Old Mutual Introduces Unit Trust Offering Investment Growth with Insurance Protection

Old Mutual Uganda, through its investment arm Old Mutual Investment Group (OMIG) in partnership with Old Mutual Life Assurance Uganda (OMLAU), has officially launched an enhanced Unit Trust product integrating life and education protection benefits for investors.

The enhanced Unit Trust now enables customers who maintain or grow their fund balance each quarter to access additional life insurance benefits.

These include the Life Care Benefit, which provides financial assistance in case of bereavement of the unit trust holder, the Lifetime Benefit, which supports the account holder in case of permanent disability or critical illness; and the Safe Scholar Benefit, which provides financial support for school fees and scholastic materials to beneficiaries if the account holder passes away.

Speaking at the launch, Zacchaeus Kisesi, Managing Director of OMIG, said the enhancement reflects Old Mutual’s continued commitment to delivering greater value to investors while encouraging disciplined, long-term wealth creation.

“We understand that many customers sometimes withdraw their investments prematurely to meet unexpected life events. With this enhancement, we are ensuring that our clients can continue growing their wealth while also securing meaningful protection for themselves and their families. This is about strengthening financial resilience without disrupting long-term investment goals,” he said.

Kisesi noted that the firm observed a pattern where many clients were withdrawing funds prematurely to deal with emergencies such as funeral expenses, disability, critical illness, or urgent family obligations.

To address this challenge, the investment manager partnered with its sister company, Old Mutual Life Assurance Uganda Limited, to embed structured life benefits into the unit trust product.

The partnership between OMIG and OMLAU is structured under Old Mutual’s Integrated Financial Services model, which enables customers to access complementary financial solutions within a unified ecosystem.

By combining professional fund management expertise with life assurance capabilities, the enhanced Unit Trust provides both wealth accumulation and financial protection within one structured offering.

“Through this partnership, we are extending life and education benefits to Unit Trust investors in a way that supports their long-term financial stability. Rather than viewing investments and insurance as separate decisions, customers can now experience both growth and protection seamlessly,” said Patrick Kimathi, Managing Director of OMLAU.

“Life insurance is a product that is often pushed rather than requested. Rarely do people walk into an office asking to buy a life insurance policy, yet it remains critical for individuals, families, and communities.”

Bernard Obel of the Insurance Regulatory Authority said initiatives that combine investment and insurance demonstrate how financial services can better respond to the evolving needs of consumers.

“Insurance exists to turn uncertainty into resilience and risk into protection,” Obel said, noting that innovation should ultimately improve the quality of protection available to consumers.

He added that Uganda’s evolving risk landscape and global economic uncertainties make financial protection increasingly important for households and businesses.

Denis Kizito of the Capital Markets Authority Uganda said the initiative reflects the continued development of Uganda’s capital markets and the growing role of collective investment schemes in expanding investment access.

“Unit trusts allow ordinary Ugandans to participate in professionally managed investment portfolios and share in the long-term growth of the economy,” Kizito said.

He noted that the addition of life protection helps address the reality that investors often face unexpected financial shocks that can interrupt their investment journey.