This Slide about the Current situation of Mutual Fund in Bangladesh

2. Current Status of Mutual Fund inCurrent Status of Mutual Fund in
BanglaBangladeshdesh

3. Md. Ridwan Reza
Assistant Professor, Department of Business Administration
Notre Dame University Bangladesh
Md. Munna Chowdhury ID# 2-15010316
Tanseer Hossain Rythm ID# 2-15010309
Syeda Tahrima RubaiathSyeda Tahrima Rubaiath ID# 2-15010309
Dipa Rani NandiDipa Rani Nandi ID# 2-15010309
Md. Emon AhmedMd. Emon Ahmed ID# 2-15010309
Md. Rafiul IslamMd. Rafiul Islam ID# 2-15010309
Submitted to
Submitted by:

4.  What is Mutual Fund
 History of Mutual Fund
 Types of Mutual Fund
 Key Player of Mutual Fund
 Current Status With Research
 ICB Capital Structure
 SWOT Analysis
 Findings
 Limitation
 Conclusion
 Recommendation
Topics that will be covered

5. What is MutualWhat is Mutual
FundFundMutual fund is an open-ended fund operated by an
investment company which raises money from
shareholders and invests in a group of assets, in
accordance with a stated set of objectives. They are
sometimes referred to as Unit Fund, Collective Fund.

6. History of MutualHistory of Mutual
FundFund

7. Types of Mutual Fund
a) Open-Ended: Open-end mutual funds must be
willing to buy back their shares from their
investors at the end of every business day at
the net asset value computed that day.
 sell shares to the public every
business day
 shares are also priced at net asset
value.
 no legal limit on the number of shares
in Bangladesh
b) Close-Ended: A closed-end fund has a maturity period which generally ranging from
5 to 10 years.
 shares to the public only once
 shares are listed for trading on Dhaka stock exchange.

8. Key players
involved in mutual fund operation
According to SEC (Mutual Fund Ordinance) 2001, there are four
parties involved in floatation of a mutual fund.
Sponsors
Trustees
AMC’s
Custodian
promoter of the company
authorized to act as issue and portfolio manager of the mutual
funds which are issued under SEC (Mutual Fund) Rules 2001.
There are 19 AMCs in Bangladesh at present
who is registered with the SEC, holds the securities of
various schemes of the fund in its custody.
hold the property of the mutual fund for the
benefit of the unit holders
.

9. Graph And Chart:

10. Design AndDesign And
AnalysisAnalysis
The Design and Analysis are based on
the first hand information extracted from the
officials of the asset management companies.
We continued our research according
to find the Solution of the following question:
 At which stage Bangladesh’s mutual fund industry is today?
 How investors’ trust on the funds can be built?
 What might be stopping the regulators in improving the
industry?
 Internationally why do we stand?
 What are the major challenges before mutual fund to excel?
 Do mutual funds create value for investors?

11. ICT CapITal STruCTure
(DIfferenCeS beTween 2010 anD 2015)
ICB is a merchant bank as well as a statutory corporation. It has own ordinance 1976.
It
is also public limited company. It is constructed by company Act. of 1949. The main
source of capital is issuing of capital is issuing shares to the public, long term loans and
debentures.
Capital Structure as on 2010 Capital Structure as on 2015

12. SWOT Analysis
SWOT analysis is an effective tool for analyzing of the efficiency and
effectiveness of an organization. Here the figure of the SWOT analysis of the
ICB Mutual Funds. It is consist of four words which are:

13. During the Researching article of ICB, we have found some problems,
which can affect the fund future and the confidence of the investors. There are some
problems related to fund.
 Lengthy process of paying dividend
 Lacking of employees proper position according to their skill and educational
background
 Lacking of advertising to introduce the mutual fund management to the people
 No special concentration of ICB mutual fund management

14. Conclusion
Mutual funds are continuously helping in
building brand value and loyal customer
base. There remains a huge gap between
Institution investors and general investors.
Institution investors are far ahead from the
General Investors in respect of technical
know-how, knowledge and risk taking
propensity. Mutual funds have emerged as
the best in terms of variety, flexibility,
diversification, liquidity as well as tax
benefits.
Overall the current status of mutual fund are very poor in Bangladesh. Funds are
highly diversified and because of their high diversification they have reduced total
risk of portfolio. Whereas, other mutual funds have low diversified Portfolio and have
more risk.

15. Investing by costly borrowing funds should be reduced.
Management may look for source of less costly funds and
increase income.
Dividend policy should be fair to all funds so that the investors
may be satisfied.
Dividend policy should be earning basis, not year basis.
Employees should set up proper positioned according their skill
and education background.
Recommendation