Shanta First Income Unit Fund's public subscription opens

The public subscription of Shanta First Income Unit Fund (SFIUF) began on Wednesday whose initial size is Tk 200 million.

The securities regulator - Bangladesh Securities and Exchange Commission (BSEC) approved the prospectus of Shanta First Income Unit Fund on January 16 this year.

Of Tk 200 million, Tk 20 million will come from sponsors, while remaining Tk 180 million will be collected through sales of unit.

Shanta Asset Management Company Limited is the sponsor and fund manager of Shanta First Income Unit Fund while Bangladesh General Insurance Company (BGIC) and Brac Bank are the trustee and custodian of the fund respectively.

Objective of the fund is to provide attractive dividend payments to the unit holders through achieving capital appreciation as well as earning dividend and interest income and building up reserves, according to the fund's prospectus.

The face value of the fund per unit is Tk 10. The minimum subscription for individual investors is 500 units while 5,000 units per application for institutions.

The fund's target group are individuals -both resident and non-resident, institutions-both local and foreign, registered mutual funds, collective investment schemes, trusts and societies/foundations are eligible to apply for investing in the fund.

Dividend policy: Being an 'Income Fund', the fund shall distribute at least 70 per cent of realized 'annual income' of the fund as dividend net of provisions in each accounting year.

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