BSEC okays draft prospectuses of two mutual funds
Brac Bank is the custodian for both the funds
The Bangladesh Securities and Exchange Commission (BSEC) has approved the draft prospectuses of EDGE Al-Amin Shariah Consumer Fund and ICB AMCL CMSF Golden Jubilee Mutual Fund - two open-ended mutual funds.
The commission approved the prospectuses at its 829th meeting on Tuesday, said a press release.
Open-ended mutual funds have no mandatory endpoint, and according to current regulations, their units are not listed with stock exchanges.
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Therefore, investors buy and sell open-ended fund units based on current asset value from the asset manager's office or through authorised agents.
Brac Bank Ltd is the custodian for both the funds.
EDGE Al-Amin Shariah Consumer Fund
According to BSEC, the primary target size of the fund is Tk25 crore. Of this, the sponsor will provide Tk2.5 crore and the remaining Tk22.5 crore will be collected by selling the mutual fund units to investors at a face value of Tk10 each.
Sandhani Life Insurance Company Ltd is the trustee while EDGE AMC Ltd is the asset manager who will focus on mid-and large-cap stocks, while capital protection will get high priority.
ICB AMCL CMSF Golden Jubilee Mutual Fund
The primary target size of the fund is Tk100 crore. Of this, the sponsor Capital Market Stabilization Fund (CMSF) will provide Tk50 crore, and ICB Asset Management Company will provide Tk20 crore.
Of the remaining amount, Tk25 crore will be collected from the investors through an initial public offering (IPO) and Tk5 crore will be used as pre-IPO placement.
Bangladesh General Insurance Company Limited is the trustee while ICB Asset Management Company Ltd is the asset manager who will focus on mid-and large-cap stocks, while capital protection will get high priority.
