How To Invest In Unit Trust In Sri Lanka

There are currently 14 unit trust management companies in sri lanka operating a total of 75 funds as at january 31 2015 while assets under management in the entire market have grown to rs 126.

How to invest in unit trust in sri lanka. They are long term investments ideally an investor should have a 5 10 year investment horizon in mind when investing in an equity fund. The securities and exchange commission of sri lanka sec as the licensing authority has the power to permit a fund management company referred as fund manager to launch a unit trust under the sec act. Senima investing 914 views. Sri lanka s unit trust industry.

Some funds pay dividends. There are different unit trusts each addressing a specific investment requirement. Unit trust sri lanka marketprices lk growth funds balanced funds indexed funds income funds all fund and finance activities sri lankan asset management companies. Today we are going to explain about how to join sri lanka share market.

The price of each unit is based on the fund s net asset value nav divided by the number of units outstanding. The fund manager will match a specific fund to an investor s requirements. But you can invest in unit trust with as little as rs 1 000. No single unit trust will cater to the requirements of all investors.

The main types of unit trusts in sri lanka are income funds money market funds gilt edged funds and equity funds. Returns from unit trusts you invest in a fund by buying units in the fund. Unit trusts were introduced to sri lanka in 1991 to provide an alternate investment for people to benefit from the capital market. 1 000 you have the privilege of earning a return from a well diversified portfolio of investments.

In this article we provide more clarity on unit trust investments. You need not commit long hours to make your investment decisions which includes analyzing information being constantly vigilant of equity and fixed income markets learning and adopting different. Unit trusts are structured investment instruments which provide investors with a diverse range of investment options which investors may not be open to otherwise. With a small amount as rs.

Unit trust investing srilanka duration. There is a capital gain when the price of the units rises above the price you paid for the fund. Unit trusts are unconventional type of investment for most of sri lankans. Unit trusts were introduced to sri lanka in 1991 to provide an alternate investment for the people of sri lanka to benefit from the capital market.