Nabil Balanced Fund -I

Transcription

1 Nabil Balanced -I

2 Table of Contents Concept of Mutual s Types of Mutual Parties Involved in Mutual Advantages of Mutual Valuation Concept (NAV) Structure of Nabil Invest (NI) Mutual 2

3 Concept A Mutual is a investment avenue that pools money from several investors. Investors Collected fund is then invested in financial instruments such as Stocks, Bond/Debentures, Govt. Securities etc. The return from the investment is distributed proportionately among the investors on the basis of the units held by each Investor. Thus a Mutual is the most suitable investment for the common man as it offers an opportunity to invest in a diversified, professionally managed basket of securities at a relatively low cost. Mutual in Nepal is regulated by SEBON ( Passed Back to Returns Generate Securities Pool their Money with Manager Invests in 3

4 Types of Mutual s Open Ended Investors can buy/sell the unit from/to the fund manager at anytime. Closed Ended These are issued through a Public Offering after which they are traded in the secondary market (NEPSE) and has fixed maturity time. 4

5 Parties Involved as per MF Regulations, 2010 Sponsor Responsible for registering the Mutual Paid-up Capital of NRs. 1 Billion At least 5 years in operation Earned profit for last 3 years continuously Paid up capital not less than net worth Supervisor Act as a Guardian and safeguard the interest of the unit holders of the Mutual At least 5, appointed by the Sponsor Group of Experts having clean standing with academic qualification and experience in various Industries Manager Responsible for the preparation, registration and operation of the schemes under the Mutual Assigned by the Sponsor Paid up capital of NRs. 100 million At least 51% stake of the Sponsor Licensed by SEBON to work as a Manager Responsible for prudent use of the Unit Holders investments and operate the schemes as per the Offer Document Depository Responsible for Record Keeping, Name Transfers, Dividend Distribution, etc. Paid up capital of NRs. 100 million Licensed by SEBON to work as a Depository 5

6 Advantages Professional Management Nabil Invest, with its team of experts and analysts, will manage the Mutual Various Analysis Tools are considered to provide investors with the maximum possible returns Diversification Due to the size, Mutual is inclined towards diversification of the portfolio to reduce risk Convenient Administration Manager is responsible for the administrative tasks involved with the assets of the portfolio Return Potential Since the Portfolio is well diversified and managed by highly skilled Analysts, and Managers, the Return Potential is very high Low Costs Investing directly in the Secondary Market involves various fees and the fees associated with small investments are proportionately higher than bigger ones Hence small investors lose more money in small investments Transparency According to the Mutual Guidelines 2067, Mutual Manager has to publish the Net Asset Value(NAV), Units Sold, and Buy-back prices at least once in a week. Additionally, details of Investment Amount, Market Price of Investments, Income and Expenditure of the, and NAV have to be published once every month and reported to SEBON and Supervisor Choice of Schemes Since Mutual s have various Schemes designed for various Investors, all income groups can purchase Units at their discretion Tax Benefits Capital Gains and Dividend Incomes are Tax Exempt at various Capital Markets in the World. Some even facilitate the deduction of Mutual Investments from Taxable Incomes Similar Tax Benefits could be introduced by SEBON and Government of Nepal very soon Liquidity Mutual s are listed in the Secondary Market in case of Closed Ended Mutual and can be traded in the secondary market In the case of Open Ended Scheme, Manager buys/sells the unit during the business days. Regulated (by SEBON) Mutual is regulated by govt. body ( In the case of Nepal SEBON) Regular publication of NAVs, Costs of Investments, Units Purchased, etc is mandatory by law 6

7 NAV and Rate of Return NAV or Net Asset Value is the Market Value of the Assets per Unit after deducting the Liabilities NAV is calculated using the formula: (Market Value of s Investments + Accrued Income- Liabilities-Accrued Expenses) No. Of Shares or Unites Outstanding 7

8 Structure of Nabil Mutual Sponsor (Nabil Bank Ltd.) Manager (Nabil Investment Banking Ltd.) Mutual Supervisor Depository (Nabil Investment Banking Ltd.) S.N. Names 1 Mr. Pawan Kumar Ojha 2 Prof. Dr. Bijay Kumar K.C. 3 Mr. Pushpa Lal Shrestha 4 Mr. Binod Babu Kafle 8

9 Thank You