Our Story!
We are Not Poor. We just invest poorly.
In Kenya, there has traditionally been a heavy reliance on physical assets, we equate wealth to physical assets, which makes us asset rich and cash poor. To change this, we started VUKA. VUKA is Kenya’s first alternative to direct Real Estate Investments. Founded in 2021, Vuka, meaning crossover, began amid the unexpected challenges brought on by the Covid – 19 crises. During that period, we observed numerous Kenyans encountering significant challenges in accessing liquidity, despite their ownership of assets. As a result, we resolved to provide a lasting solution leveraging our expertise and robust presence in the real estate sector.
What is Vuka?
Vuka is an exclusive invite only wealth tech aggregator platform regulated by the Capital Markets Authority and managed by Acorn Investment Management Limited. Vuka is a digital platform that is revolutionizing wealth management for retail investors by providing an opportunity to retail investors to invest in the credible income-generating Acorn Student Accommodation Income Real Estate Investment Trust (ASA I-REIT)
Custodian: NCBA Bank
What is the Acorn Student Accommodation Income Real Estate Investment Trust (ASA I-REIT)?
Estate Investment Trusts) (Collective Investment Schemes) Regulations, 2013. Its primary objective is investment in stabilized income generating purpose-built student accommodation (PBSA) properties.
Trustee: Cooperative Bank of Kenya
REIT Manager: Acorn Investment Management Ltd.
Assets: Qwetu Students Residencies.
What is a Real Estate Investment Trust?
A real estate investment trust (REIT) is a regulated collective investment vehicle that owns, operates, and invests in a real estate asset by pooling funds from a group of investors. REITs (Real Estate Investment Trust) are structured as a trust where an investor owns an interest in real estate assets and earns returns from income and capital gain.
Why should I invest in a REIT?
- Portfolio Diversification: REIT’s have different long- term investment characteristics creating diversification when combined within a single portfolio.
- Consistent Income: I-REITs are required by law to pay out at least 80% of their income to unit holders in the form of dividends. Consequently, they generate a stable and consistent income stream for investors.
- Tax Exemption: The I-REITs enjoy various tax considerations making them an attractive asset class for investors. REITs are exempt from income tax except for payment of withholding tax on interest income and dividends. Equally, REITs are exempt from stamp duty, value added tax and capital gain tax.
- Liquidity: REITS allow an investor to easily buy units and it is easier to sell these units wholly or partially as they are tradable.
- Transparent & Regulated: The Acorn I-REIT is a transparent investment vehicle and is regulated by the capital markets authority and the units are listed under the Nairobi Securities Exchange Unquoted Securities Platform.
- De-Risked/Low Risk: The Acorn I-REIT units are asset-backed by tangible assets. (Qwetu & Qejani Student Residencies). This means your principal investment is backed by operating and high-quality assets.
Who can become a member of Vuka?
A person over the age of 18 years who is a Kenyan citizen with a National ID or passport, or a Kenyan resident holding an alien card and a KRA PIN, can become a Vuka member. Chamas or groups can also join through their authorized representatives.
Who is qualified to become a member?
Vuka is ideal for conservative to bold investors who are looking for a low-risk investment and exposure to real estate and are looking for medium to long term investments (Over 3yrs) with regular dividends and capital appreciation. Please note that whilst you can invest for whatever duration you wish, Vuka is not suitable for short-term investors (less than one year) as you will not be able to enjoy all the benefits for such short durations.
Why is Vuka Exclusive and Invite only?
At Vuka, we believe in fostering a close-knit community of like-minded individuals who share a common vision for financial success. Our exclusive and invite-only approach is designed to create a personalized and meaningful experience for our members. By extending invitations to join, we aim to establish a deeper connection with each member, getting to know them and ensuring they have a comprehensive understanding of our investment club model. This not only enhances the quality of interactions within our community but also allows us to provide tailored support to help our members achieve their financial goals. We believe in the power of a curated community, where active engagement and shared values drive collective success. If you are interested in becoming a part of this unique experience, reach out to us, and let us explore the possibilities together.
How can I Join Vuka?
To join the exclusive Vuka investment club, you need to receive an invitation from an existing member or from one of our relationship managers. Simply visit our website https://vuka.co.ke/ to sign up, email us at [email protected] or call us 0800730333 and our customer care team will reach out with more information and provide you with the registration link.
What are the tax implications on my investment?
Due to the regulation in place, REITs are exempt from various taxes and thus do not incur any income and capital gain tax. REITs also do not pay any stamp duty on transfer of assets. Dividends paid to Vuka members are taxable to the investor. Members thus experience a lesser tax incidence.
