A mutual fund is a pool of professionally managed funds where fund houses / Asset Management Companies (AMCs) collect money from investors sharing a common investment objective and invest the in equity, debt, corporate bonds, government securities, money market etc.

In an open-ended mutual fund there are no limits on the total size of the corpus. Investors are permitted to enter and exit the open-ended mutual fund at any point of time at a price that is linked to the net asset value (NAV). In case of closed-ended funds, the total size of the corpus is limited by the size of the initial offer.

Expert Fund manager:

Backed by a dedicated research team, investors are provided the services of experienced fund managers who handle financial decisions based on the performance and prospects available in the market to achieve the objectives of the mutual fund scheme.

Higher return potential:

Based on medium or long-term investment, mutual funds have the potential to generate higher return, as you can invest in a diverse range of sectors and industries.

Economies of scale:

The investors will be able to save significantly in transaction costs due to their access to a large number of securities by purchasing a single unit of the proposed mutual fund.



Small investors cannot make meaningful investments across different assets due to smaller funds available to them. Investing in mutual fund allows the investors to diversify their investment in different asset classes such as corporate & government bonds, as well as different sectors.


The fund managers provide regular information about the current value of the investment which gives a clear picture about how the investments are doing. Moreover, all the mutual funds are regulated by the Bangladesh Securities and Exchange Commission (Mutual Fund) Rules, 2001 so it can be assured that the investments are managed in a disciplined and regulated manner and in safe hands.

Tax Benefits:

Dividend income from the Fund will be tax-free for up to Taka 25,000 as permitted under the Finance Act. Investment in the Fund will qualify for investment tax credit at a rate of 15% under section 44(2) of the Income Tax Ordinance 1984.

One can invest by approaching a registered sales agent of Mutual funds or the respective offices of the asset manager who manages that particular mutual fund. An application form has to be filled up giving all the particulars along with the cheque or EFTN for the amount to be invested.

Individuals (singly or joint), Institutions (local and foreign), other mutual funds, provident funds, gratuity, trusts and pension funds can invest in a mutual fund.

Minimum purchase amount for individual investors is 500 (Five Hundred) Units and for institutional investors is 10,000 (Ten Thousand) units.

Yes, you must have a BO account to invest in a mutual fund. The allotted units will be credited to your BO account after purchase.

Your money will be invested in capital market and money market instruments adhering the Mutual Fund Rules, 2001 and the investment policy defined on the trust deed of the mutual fund.

The performance of a particular scheme of a mutual fund is denoted by Net Asset Value (NAV). NAV is the market value of the securities held by the mutual fund. Since market value of securities changes every day, NAV of a scheme also varies on day to day basis. It is calculated by dividing the total market value of the mutual fund’s assets, minus the fund’s existing liabilities by the number of units outstanding.

The price a unit holder is charged while investing in an open-ended scheme is called the sales price.

Repurchase or redemption price is the price at which an open-ended scheme purchases or redeems its units from the unitholders.

Mutual funds are market linked instruments. They invest in stocks, fixed income securities, arbitrage opportunities deemed fit by the Fund manager who is a financial expert. These market linked securities can go up or down in value as per the various macro and micro economic conditions. There is no guarantee of return on Mutual funds. The mutual fund returns can vary from past returns as well. However, the asset manager creates a portfolio while accounting for the prevailing Market Conditions like Stock Markets performance (Price to Earning, Price to Book, Dividend Yield), Interest Rates, GDP growth Rates and other important macroeconomic factors. The asset manager optimizes the portfolio to offer maximum possible expected return for a given level of risk through careful selection of asset classes.

Dividend income from the Fund is tax-free for up to Taka 25,000 as permitted under the Finance Act.

While there is no capital gain tax arising from investment in mutual funds for individual investors.


Blue-Wealth Assets Limited is an asset management company licensed by Bangladesh Securities and Exchange Commission and offers a broad selection of investments, advice, retirement services, and insights to individual investors, institutions, and financial professionals.



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