This is our medium risk fund. It invests in a diversified portfolio of Government securities, deposits & Corporate debt of banks, finance companies & corporates. It is not independently rated, but the weighted average of the underlying investments falls between BBB+ and A-. The primary objective of this fund is to offer attractive returns to its investors. Therein we deploy funds across medium to longer duration positions. Given the aforementioned investment strategy, overnight liquidity could be limited. However, we require only a minimum commitment of a period of 1 month. Post the duration funds can be withdrawn without any penalties.
Past performance is not an indication of future performance. Investors are advised to read and understand the contents of the explanatory memorandum before investing. The annualized return is variable and subject to change. The fund is licensed by the Securities Exchange Commission (SEC).
| Fees charged to the Fund | |
|---|---|
| Management Fee | 0.50% of the NAV |
| Custodian Fee | 268,800 per annum |
| Trustee Fee | 0.20% of the NAV |
| Other Expenses | 772,475 per annum |
Key risks of the fund
Investment in units is not a cash deposit and is not under the protection of the Deposit Insurance Scheme. Therefore, there is risk that investors may not receive the entire investment amount.
Eg: Default by issuers of the securities in the case that the issuer cannot pay the principal and interest as specified.
Instruments that the fund can invest in
• Treasury bills, treasury bonds and other securities issued by the Government of Sri Lanka
• Debentures, securitised papers and other fixed income corporate debt securities
• Repurchase Agreements
• Deposits in Licensed Commercial Banks or Licensed Specialised Banks or registered finance companies