work with you to acheive your goals. We will facilitate the best investment vehicle that is specific to your needs, having factored in the investment amount, risk tolerance and time horizon.

We provide an array of investments options and each of them is concluded upon evaluation of the three mentioned factors. Investments are a means to help you secure a better future, so start investing wisely TODAY.

CONTACT US TODAY!!

LET US GET YOU STARTED...

Tel: +254 0714 009 065 www.regalafrica.co.ke info@regalafrica.co.ke AGRIBUSINESS

REAL ESTATE

STOCK MARKET Regal Africa Group 4th Floor Top Plaza, Kindaruma Rd, Nairobi, Kenya

regal africa Creating Wealth

P.O. Box 40187, Nairobi 00100

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coming soon ... regal africa online academy

regal africa ONLINE ACADEMY

“Equip yourself with financial knowledge that will enrich you and your family”

Regal Africa is proud to partner with Green Pot Enterprises

Let’s build wealth and safeguard the enviroment through Agribusiness ...

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INVEST IN YOUR EMPLOYEES FINANCIAL HEALTH.

FINANCIAL WELLNESS PROGRAM FOR YOUR EMPLOYEES We offer financial wellness programs to corporates as part of their employees benefits program (Regal@work).

This group presentation ensures that all your employees have the basic financial knowledge to make the best financial decisions and have a positive effect on the company and its bottom line. We also offer group events i.e. workshops and seminars to individuals, entrepreneurs and professionals.

regal africa FINANCIAL SERVICES

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WELCOME TO THE BESPOKE REAL ESTATE SERVICE EXPERIENCE

Regal Africa Properties is part of the Regal Africa Group and is a company that offers Real Estate services in East Africa from its head office in Nairobi, Kenya.

We focus on finding great opportunities in the Real Estate industry and we have demonstrated experience in advising clients on real estate opportunities, which requires practical experience and an intimate knowledge of what works in East Africa

4th Floor Top Plaza, Kindaruma Road P.O. Box 40187 -00100, Nairobi, Kenya Phone: +254 0714 009 065 Email: properties@regalafrica.co.ke www.regalafrica.co.ke/properties

REGAL AFRICA PROPERTIES

regal diaspora financial services

Regal Africa Group is a diversified Financial Service Group that offers Financial Services, Advisory and Real Estate services to Individuals, Businesses and Institutions. We are based in Nairobi, Kenya to help our global clientele to achieve their financial goals.

We offer unrivalled financial solutions that focus on the Kenyan/Africa Diaspora with a goal to assist them to invest and get great returns. RegalDiaspora is our diaspora financial services product, that is offered to Kenyans/Africans who reside outside the country.

As your trusted financial partner our goal is to be the go to firm for the diaspora on the ground, to ensure that our clients achieve their investment and financial goals.

Our services include but not limited to: Investments Banking and Insurance Wealth Management Real Estate services

CONTACT US TODAY! Invest in your Home Country Invest in your Family Invest in your Community

Regal Africa Financial Services Ltd. 4th Floor, Top Plaza Kindaruma Rd, Nairobi, Kenya P.O. Box 40187, Nairobi 00100 Tel: +254 0714 009 065 www.regalafrica.co.ke info@regalafrica.co.ke

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introducing regal law

We would like to introduce to practicing lawyers �RegalLaw� the financial advisory service for lawyers. We will discuss about our Treasury Management service for funds entrusted to your law firm and our Corporate Wealth Planning services covering your business and personal financial plans.

Regal Africa Group 4th Floor Top Plaza, Kindaruma Rd, Nairobi, Kenya P.O. Box 40187, Nairobi 00100 Tel: +254 0714 009 065

www.regalafrica.co.ke info@regalafrica.co.ke

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what is your plan to build your business? contact us today !!

BiasharaPlan goal is to help SME’s to access finances, this will ensure growth and sustainability of the business venture. SME’s should Plan, Manage, Analyzes their businesses for success.

We work with highly scalable businesses to plan for and achieve growth. This always requires a customized approach – we tailor our work based on individual business requirements in order to achieve the best results in the most cost effective way.

Practically speaking, we help businesses identify, answer and solve difficult questions and engage for the long-term, helping to implement solutions.

Business Advisory Services Accounting Outsourcing Employee Financial Benefits Programs BiasharaList Platform Regal Africa Group 4th Floor Top Plaza, Kindaruma Rd, Nairobi, Kenya P.O. Box 40187, Nairobi 00100 Tel: +254 0714 009 065

www.regalafrica.co.ke info@regalafrica.co.ke

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OUR MANAGEMENT CONSULTING APPROACH IS SOLUTION FOCUSED.

We work with highly scalable businesses to plan for and achieve growth. This always requires a customized approach – we tailor our work based on individual business requirements in order to achieve the best results in the most cost effective way. Practically speaking, we help businesses identify, answer and solve difficult questions and engage for the long-term, helping to implement solutions.

Company Strategy & Innovation Company Restructuring Business Succession Planning Executive Training

Regal Africa Group 4th Floor Top Plaza, Kindaruma Rd, Nairobi, Kenya P.O. Box 40187, Nairobi 00100 Tel: +254 0714 009 065

www.regalafrica.co.ke info@regalafrica.co.ke

regal africa C O N S U LT I N G G R O U P

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OUR TRANSACTION ADVISORY SERVICES ARE UNMATCHED

Regal Africa Advisory is an independent investment banking firm that offers transaction advisory services in East Africa. We are an independent firm with a network of investors, lending institutions and other partners, which helps us provide the most optimal cost of capital for our clients. We ensure that our financial recommendations are based on the best options in the market.

We are an independent and globally connected advisory firm , we are able to provide comprehensive strategic and advisory solutions to our clients. Our ability to deliver the best solutions is based on our highly experienced team and our global networks and partners.

We specialize in bespoke creative approaches to clients needs as each project assignment is unique. Our approach is solutions focused and a customer centric way of doing business.

Mergers & Acquisitions Capital Raising Corporate Restructuring

Regal Africa Group 4th Floor Top Plaza, Kindaruma Rd, Nairobi, Kenya P.O. Box 40187, Nairobi 00100 Tel: +254 0714 009 065

www.regalafrica.co.ke info@regalafrica.co.ke

regal africa ADVISORY

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LETS HELP YOU PLAN FOR YOUR FUTURE

TM

PesaPlan100 is an innovative financial product by Regal Africa. This financial solution is great for the youth and people in the informal economy, who are able to put aside funds daily to start on their wealth journey.

By setting aside money as low as 100/day, we are able to assist our clients to get an investment account, a personal pension fund and enroll in an insurance plan.

Option 1 - Invest in a money market fund Option 2 - Invest in a money market fund + personal pension plan Option 3 - Invest in a money market fund + personal pension plan + Insurance (NHIF) Talk to one of our Wealth Advisors TODAY to start investing for your future

CONTACT US TODAY!!!

Regal Africa Group 4th Floor Top Plaza, Kindaruma Rd, Nairobi, Kenya P.O. Box 40187, Nairobi 00100 Tel: +254 0714 009 065 www.regalafrica.co.ke info@regalafrica.co.ke

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Disclaimer: The views expressed in this publication, are those of the writers where particulars are not warranted - as the facts may change from time to time .

The information and numbers stated and analyzed , are received from public information found in the daily newspapers. This publication is meant for general information only , and is not a warranty , representation or solicitation for any product that may be on offer. Readers are thereby advised in all circumstances , to seek the advice of an independent financial advisor or contact the Regal Africa team to advise them on the suitability of any financial product for their investment purposes.

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WE CARE . . .

WE UNDERSTAND . . .

WE ARE HERE TO GUIDE YOU . . .

regal africa Creating Wealth

Regal Africa Group 4th Floor Top Plaza, Kindaruma Rd, Nairobi, Kenya P.O. Box 40187, Nairobi 00100 Tel: +254 0714 009 065 www.regalafrica.co.ke info@regalafrica.co.ke