NAMAL Amana Equity Fund launched

by Lalin Fernandopulle

National Asset Management Ltd. (NAMAL), the pioneer fund manager with Amana Capital, a subsidiary of Amana Investments Ltd. on Thursday launched the NAMAL Amana Equity Fund.

The close ended fund based on Shari'ah principles will provide capital growth during the tenure. The long-term investment fund creates value for investments with high returns. Ian Ferdinando who represented NAMAL said the new scheme will give potential investors an upside potential for their money through fund management.

The fund's investments will be based on fundamental research of qualified companies to create long-term value appreciation to the fund. With a five-year maturity period the fund dividends will be exempted from tax.

"Though the equity market lagged behind at the initial stages during the past six to seven years it has grown tremendously now", he said.

The Initial Public Offer of the fund will be launched on November 6 and close on December 6 or earlier if the issue is fully subscribed.

The fund will offer 25 million units at Rs. 10 per unit during the initial offer to the public with the option to increase the offer up to a maximum of 50 million units in the event the issue is oversubscribed.