Tharaa Money Market Fund

Tharaa Money Market Fund is an open-ended investment fund with periodic distributions launched by the Egyptian Gulf Bank (EGBANK). The fund aims to provide a low-risk savings and investment vehicle that combines daily liquidity with capital preservation while seeking to generate returns consistent with investments in money market instruments and short-term fixed income securities. The fund allows investors to subscribe and redeem on a daily basis, making it a suitable option for managing short- and medium-term liquidity needs for both individuals and institutions.

The prospectus sets clear asset allocation limits. Tharaa Fund may invest up to 100% of its assets in government securities, while investments in Egyptian Treasury bonds, government sukuk, and corporate bonds combined may not exceed 49% of net assets.

The fund may also allocate up to 20% of its assets to bonds issued by banks and corporations, provided that exposure to any single issue does not exceed 10% of net assets and that such instruments carry a minimum credit rating of BBB. In addition, the fund may invest up to 30% of its assets in money market funds, provided that investments in any single fund do not exceed 20% of the fund’s assets.

How does Tharaa Fund generate its returns?

The fund primarily invests in Treasury bills, government securities, bonds, and short-term money market instruments, and generates returns from the income produced by these investments.