IC Core Commodities Fund

INVEST IN THE IC CORE COMMODITIES FUND

The IC Core Commodities Fund (ICCF) is a mutual fund designed to provide investors with indirect exposure to global commodity markets through investments in exchange-traded funds (ETFs) and other permitted collective investment vehicles. The Fund invests across a diversified range of commodities, including precious metals, base metals, energy and agricultural commodities, with the objective of achieving long-term capital appreciation.

Diversify your portfolio and gain access to global commodity opportunities through a simple and professionally managed investment. The Fund provides exposure to commodities without the need to directly own, store or manage physical commodities or commodity futures. It is designed for investors with a medium- to long-term investment horizon and a moderate to high risk tolerance.

You can subscribe electronically through wealth.ic.africa. The minimum initial investment is GHS 1,500, with the initial offer priced at GHS 10.00 per share. Payment can be made by bank transfer, debit/credit card, mobile money or bank deposit.

For more information, download the prospectus or visit our Help Centre. To contact us, email clientservice@ic.africa, WhatsApp 0531007845, or call 0308250051.

Click to Download: IC Core Commodities Fund PLC Prospectus

 

IC Core Commodities Fund Frequently Asked Questions (FAQs)

1. What is IC Core Commodities Fund?

The IC Core Commodities Fund (“ICCF”) is an open-ended mutual fund licensed by the Securities and Exchange Commission (SEC) of Ghana. It provides investors with indirect exposure to global commodity markets through exchange-traded funds (ETFs) covering precious metals, base metals, energy and agricultural commodities. ICCF is not listed on any stock exchange; all dealings are done electronically through the Fund Manager.

2. What is a mutual fund?

A mutual fund pools money from many investors and invests it on their behalf, with each investor owning shares that represent their portion of the fund. ICCF is an open-ended mutual fund, which means it can issue and redeem shares on an ongoing basis at the prevailing net asset value (NAV) per share.

3. What does IC Core Commodities Fund offer me?

IC Core Commodities fund is a mutual fund that provides exposure to commodities such as precious metals, energy, base metals and agricultural products. The IC Core Commodities Fund provides this exposure indirectly through ETFs rather than through direct ownership of physical commodities or futures.

4. What are precious metals?

Precious metals are naturally occurring metals that are rare and hold a high economic value, the best-known being gold, silver, platinum and palladium. They are used in jewelry, electronics and industrial applications, and are widely held as a store of value. Investors often turn to them in periods of inflation, currency weakness or market uncertainty, which is why they can help cushion a portfolio when other assets fall. Within ICCF, precious metals exposure is obtained through ETFs, with gold exposure capped at 30% of net assets.

5. What are base metals?

Base metals are the more abundant, non-precious industrial metals such as copper, aluminum, nickel, zinc, lead and tin. They are the raw materials of construction, manufacturing, power transmission and electric vehicles, so their prices tend to move with the strength of the global economy and with long-term trends such as electrification and urbanisation. This makes them more cyclical than precious metals, and ICCF holds them indirectly through ETFs, with any single commodity limited to 20% of net assets.

6. What are agricultural products?

Agricultural products, often called “softs” or “agri commodities”, are commodities that are grown or farmed, including grains such as wheat, maize and soybeans, and softs such as coffee, cocoa, sugar and cotton. Their prices are driven largely by weather, harvests, planting decisions and global food demand, which means they can behave quite differently from metals and energy. That low correlation is what makes them useful for diversification, and ICCF gains this exposure through agricultural commodity ETFs rather than by holding physical produce.

7. Why should I invest in the IC Core Commodities Fund?

The Fund provides diversified exposure to global commodities and can help diversify a portfolio beyond traditional equities and fixed-income investments. It may also provide a potential hedge against inflation and currency weakness over the long term.

8. What are the risks of investing in the IC Core Commodities Fund?

Key risks include commodity price volatility, market risk, currency exchange risk, ETF-specific risks (such as tracking error, liquidity and counterparty risk), political and regulatory risk, inflation risk and concentration risk. ICCF is a moderate- to high-risk investment, and your capital is not guaranteed.

9. What are the fees on the IC Core Commodities Fund?

The Fund charges a management fee of 1.75% per annum of NAV and custody fees of 0.10%–0.25% per annum of NAV. There are no subscription, front-load or exit fees on redemptions, while other operating expenses are paid from the Fund’s assets.

10. What is the minimum I can invest in the IC Core Commodities Fund?

The minimum initial investment is GHS 1,500, equivalent to 150 shares at GHS 10 per share. Subsequent investments must be made in multiples of 10 shares.

11. How do I invest in the IC Core Commodities Fund?

Investors can subscribe electronically through the Fund Manager’s platform at the IC Wealth app or at www.wealth.ic.africa and make payment by bank transfer, debit/credit card, mobile money or bank deposit. Purchases are settled within 24 hours.

12. How do I withdraw from the IC Core Commodities Fund?

Investors can redeem their shares electronically through the IC Wealth app or at www.wealth.ic.africa by submitting a withdrawal request and selecting their preferred settlement method. Proceeds may be paid into a bank account or mobile money wallet.

13. How long does it take for withdrawals from the IC Core Commodities Fund to be credited to my account?

Redemption requests are processed no later than 5 working days after receipt of a complete redemption request, at the most recent daily NAV per share.

14. What returns or benefits can I expect from investing in the IC Core Commodities Fund?

The Fund seeks long-term capital appreciation, with investment income reinvested rather than paid as dividends. The fund does not guarantee a specific return, and the value of the investment may rise or fall.

15. Who is the fund manager for IC Core Commodities Fund?

IC Asset Managers (Ghana) Limited is the Fund Manager and is licensed by the Securities and Exchange Commission as a fund manager.

16. How do I find out the performance of my investment?

Shareholders can access their investment statements electronically through the IC Wealth app or www.wealth.ic.africa. The Fund’s NAV per share is calculated daily at 5:00 p.m., and the share price is also available electronically.

17. What happens if the IC Core Commodities Fund is closed?

If the Fund is wound up, a liquidator may distribute the Fund’s assets among shareholders, subject to applicable approvals and after considering the Fund’s liabilities and expenses. Each share is entitled to its proportion of the Fund’s assets upon liquidation.

18. What is the difference between the IC Core Commodities Fund and the IC Liquidity Fund?

The IC Core Commodities Fund is designed for medium- to long-term capital appreciation through exposure to global commodities such as precious metals, base metals, oil and agricultural commodities, and its value can fluctuate with market conditions. The IC Liquidity Fund, on the other hand, is primarily a short-term, lower-risk investment designed to provide liquidity and income through money market investments, making it more suitable for investors seeking relatively stable returns and easier access to their funds.

19. How long should I keep my investment in IC Core Commodities Fund?

The Fund is intended for medium- to long-term investors seeking capital appreciation and portfolio diversification, with an investment horizon that can withstand short-term commodity price volatility.

20. How is ICCF different from a fixed deposit or treasury bill?

A fixed deposit or treasury bill pays a fixed rate of interest over a set period. ICCF works differently: your money is invested in commodity-linked ETFs, and your return depends on how the value of those investments changes over time. Returns are not fixed or guaranteed and the value of your shares can rise or fall, but the Fund offers the potential for long-term growth and diversification beyond traditional fixed-income investments.

21. Who can invest in ICCF? Can I invest for my child?

Any person aged 18 or older can invest, as well as corporations, partnerships and associations. An adult can also invest on behalf of a child under 18 through a trust account.

22. How is the price of my shares determined?

The Fund’s Net Asset Value (NAV) per share is calculated every day at 5:00 p.m. Purchases and redemptions are priced at the next NAV calculated after the Fund Manager receives your request in good order.

23. Can I lose money in ICCF?

Yes. The Fund invests in commodity-linked ETFs whose prices can rise and fall, so the value of your investment is not guaranteed and you may get back less than you invested. ICCF is best suited to investors with a medium- to long-term horizon who can tolerate short-term ups and downs.

24. Do I pay tax on my investment?

Under current law, mutual funds are exempt from income taxes in Ghana, so the Fund and your returns are currently income tax-exempt. Tax laws may change in the future, and any change could affect the Fund and its shareholders.

25. What happens if the cedi falls against the US dollar?

Because the Fund invests in ETFs priced in foreign currencies, movements in the cedi affect the value of your investment in cedi terms. If the cedi depreciates, the cedi value of the Fund’s foreign investments may increase, which can lift your returns. If the cedi appreciates, your returns in cedi terms can be reduced.

26. What happens during the IPO, and what happens after it closes?

During the initial public offer, the Fund is offering 100,000 shares at GHS 10.00 per share, from 10:00 a.m. on 2^nd November 2026 to 5:00 p.m. on 22^nd November 2026, and the Directors have guaranteed a minimum subscription of GHS 1,000,000. After the offer closes, the Fund remains open-ended, so you can buy and redeem shares on an ongoing basis at the daily price per share.

27. Who holds the Fund’s assets, and who regulates the Fund?

The Fund’s assets are held independently by the Custodian, First National Bank Ghana Limited, and its accounts are audited by UHY Voscon Chartered Accountants. The Fund and the Fund Manager are licensed and regulated by the Securities and Exchange Commission (SEC) of Ghana. If you have a complaint that the Fund Manager cannot resolve within 30 days, the SEC is notified and can investigate.

28. How does the Fund invest my money?

The Fund follows a rules-based, managed approach. At least 50% of net assets are invested in commodity-linked ETFs, with gold exposure capped at 30% of net assets and any other single commodity limited to 20%. At least 30% of net assets are maintained in Ghana. The portfolio is rebalanced quarterly, with limited adjustments in between when markets are volatile.