Muktinath Bikas Bank Launches First Mutual Fund: Muktinath Mutual Fund 1

Muktinath Bikas Bank Limited has received approval from the Securities Board of Nepal to issue units for its mutual fund, "Muktinath Mutual Fund 1," managed by Muktinath Capital Limited.

This marks the bank's first collective investment fund in Nepal. Approved on October 23, 2024, the fund will issue 10 million units at NPR 10 each, totaling NPR 1 billion. Muktinath Bikas Bank and Muktinath Capital will acquire NPR 150 million in units, with the remaining NPR 850 million available for public subscription.

The closed-ended fund has a duration of 10 years, with investments in listed securities approved by the regulatory body. Muktinath Capital is responsible for managing the fund and has committed to ensuring sustainable returns.

The fund has received a "CARE-NP BBB (IS)" issuer rating for a stable outlook and "IRN AMC Quality 3" for asset management quality. A supervisory panel will oversee the fund, and public subscriptions are expected to begin by the end of Mangsir (December 2024).