AGM 2020
When and where will the AGM be held this year?
The AGM will be held on Wednesday May 26th at 10:00am via a LIVE ONLINE BROADCAST streamed on the Corporation’s Facebook page www.facebook.com/ttutc and website https://www.ttutc.com
Are any tokens being given to customers this year?
As a unitholder, tokens have always been our way of saying “thank you” for your support attending our physical AGMs.
With the pandemic still posing a big risk and Covid-19 cases rising, we once again took a decision to halt the distribution of tokens, as one of the ways to protect our unitholders and stakeholders from the spread of the virus.
Your safety and health remain our primary concern, and we would never want to put you at risk.
How soon will I receive the Annual Report or any relevant documents/information to review before the AGM? Will the link to log on be sent to my email?
During these unprecedented times, we have amplified our digital thrust and produced a digital copy of our 2020 Annual Report. As we did last year, at the touch of your fingertips, you can access the report at: https://www.ttutc.com/financial-reports/.
By “liking” our Facebook page www.facebook.com/ttutc, customers who have registered to view the AGM will receive an email reminder on it. In addition, an email will be sent to you before the AGM, to login and view.
Will physical AGMs continue after the end of the Covid-19 virus?
We really miss the interaction with our unitholders. With the pandemic still posing risk to the country, our option is to host it virtually. We felt that we needed to make every effort to protect our unitholders and prevent the spread of the virus.
Going forward, we will continue to explore all options to ensure we provide the AGM experience you have grown accustomed to, and we look forward to your support.
2020 Financial Performance
What was UTC’s performance in 2020?
A year ago, the Covid-19 pandemic brought seismic change to the way we live and work. Globally, we saw economies, financial markets and livelihoods disrupted, in unimaginable ways. The pandemic created severe volatility in financial markets, at times unprecedented.
Despite this, we delivered strong performance and demonstrated growth in a challenging environment.
Solid Performance
- Impressive growth in net subscriptions
We delivered spectacular growth in net subscriptions, evidenced by net sales of TT$805Mn, an incredible value of 10 times more than net subscriptions in 2019 and was achieved despite the prevailing environment of uncertainty. This says a lot about the trust investors have in us, especially during tough times. - Assets under Management
For the first time in our history, Assets Under Management hit a high of TT$23.6Bn in 2020, a pivotal moment given the challenging conditions. - Investment Income
Also, amid the turbulence brought on by COVID-19, the Corporation earned an impressive TT$605Mn in 2020 from Investment Income, thanks to the stewardship of our experienced investment team. - Increase in aggregate Fund size
For the year ended December 31, 2020, the UTC experienced a 4.3% growth in its aggregate Fund size to TT$22.1Bn – compared to TT$21.2Bn at the end of 2019. - Increased distributions
We saw increased distributions in our Fixed Income Funds: The TT Dollar Income Fund paid distributions in 2020 totaling TT$169.2Mn, up 9.1% from TT$155.1Mn in 2019, and the US Dollar Income Fund moving from US$5.7Mn in 2019 to US$6.9Mn in 2020, up 20.8%.
How is Unit Trust adapting to the current global crisis?
A year ago, the Covid-19 pandemic brought seismic change to the way we live and work. Globally, we saw economies, financial markets and livelihoods disrupted in unimaginable ways. The pandemic created severe volatility in financial markets, at times unprecedented.
At the Unit Trust Corporation, we took decisive steps to cater for long-term uncertainty and positioned our business to manage the deteriorating macro-economic outlook. As such, in 2020, we delivered spectacular growth in net sales of TT$805Mn, an incredible value of 10 times more than in 2019 and this was achieved despite the prevailing environment of uncertainty.
Additionally, the events of the past year have only sharpened our ability to deal with these unpredictable and still evolving circumstances.
Why should anyone invest at this time with the Unit Trust Corporation?
We want to be here for you, in good times and bad.
In this time of uncertainty, we want to be the place where people come to invest, to bring your dreams to reality and to help you build your wealth. As one of the largest and trusted financial service providers in Trinidad and Tobago, we stand as a beacon at a time when our country is facing uncertainty and challenges, as never before.
There’s a reality about these challenges, but our message to you our unitholders is – stay the course with us. For those who are still on the fence, reach out to us via any of our electronic channels and see how we can be your Partner for Life.
For almost 40 years, the UTC has been helping our investors achieve their dreams and goals. Let us help you achieve yours.
What is the financial impact of COVID-19 on UTC investments?
The events of the past year have only sharpened our ability to deal with these unpredictable and still evolving circumstances. A year ago, the Covid-19 pandemic brought seismic change to the way we live and work. Globally, we saw economies, financial markets and livelihoods disrupted, in unimaginable ways.
At the Unit Trust Corporation, we took decisive steps to cater for long-term uncertainty and positioned our business to manage the deteriorating macro-economic outlook. In 2020, we delivered strong performance and demonstrated growth in a challenging environment.
Solid Performance
- Impressive growth in net subscriptions
We delivered spectacular growth in net subscriptions, evidenced by net sales of TT$805Mn, an incredible value of 10 times more than net subscriptions in 2019 and was achieved despite the prevailing environment of uncertainty. This says a lot about the trust investors have in us, especially during tough times. - Assets under Management
For the first time in our history, Assets Under Management hit a high of TT$23.6Bn in 2020, a pivotal moment given the challenging conditions. - Investment Income
Also, amid the turbulence brought on by COVID-19, the Corporation earned an impressive TT$605Mn in 2020 from Investment Income, thanks to the stewardship of our experienced investment team. - Increase in aggregate Fund size
For the year ended December 31, 2020, the UTC experienced a 4.3% growth in its aggregate Fund size to TT$22.1Bn – compared to TT$21.2Bn at the end of 2019. - Increased distributions
We saw increased distributions in our Fixed Income Funds: The TT Dollar Income Fund paid distributions in 2020 totaling TT$169.2Mn, up 9.1% from TT$155.1Mn in 2019, and the US Dollar Income Fund moving from US$5.7Mn in 2019 to US$6.9Mn in 2020, up 20.8%.
There has been a 10.2% percentage reduction in distribution to unitholders from $265.3mn in 2019 to $238.4 in 2020. How do you explain that?
Even though there is a reduction in distribution which is tied to dividends paid by other companies, in 2020 as we did in 2019, we ensured distributions were paid to our unitholders.
Our Fixed Income Funds even paid increased distributions:
The TT Dollar Income Fund’s distribution increased by 9.1% in 2020 to TT$169.2Mn, from TT$155.1Mn in 2019, and the US Dollar Income Fund’s distribution increased by 20.8%, from US$5.7Mn in 2019 to US$6.9Mn in 2020.
A year ago, when the pandemic gripped the financial markets and sent prices plummeting, we took the decision that our investors were not going to suffer as a result. When a lot of companies, global and local, withheld paying dividends we felt we needed to support our investors and we will continue to do so in the future.
What about the reduction in Investment Income to $605mn in 2020 from $683.7mn in 2019?
Yes, there was a reduction in investment income due to the volatile performance of the markets, but we are managing our portfolios in what is still a challenging environment.
Despite this, there was spectacular growth in the Fund’s net sales of TT$805Mn. The intake in 2020 was ten times larger than net sales in 2019, which occurred despite the prevailing environment of uncertainty. It tells us that our investors are unfazed about investing in the most turbulent times and they are benefitting from UTC’s experience.
Further, our investment portfolios are managed by a team of professionals who are trained to look beyond short-term market fluctuations and determine whether an investment has value over the long term. We’ve continued to be very deliberate about the reinvesting strategy, how we reinvest, where we reinvest and what type of opportunities we look for.
Operational
Can I repurchase USD from my USIF Fund?
Customers with a US Dollar Income Fund, who do not want cash, can access funds via point-of-sale purchases using your US visa debit card, wire transfers or cheque.
Why was Bureau de Change service closed?
Last year, we took the decision to discontinue this service because, unlike commercial banks, UTC is not a primary dealer of foreign exchange. As such, we are not in receipt of an allocation from the Central Bank of Trinidad and Tobago (CBTT).
Our supply of USD was entirely dependent on what we purchased from customers and bought from other financial institutions, as a result, keeping the Bureau De Change was not sustainable.
Why does UTC charge US$5.00 on US third party cheque deposit?
To encash foreign cheques, our local bankers have asked that our unitholders make all foreign cheques payable to UTC, in keeping with compliance requirements. Once the cheques are made payable to a “third-party”, there is a US$5.00 charge. UTC receives no part of this fee; this goes directly to the bank that processes the cheque. To avoid this fee, we encourage our customers to have all foreign cheques made payable to the Corporation.
Why do I have to come in person to the branch to update my profile?
Having your profile updated, that is, ensuring we have accurate information for you, makes it easier for us to connect and communicate. However, these updates need to be validated, as such, we are required to have our customers come in for a very short period, to do so, in person.
To ensure the process is seamless, customers before they come in, can complete the customer registration form, attach all supporting documents, and then drop-off at any Investment Centre. If further documentation is required to complete the process, we will contact you.
The good news is, we are currently working on upgrading our technology infrastructure, so everything can be done online in the future. This is expected to be implemented by the end of 2021.
Why does cheque clearance take a while when I need access to my funds urgently?
UTC is an investment management company and as such, we are not part of the commercial banks’ clearing system. As such, the Corporation must wait approximately 10 days for a cheque to clear. The good news is, with the implementation of new technology before the end of year, we expect this time to be reduced.
As a non-card holder, can the cash withdrawal limit increase from $1,000?
We urge you to obtain a card for your TT Dollar Income Fund, which will give you daily access of up to $3,500 for cash transactions at the ATM and up to $20,000 for point of sale transactions.
Entrepreneurship
Why was the criteria between $3m-$30m in revenue for the Scale Up initiative? Is the UTC doing anything for small businesses?
Scale Up is just the start to building a supportive framework for our entire entrepreneurial sector. When companies with the potential to grow, are provided with the requisite tools, there is a ripple effect created across the economy, that benefit other entrepreneurs – small businesses, start- ups, and the more established enterprises. In our research, companies that are ready to “scale”, are the ones most likely to positively impact socio-economic development and the entire entrepreneurial network.
Scale Up is just one of our initiatives to help drive economic growth and stimulate employment in our economy. Another is our Online Urpreneur Series, which offers workshops, educational content and a Digital Entrepreneurial Community. Urpreneur showcases conversations with successful entrepreneurs aired over multiple digital platforms, offering insight and entrepreneurial expertise.
We will also be working with UWI Ventures to assist aspiring entrepreneurs and SMEs (small and medium enterprises) from idea creation to commercialisation.
Our goal is to support our entrepreneurs across all sectors –start-ups, small businesses as well as the more established ones.
Why has entrepreneurship become so important for the UTC?
Entrepreneurship has always been a big part of what we do. We felt that if we were to make a difference in the entrepreneurial sector, one way was to commit to making entrepreneurship a strategic pillar – and we did in 2019.
That’s why we have partnered with US-based EPA, Entrepreneurship Policy Advisors, which is led by a team of globally recognised experts who have been developing and running a programme on entrepreneurship since 2009. Known as Scale Up, it has brought massive change to entrepreneurial networks across the world.
Also, our online Urpreneur Series, offers workshops, educational content and platform for a Digital Entrepreneurial community. Urpreneur showcases conversations with successful entrepreneurs aired over multiple digital platforms, offering insight and entrepreneurial expertise.
Further, we will be working with UWI Ventures to assist aspiring entrepreneurs and SMEs from idea creation to commercialisation. Our goal is to support our entrepreneurs across all sectors – start-ups, small businesses as well as the more established ones.
Digital
What are the initiatives used to attract Gen Z and Millennials?
This segment is one we are most excited about, and we have so much to offer. To do so, we have been implementing many changes to the way we connect, engage and serve this market segment. For instance, last year, we did a slew of digital projects:
- Digital elements to our 2020 UTC Analyst Games
- We created a web show and online community called EATS (Everything and Then Some) that focused on financial management through the lens of entertainers, entrepreneurs and our UTC financial professionals.
- More recently, we launched a podcast and YouTube series called Urpreneur, which is available on all popular platforms such as Amazon, Google and Apple Podcasts.
These initiatives are in addition to our ongoing social media content and the relaunch of our website blog and newsletter, where you can find practical financial tips.
This is just the beginning as we strengthen our digital framework and expand our reach with engagement through all digital touchpoints.
Is a mobile app in the works for the TTUTC?
We are strengthening all our digital platforms to meet the needs of our Unitholders, and the mobile app will be one of our digital offerings. Our new technology infrastructure, which will be in place by the end of 2021, will help us meet our customers’ future needs and change your experience with us. It is just one of the ways we intend to improve your experience by offering more convenient ways to connect.
What is UTC doing to make U- Online transactions easier for customers?
We have heard your challenges on U-online, and we have great news! As part of our technological innovation, a whole new infrastructure is being put in place.
Our new U- Online platform will be ready before the end of 2021! It promises a totally different experience for you, the unitholder. Before we get there, you can call our Contact Centre at 648-6848, to assist you with your online transactions.
I am unable to complete specific U-Online transactions, especially when the mobitokens are not delivered to my mobile phone.
We understand your concern, and we are making every effort to enhance the U-Online experience of our customers. As such, we are redesigning and enhancing our platform. This new and improved U- Online will be made available to you by the end of 2021 and promises a different experience to unitholders.
To help with your transactions, we ask that you use the following alternative channels:
- 3rd party transfers i.e. transfer requests, completed via the Investment Centres.
- Outgoing ACH – register for ACH via Telephone or Investment Centres.
- Incoming ACH – Customers can send payments to UTC from their Banks via ACH or Standing Orders.
E- Statement
When will the UTC be moving towards e-statements for unitholders?
This is a small change with big results! It’s our transition from paper to electronic statements, effective June 1, 2021, and is all part of our digital thrust.
What are the benefits?
- Environmental Citizenship – with every click on your account, you can help save paper by reducing our carbon footprint
- Convenience – you can view your statements at anytime
- Secure – Statements offer an extra layer of defense, since your statements are accessed through your online portal.
- Cost – Absolutely free
While we have been reducing our paper usage internally, we can’t do it alone. It’s a small change, but together we can make a big impact.
