The Securities and Exchange Commission (SEC) on Tuesday approved three new mutual funds worth Tk 250 crore.
These are 1. Sandhani Life Unit Fund, 2. Mercantile Bank First Mutual Fund and 3. NCC Bank NRB Mutual Fund.
Sandhani Life Unit Fund will be of Tk 50 crore, of which sponsors will provide 5 per cent while rest of the fund will be collected through IPO of Tk 10 per share.
Sandhani Life Insurance Company is the sponsor of the mutual fund.
Mercantile Bank First Mutual Fund plans to raise Tk 100 crore.
Sponsors of the fund will provide Tk 10 crore, Tk 40 crore would be collected through pre-IPO and Tk 50 crore through IPO.Mercantile Bank is the sponsor of the fund.
NCC Bank NRB Mutual Fund plans to raise Tk 100 crore from the market by floating units with face value of Tk 10 each.
Sponsors of the fund would provide Tk 10 crore, Tk 40 crore would be collected through pre-IPO while 25 per cent of the fund is reserved for non residential Bangladeshis, Tk 20 crore would come from the local investors and the remaining 5 per cent would be reserved for other mutual funds.
The fund would be operated for 10 years