'ICB AMCL CMSF Golden Jubilee MF' trust deed signed

Capital Market Stabilisation Fund (CMSF) is set to launch a new closed-end mutual fund titled "ICB AMCL CMSF Golden Jubilee Mutual Fund".

In this regard, a trust deed signing ceremony was held at Investment Corporation of Bangladesh (ICB) head office on Monday.

Md. Monowar Hossain, chief of operation of CMSF, and A.T.M. Ahmedur Rahman, CEO of ICB Asset Management Company Ltd, signed the deed on behalf of their organisations.

The size of the fund is Tk 1.0 billion and face value per unit is Tk 10. The CMSF, sponsor of the fund, will provide Tk 500 million which is 50 per cent of the fund size, according to a press release.

CMSF is the sponsor and ICB AMCL is the fund manager of the "ICB AMCL CMSF Golden Jubilee Mutual Fund".

Bangladesh General Insurance Company (BGIC) will act as the trustee and BRAC Bank Ltd will act as the custodian of the fund.

Md. Nojibur Rahman, chairman of the CMSF, Prof. Dr. Mohammad Tareq, chairman of the Golden Jubilee Mutual Fund Committee, Abul Hossain, managing director of ICB, Mr. Ahmed Saifuddin Chowdhury Minto, managing director & CEO of Bangladesh General Insurance Company (BGIC), representatives of BRAC Bank Ltd and CMSF officials were present, among others at the signing ceremony.

"This fund will help the market to raise its depth through investing in potential shares," said Prof. Dr. Mohammad Tareq, chairman of the Golden Jubilee Mutual Fund Committee of CMSF.

Abul Hossain, managing director of ICB expressed his optimism that there will be 100 per cent subscription in this fund.

"If this fund becomes successful, it will reduce the uncertainty among the investors about closed-end mutual fund", he said.

He expressed his optimism that the fund will be successful and it will create a positive impact and boost up the confidence of investors on the mutual fund.

Md. Monowar Hossain, chief of operation of CMSF said this fund will contribute a lot to stabilize the market. He also emphasised on the significant contribution of the relevant entities.

Md. Nojibur Rahman, chairman of the CMSF said it is a good initiative by BSEC to increase the depth and quality of the capital market and this fund is dedicated to the Father of the Nation, Bangabandhu Sheikh Mujibur Rahman and to commemorate the Golden Jubilee of the independence and Mujibborsho.

"This fund will protect the interest of small investors and will be a role model of the mutual funds industry," he hoped.

He said the BSEC and CMSF have made a good combination of the best organization of the market to open the door of opportunities for the investors.

Earlier, the securities regulator had issued rules for the CMSF through a gazette notification published on June 27, 2021 to help revitalise the capital market.

The objective of the CMSF is to support the country's stock market alongside settling investors' claims on undistributed or unsettled dividends.

According to the BSEC officials, the CMSF has so far received above Tk 4.41 billion against cash dividend and Tk 2.46 billion against stock dividend from the issuers.

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