Agusto & Co. affirms the A(f) rating of First Ally Money Market Fund

Agusto & Co. affirms the A(f) rating of First Ally Money Market Fund

Rating Release 

Agusto & Co. affirms the A(f) rating of First Ally Money Market Fund

The rating expires 27 April 2023

Agusto & Co. affirms the A(f) rating of First Ally Money Market Fund (“First Ally MMF” or “the Fund”). The rating is upheld by the Fund’s sizeable holding of Federal Government of Nigeria (FGN) securities, despite the low yielding interest environment. The rating also reflects First Ally MMF’s low exposure to liquidity risk and interest rate risk.

However, the rating is constrained by the Fund’s increased credit risk due to the shift in allocation towards the lower end of the acceptable rating buckets and significant concentration in the unitholder base. We have also considered the weak economic environment and the impact of the prevailing low yields on money market securities in Nigeria.

This Rating Release is transmitted to you for the sole purpose of dissemination through your newspaper / magazine / agency. The rating release may be used by you in full or in part without changing the meaning or context thereof but with due credit to Agusto & Co.

Finance & Leasing

COMPANY RATING EXPIRY OUTLOOK COUNTRY
C&I Leasing Plc ₦10 billion 7-year Series II Bond Bbb+ Jun 03 , 2022 Stable Nigeria
C&I Leasing Plc ₦7 billion 5-year Series I Bond A- Jun 11 , 2022 Stable Nigeria
C&I Leasing Plc Bbb- Jun 30 , 2022 Stable Nigeria
Credit Direct Limited Bbb Jun 30 , 2022 Stable Nigeria
Citihomes Finance Company Limited SR3 Jul 05 , 2022 N/A Nigeria

Corporates

COMPANY RATING EXPIRY OUTLOOK COUNTRY
Axxela Limited A- Jun 30 , 2022 Stable Nigeria
Kawai Technologies Limited Bb Jun 30 , 2022 Neutral Nigeria

Corporate Bonds

COMPANY RATING EXPIRY OUTLOOK COUNTRY
Axxela Funding 1 Plc’s Series 1 Bond A- May 31 , 2022 Stable Nigeria
Viathan Funding Plc.’s ₦10 billion 10-year Series 1 Senior Guaranteed Fixed Rate Bond Due 2027 Aaa Dec 31 , 2027 Stable Nigeria
NSP-SPV PowerCorp Plc’s ₦10 Billion 15-year Series 1 Aaa Dec 31 , 2033 Stable Nigeria