Sri Lanka’s CAL facilitates first cross-border share transaction by local investment bank

Sept 19, 2018 (LBO) - Capital Alliance (CAL), recently performed Sri Lanka’s first ever transaction of overseas stocks, a statement said. CAL partnered with Lanka Bangla Securities, a licensed stockbroker on the Dhaka Stock Exchange in Bangladesh to conclude this investment. “CAL has supported investors on the CSE for many years, but the liberalization of foreign exchange laws has really broadened the investment universe for Sri Lankans," Harinlal Aturupane, chief executive of CAL Securities said. "Our first international investment was on the Dhaka Stock Exchange in Bangladesh. The country is considered one of the fastest growing economies in the region and is currently a hotspot for investment." Previously, Sri Lankan investors were confined to investing in the Colombo Stock Exchange (CSE). However, following the liberalization of Sri Lanka’s exchange control regulations in November 2017, individuals and organizations domiciled in Sri Lanka are now permitted to invest in listed securities overseas. As per the revised law, a listed company can invest up to USD 2 Million per year, whereas an un-listed company can invest up to USD 500,000 a year and an individual may invest USD 200,000 in their lifetime. Capital Alliance (CAL) is Sri Lanka’s leading full service investment bank, and its subsidiary CAL Securities has established itself as a premier stockbroker on the Colombo Stock Exchange over the past two decades.