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A new index fund hopes to capture the gains of Asia’s best performing bourse, with a top ten stock index that accounts for over half of market capitalisation in the local exchange. The Ceylon Index Fund will allow investors who miss out or are too busy to participate in Colombo’s gains, to take part with a minimum Rs 10,000 investment.
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The index backed fund will also be promoted overseas.
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The firm has already planned an office in Singapore.
Ceylon Asset Management Directors said the firm would bring in some Rs.
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50 million of its own money to the fund initially, with plans to attract over Rs. 300 million from the public by the year end
“We hope to attract over Rs. 1 billion from local sources alone by the end of 2006,” the Directors said.
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Colombo is the fifth best performer on dollar returns in the world after the oil money driven middle east markets like Egypt, Jordan, Dubai and Qatar.
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However Ceylon Asset Management Director Romesh Jayawickrama said that over 99 percent of t