National Equity Fund declares Rs 2.50 dividend per unit

The National Equity Fund (NEF) declared its 18th annual dividend of Rs 2.50 per unit on March 18, to all its unit holders.

NEF pays out annual dividend in March every year, has done so continuously from its inception in 1992, 18 years ago, a release from NAMAL Stated.

This dividend of Rs 2.50 per unit translates to a 25 percent tax free dividend for investors who entered the fund at Rs 10/-.

"The divided for the current period is the highest since the commencement of the Fund in 1991," NAMAL, CEO T. Jeyavarman said.

The Colombo stock market has performed well during the year since the payment of last dividend in March 2009.

In the one year period ending February 28, the All Share Price Index (ASPI) improved by 124.7 percent thus recording one of the best periods during the Fund's life time. Further in this period the interest rates fell sharply from 17.7 percent to 9.47 percent tracked by 12 month Treasury bill yield movement.

The National Equity Fund (NEF) was the first unit trust fund established in Sri Lanka, by National Asset Management Ltd (NAMAL) the company that pioneered Unit Trusts in Sri Lanka.

"Our objective is to provide investors with a choice of the investment opportunities to choose appropriate funds for their long term investment needs and to plan specific financial needs," Jeyavarman said.