BSEC approves draft prospectus of new open-end fund

Thursday, 13 June 2019

FE Report
The securities regulator has approved the draft prospectus of the CWT Emerging Bangladesh First Growth Fund.
The endorsement came at a meeting of the Bangladesh Securities and Exchange Commission (BSEC) at its office in the city on Wednesday.
The fund is open-ended with unlimited size. The initial size of the Growth Fund will be Tk 100 million.
The sponsor of the fund will contribute Tk 10 million while the remaining Tk 90 million will be collected from general investors through sales of fund units.
The face value of each unit of the fund has been fixed at Tk 10.
According to the official website of the Growth Fund, its objective is to generate growth of capital, with a secondary objective of current income through optimising asset allocation in the capital market and money market within regulatory framework.
Individuals, both resident and non-resident, institutions, both local and foreign, mutual funds and collective investment schemes are eligible to subscribe for the units of the fund.
A minimum of 50 per cent of realised income of the fund will be distributed as dividend in Bangladeshi taka in each accounting year, according to the fund's dividend policy mentioned on the website.
The CWT Asset Management Company, the fund manager of the CWT Emerging Bangladesh First Growth Fund, is also the sponsor of the fund.
Sandhani Life Insurance Company is the trustee of the growth fund, while BRAC Bank is the custodian.