Agusto & Co assigns A+(f) credit quality and FV5 volatility ratings to the Coronation Fixed Income Fund (“CFIF” or “the Fund”). The rating reflects the Fund’s adequate investment process, low exposure to credit and liquidity risks and moderate exposure to interest rate risk driven by investments in long-dated instruments.
This rating expires on 31 August 2021
In the review period (July 2019 – June 2020), Coronation Fixed Income Fund maintained a conservative investment approach with a significant share of net assets held in Federal Government of Nigeria (FGN) securities, which we consider to be of ‘Aaa’ credit quality in local currency.
However, the Coronation Fixed Income Fund had some investments in counterparties that fell below Agusto & Co’s investment-grade credit quality.
Agusto & Co. is an indigenous African credit rating agency and a leading provider of industry research and knowledge in Nigeria.
The scope of Agusto & Co’s over 2,000 ratings covers banks, corporate bonds, corporates, finance & leasing companies, funds & investment managers, insurance companies, microfinance banks, mortgage institutions, municipal bonds, securities & investment firms, supranational bonds, and sovereigns.
Agusto & Co hold credit rating licences that allow the company to operate in Nigeria, Kenya and Rwanda. Our agency has a thorough understanding of both the African macroeconomic and business environments.
