The Unit Trust of Fiji (UTOF) has announced a substantial dividend payout of $7 million for the last six months of 2024, which concluded on December 31. The Income and Growth Fund (IGF) investors will benefit from a declared dividend rate of 3.75 cents per unit, totaling approximately $6.4 million in tax-free dividends. This payout reflects an increase from the previous period, where the IGF dividend rate was 3.50 cents per unit, making the total dividend rates for 2024 stand at 7.50 cents per unit compared to 7.00 cents in 2023.
UTOF Chair, Lavinia Kaumaitotoya, emphasized the importance of the IGF in offering not only biannual, tax-free dividends but also the potential for capital growth, making it suitable for long-term investors. She noted that the upcoming announcement regarding the capital growth component will follow the completion of their annual audit.
For the Income Fund investors, UTOF declared an annualized dividend rate of 3 percent, resulting in more than $560,000 in payouts, up from 2.75 percent in the same timeframe last year. This demonstrates UTOF’s commitment to providing reliable investment returns, particularly to its risk-averse investors focused on capital preservation.
The direct recipients of these dividends include a diverse group of 60,000 account holders comprising young investors under 18, employees partaking in investment schemes, and other families and associations. This initiative marks a significant effort to involve younger generations in investment opportunities, fostering financial literacy and stability among the youth.
Kaumaitotoya previously mentioned that in their final dividend distribution announcement of 2023, they were on the verge of surpassing the half a billion dollar mark in total funds under management. Following that, they reported an unaudited figure of $521 million, exceeding their targets by an impressive 114.46 percent.
This positive trajectory highlights UTOF’s growth and resilience in providing substantial returns to its investors, showcasing a promising future for financial growth and community engagement in Fiji’s investment landscape.
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