The stockmarket regulator has issued a directive scrapping its previous directive regarding conversion or liquidation of closed-end mutual funds on completion of tenure of ten years.
According to BSEC directive, total tenure, including another term of ten years, of the existing closed-end MFs will not be more than 20 years.
The asset managers may extend or go for redemption or conversion of the closed-end mutual funds to the open-ended ones, according to the BSEC directive.
Meanwhile, ICB Asset Management Company has decided to extend the tenure of Prime Finance First Mutual Fund, a closed-end mutual fund, for another 10 years up to March 14, 2029.
The ICB Asset Management Company extended the tenure as per BSEC order dated October 02, 2018 (gazette published on October 23, 2018), said a disclosure posted on the Dhaka Stock Exchange (DSE) website on Wednesday.