Tag Archives: Bank of Ceylon

First Capital Money Market Fund – Fastest to Reach LKR 20bn in Assets Under Management

The First Capital Money Market Fund has been the fastest fund in its category (Open-Ended Money Market Fund) to surpassed LKR 20 billion in Assets Under Management. The fund is managed by First Capital Asset Management Limited the wealth management arm and subsidiary of First Capital Holdings PLC (the Group).

The Fund is the best performing Unit Trust in its category, delivering a return of 11.98%, the highest Compounded Annual Growth Rate (CAGR) for the past 5 years, as of February 2021. The fund is licensed and regulated by the Securities and Exchange Commission of Sri Lanka with Bank of Ceylon acting as the Trustee.

“The fund is used as a de facto savings account yielding a higher rate compared to a one year FD ceiling rate of a Licensed Finance Company and over 250 basis points above a typical savings account,” said Kavin Karunamoorthy, AGM – Asset Management, First Capital Asset Management Limited.  “Leveraging on market opportunities, interest rate fluctuations and our industry expertise in fixed income securities we have been able to compete with the Bank based Savings segment with our Money Market Fund, offering clients an alternative investment product that offer better interest rates, flexibility to conveniently withdraw funds, and peace of mind,” concluded Karunamoorthy.

First Capital is a member of the Janashakthi Group focused on delivering ‘Performance First’ through its operations as primary dealer, stockbroker, corporate advisory, debt structuring and wealth management. With over three decades of expertise in providing capital market solutions, First Capital Holdings PLC is the only listed full-service investment institution in Sri Lanka. First Capital Holdings PLC is rated [SL]A with Stable outlook by ICRA Lanka Ltd.

 

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Caption – In Photo Kavin Karunamoorthy, AGM – Asset Management, First Capital Asset Management Limited

Sri Lankan shares hit more than 2-wk closing low led by banks

FIRST CAPITAL’S HEAD OF RESEARCH, DIMANTHA MATHEW, SPEAKS TO REUTERS.

Sri Lankan shares fell for a third straight session on Friday to close at their lowest in more than two weeks, as a dollar rally to a 14-year peak after an interest rate increase by the U.S. Federal Reserve earlier this week kept investors subdued.

The 25-basis-point rate increase could hike borrowing costs of foreign capital for Sri Lanka and force the coalition government to borrow locally at higher interest rates, which could also result in movement of money from equities, analysts said.

The Fed also signalled a faster pace of increases in 2017, partly as a result of changes anticipated under a Donald Trump presidency, with the U.S. central bank hinting at three rate hikes next year instead of the two foreseen as of September.

The Colombo stock index ended 0.27 percent weaker at 6,268.61, its lowest close since Nov. 30. The bourse fell 0.88 percent for the week, its second weekly fall.

A block deal in Seylan Bank Plc boosted turnover, with dealers saying state-owned Bank of Ceylon sold 13 million shares to a foreign investor.

“A sizeable crossing of Seylan Bank boosted the turnover. Other than the Seylan trade, there was nothing. The market is getting slower by the day with the holiday mood,” said Dimantha Mathew, head of research, First Capital Equities (Pvt) Ltd.

Shares of Seylan Bank Plc ended steady, while Lanka ORIX Leasing Company Plc fell 4.49 percent and conglomerate John Keells Holdings Plc lost 1.14 percent.

Sri Lanka Telecom Plc dropped 2.61 percent, while Commercial Leasing and Finance Plc fell 5.88 percent.

Turnover stood at 1.86 billion rupees ($12.51 million), well above this year’s daily average of 753.4 million rupees.

 

Foreign investors bought a net 1.35 billion rupees worth of shares on Friday, extending the year-to-date net foreign inflow to 1.87 billion rupees worth of equities.

($1 = 148.6500 Sri Lankan rupees)

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Biju Dwarakanath)