IDLC launches open-end mutual fund

IDLC Asset Management Ltd launched its first open-end mutual fund—IDLC Balanced Fund—at a programme at Sonargaon Hotel in Dhaka on Monday.

IDLC Asset Management is a wholly-owned subsidiary of IDLC Finance. IDLC Finance is the sponsor of the fund and IDLC Asset Management is its asset manager, the company said in a statement.

Investment Corporation of Bangladesh is the trustee and custodian of the fund.

IDLC Balanced Fund offers fund management through skilled fund managers mitigating investment risk.

Investors can invest anytime, any amount starting from Tk 5,000 (for individuals) and Tk 50,000 (for institutions) with the facility of anytime fund withdrawal at net asset value with the lowest exit load.

Investors can also check the present value of their investment every week on the company's website.

The objective of IDLC Balanced Fund is to provide the investors with regular annual income as well as capital gain in the long run.  AB Mirza Azizul Islam, a former caretaker government adviser, attended the event as the chief guest. “IDLC is launching its first mutual fund for the common people of Bangladesh,” said Arif Khan, CEO of IDLC Finance.

“As a result of mass participation presumably with a long-term orientation, our capital market will receive a good, stable flow of fund.”

Since individual investors will participate in the capital market through institutionalised products like mutual funds, volatility of the market will be lowered, Khan said.

“IDLC Balanced Fund will give people a tool to better manage their fund and grow it consistently over a longer horizon to materialise their aspirations of life,” said Rajib Kumar Dey, managing director of IDLC Asset Management.