Invest in mutual funds, bonds to avoid risks: Shibli

Bangladesh Securities and Exchange Commission (BSEC) has advised risk-averse general stock investors to invest in mutual funds and bonds in the volatile market.

“Those who don’t want to take too much risk can invest in mutual funds and bonds,” said its Chairman Prof Shibli Rubayat-Ul-Islam at an event in Mymensingh on Saturday.

“Mutual funds pool money from many investors and channel it into securities such as stocks, bonds, and other assets. Once profits are logged, the fund manager disburses them among the unit holders,” he said.

Before betting any stocks and securities, however, investors need to acquire basic knowledge about the stock market to be a smart investor, said the BSEC chief.

“Take investment decisions with a cool head,” he told the investors urging them not to give ear to rumors.

Speaking at the investor education conference organised by the BSEC and the Bangladesh Academy for Securities Market (BASM), State Minister for Cultural Affairs KM Khalid said,”Capital market investors need to be patient and learn. Only then, they make profits.”

“Investment is for financial comfort and savings. As a result, investment protection is required.”

Former BSEC Commissioner Arif Khan and BSEC Executive Director Mohammad Rezaul Karim presented keynote papers separately at the event.

BSEC launched the Investment Education Program in January 2017, and since then, training programs for capital market investors have been run under various short, middle, and long-term programmes. The programme was inaugurated by Prime Minister Sheikh Hasina.