Close-end NLI First MF to be open-end fund

Unitholders of NLI First Mutual Fund (NLI1STMF) decided to convert the close-ended mutual fund with 10-year tenure into an open-ended mutual fund as its 10-year tenure expired on February 06, 2022.

The decision was taken in a meeting on Wednesday, said the fund manager in a statement.

Almost 100 per cent of the unitholders representing 69.29 per cent of units of the fund voted for the conversion of the fund, it said.

The unitholders’ meeting was presided over by Investment Corporation of Bangladesh (ICB) Managing Director Md Abul Hossain. ICB is the trustee, VIPB Asset Management Company is the fund manager, and National Life Insurance Company is the sponsor of the fund.

ICB Chairman Kismatul Ahsan, and VIPB AMC Chairman Zia Uddin Ahmed, and CEO Shahidul Islam, and National Life Insurance Company CFO Probir Chandra Das attended the event.

NLI1STMF was listed on Dhaka and Chittagong stock exchanges on February 06, 2012, with an initial size of Tk 45.8 crore. The fund has been one of the best performing mutual funds in Bangladesh in the last 10 years, according to the fund manager.

The fund has paid a total cash dividend amounting to Tk 52.1 crore in its 10-year life. As of February 06, 2022, the fund’s size in terms of total net asset value (NAV) at market value was Tk 75.2 crore.

The fund generated annualized compound rate of return of 14.01 per cent during the period when the index return of DSE (DGEN and DSEX) was 4.93 per cent.