Lankapage Logo Recent Top Stories
CP 14 YEARS
Go Home Home Serving the Sri Lankan community globally since 2000
go to LankaPage.com

Leading News from Sri Lanka::

* Sri Lanka securities regulator licenses the country's first ever dollar fund
Wed, Jul 30, 2014, 10:47 pm SL Time, ColomboPage News Desk, Sri Lanka.

July 30, Colombo: Securities & Exchange Commission (SEC) of Sri Lanka today licensed the country's first ever dollar denominated unit trust today (30 July) with the approval of the Central Bank of Sri Lanka and the Ministry of Finance.

The new open-ended Fund that offers US Dollar returns, invests exclusively in dollar denominated Sri Lankan sovereign bonds, bank and corporate issued dollar bonds.

The Fund is managed by Ceylon Asset Management (CAM), with Deutsche Bank AG as the trustee and custodian.

The fund risk is currently limited to sovereign risk and bank guaranteed risk whilst avoiding exposure to Sri Lankan rupee currency risk.

The fund is dollar denominated while capital and income can be repatriated freely in foreign currency to the investors' bank account by the Trustee and Custodian Bank.

The minimum investment for the fund is US$ 1,000.

The global ratings agency, Fitch Ratings yesterday assigned the new Ceylon Dollar Bond Fund a 'BB-' Fund Credit Rating and 'V-5' Fund Volatility Rating.

Fitch considers CAM, which has over 14 years of experience in fund management, suitably qualified, competent and capable of managing the fund.

The fund expects to attract Sri Lankan expatriates and other US Dollar investors. Foreign investors and BOI companies can now invest in high yielding Sri Lankan dollar bonds via the fund.

"Dollar bond funds will assist enhance current investor base of the local unit trust industry and also enable benefits of dollar investment scale which was previously limited to SLR (Sri Lankan Rupees)," said Rohan Senewiratne, Consultant, Capital Market Development at SEC.

Dulindra Fernando, Managing Director of Ceylon Asset Management said the management hopes to attract foreign investors with a target return of over 4 percent a year.

ColomboPage - Recent 10 Stories
Sri Lanka stock exchange increases stakeholder engagement through social media
-- [34 minutes ago]
Sri Lanka's Attorney General indicts UPFA MP and 12 others in former MP Premachandra's murder
-- [49 minutes ago]
Sri Lanka's Mattala Rajapaksa International Airport to be closed at night to minimize losses
-- [58 minutes ago]
Sri Lanka Customs seize another container with a stock of ethanol
-- [1 hour and 10 minutes ago]
Sri Lanka Freedom Party prohibits party members from attending rallies of other political parties
-- [1 hour and 14 minutes ago]
Sri Lanka Police arrest former LTTE women's wing leader
-- [1 hour and 23 minutes ago]
"The final thought" : Indiana Buddhist Temple
-- [1 hour and 25 minutes ago]
Sri Lanka's Marxist party calls on government to dissolve parliament after April 23rd
-- [1 hour and 32 minutes ago]
Sri Lankan President pledges to resolve issues of every community equally
-- [2 hours ago]
Sri Lanka Cricket sends Seekkuge Prasanna to Australia as a stand by for Rangana Herath
-- [8 hours ago]

Copyright © 2000, 2014 by LankaPage.com (LLC) :
The news and other contents on ColomboPage are copyrighted property of LankaPage.com, LLC. Any unauthorized use of any information on ColomboPage may constitute a violation of copyright laws. You need written permission to reproduce, republish, post, transmit, broadcast or distribute, material from this site from LankaPage.com, LLC. However, news organizations or broadcasters in Sri Lanka may republish the news items in ColomboPage with proper acknowledgment to ColomboPage.