The captioned units of the CAL Five Year Optimum Fund were officially listed on the Colombo Stock Exchange (CSE) on 1st February 2024. Accordingly, 193,904,428 units of the fund were listed by way of an Introduction. This is the first unit listing in over a decade, warranting the occasion to be marked with a special Bell Ringing Ceremony.
The event was attended by Capital Alliance Investments, CEO, Mr. Gayan De Silva; Capital Alliance Partners, CEO, Mr. Nishok Goonasekera; Capital Alliance Investments, Assistant Vice President, Ms. Cheryl Pasker; CAL Group, Chief Risk Officer, Ms. Sharmali Perera; Capital Alliance Partners, Vice President, Mr. Praveen Kanagasabai and Capital Alliance Partners, Associate, Mr. Malik Jameel.
The CSE was represented at the event by its Chairman, Mr. Dilshan Wirasekara; Chief Regulatory Officer, Mr. Renuke Wijayawardhane, and the CSE Senior Management.
Delivering opening remarks, Chairman of the CSE, Mr. Dilshan Wirasekara, began by congratulating Capital Alliance Investments Ltd. and went on to say, “It is indeed a unique day today as we list the CAL Five Year Optimum Fund, the only active listed fixed income closed-end fund that is available in the Colombo Stock Exchange.”
Mr. Wirasekara further said, “The CSE has always wanted to encourage the Unit Trust industry because we believe that it is probably the best way to broaden the base of retail investors and an ideal vehicle for investors to enter the exchange. We’ve seen huge growth in the Unit Trust industry, and it’s heartening to know that new funds are coming to the forefront. I believe it will bode well for the industry as a whole.”
Thanking the CSE and the CAL Investment Banking team for their commitment to getting this fund listed, Mr. Gayan De Silva, CEO of Capital Alliance Investments, stated, “It is with great pride that I announce the listing of the CAL Five Year Optimum Fund. At CAL, our entire value system is built upon making sure we enhance the capital markets, and the listing today demonstrates our continuous commitment to be one of the most dynamic fund managers in Sri Lanka. We believe capital markets act as an intermediary in transferring wealth from financial markets to the real economy, and thereby pushing economies into prosperity.”
He further said, “In terms of trading, the investors of a closed-end fund will be able to buy and sell units based on the market price, similar to a stock. It is an amazing opportunity for investors to use this platform for better portfolio diversification. I also believe the launch of this fund will increase the product offerings of the CSE, thereby increasing market participation, which is critical for the development of our capital markets.”
The CAL Five Year Optimum Fund is a closed-end fixed income unit trust scheme with a life span of five (5) years approved by the Securities and Exchange Commission of Sri Lanka (SEC). Capital Alliance Investments Limited has been granted approval by the Commission to establish, manage, operate, and market the fund. The fund is set up by a Trust Deed dated June 07th 2023 entered between Capital Alliance Investments Limited and Hatton National Bank PLC as the trustee and custodian of the fund (the “Trust Deed”).