Tk 50b Bangladesh Fund registered
Thursday, 28 April 2011
FE Report
State-run investment bank, Investment Corporation of Bangladesh (ICB), registered the trust deed of the Tk 50 billion Bangladesh Fund Thursday, paving the way for its quick trading in the country. The registration by a government sub-registrar means the country's largest open ended mutual fund now needs a final approval of the Securities and Exchange Commission (SEC) for its launching, officials said. "We hope we'll get the SEC approval by Monday," ICB managing director Mohammad Fayekuzzaman told the FE, following a brief trust deed registration ceremony at his office at Motijheel. After the SEC nod, the ICB plans to hold a road-show on the BF, highlighting its benefits and strength, he said, adding the mutual fund would give investors "better returns" and help stabilise the volatile stock market He described the BF as a milestone in the capital market's history, saying the creation of the fund shows that the government is serious about the growth of securities market. ICB and seven other state-owned financial institutions are sponsors of the BF with the ICB Asset Management Company is the fund manager and ICB Capital Management Company as the custodian. The co-sponsors are: Sonali Bank, Rupali Bank, Janata Bank, Agrani Bank, Bangladesh Development Bank, Sadharan Biman Corporation and Jiban Bima Corporation. According to the laws of mutual fund, a fund manager has to deposit ten per cent of the fund size to its account. "We have deposited the required amount of money to the fund's account on Thursday," Fayekuzzaman said. The ICB had said half of the fund would be invested in the country's stock market and the rest in the money market.
State-run investment bank, Investment Corporation of Bangladesh (ICB), registered the trust deed of the Tk 50 billion Bangladesh Fund Thursday, paving the way for its quick trading in the country. The registration by a government sub-registrar means the country's largest open ended mutual fund now needs a final approval of the Securities and Exchange Commission (SEC) for its launching, officials said. "We hope we'll get the SEC approval by Monday," ICB managing director Mohammad Fayekuzzaman told the FE, following a brief trust deed registration ceremony at his office at Motijheel. After the SEC nod, the ICB plans to hold a road-show on the BF, highlighting its benefits and strength, he said, adding the mutual fund would give investors "better returns" and help stabilise the volatile stock market He described the BF as a milestone in the capital market's history, saying the creation of the fund shows that the government is serious about the growth of securities market. ICB and seven other state-owned financial institutions are sponsors of the BF with the ICB Asset Management Company is the fund manager and ICB Capital Management Company as the custodian. The co-sponsors are: Sonali Bank, Rupali Bank, Janata Bank, Agrani Bank, Bangladesh Development Bank, Sadharan Biman Corporation and Jiban Bima Corporation. According to the laws of mutual fund, a fund manager has to deposit ten per cent of the fund size to its account. "We have deposited the required amount of money to the fund's account on Thursday," Fayekuzzaman said. The ICB had said half of the fund would be invested in the country's stock market and the rest in the money market.