Strong Performance of Mutual Funds: CMF1 Lead with 9.05% Monthly Increase; NEPSE and Mutual Funds Shows Yearly Rise of 4.36% and 0.93%

There are currently 34 closed-end mutual funds listed on Nepal Stock Exchange, whereas 7 open-end schemes are traded directly in the respective fund manager. Citizens Super 30 Mutual Fund (30CSMF) has issued its units to the general public but is yet to be listed for trading in NEPSE, upon which there will be 42 schemes altogether.

Click here for a detailed list of Mutual funds.

Mutual Funds have an investment in listed/unlisted companies of Rs. 24.82 Arba in the month of Ashad compared to Rs. 24.54 Arba in Jestha, 2080.

Similarly, the mutual fund bank balance decreased to Rs. 8.18 Arba in Ashad from Rs. 8.82 Arba in Jestha. Mutual Funds have invested in debentures and bonds amounting to Rs. 3.57 Arba. Similarly, the funds also have invested 3.41% in primary shares/Rights which amounts to Rs. 1.45 Arba.

The top investments by mutual funds irrespective of sectors in the month of Ashad are as follows:

The topmost bought stocks in Ashad by the overall mutual fund industry are as follows:

The topmost sold stocks in Ashad by the overall mutual fund industry are as follows:

Sector-wise Breakdown

Mutual funds had significant holdings in various sectors as of the end of Ashad. Investment in the commercial banking industry accounts for the highest sector-wise investment of Rs. 7.22 Arba, making up 28.69% of total investment. Likewise, they have an investment of Rs. 3.41 Arba in shares of the Non-Life Insurance sector, accounting for 13.55% of the total investment. The Microfinance sector stands at the third-highest investment priority for mutual funds with an investment worth Rs. 3.33 Arba, contributing 13.23% of total investments.

Smaller allocations were observed in sectors like manufacturing and products, promoter share, and others. These sector-wise holdings provide insight into the diversification strategies employed by mutual funds and their preferences for sector exposure.

Commercial Banks:

Among the commercial banks, NIC Asia Bank Limited (NICA) is seen as the top priority for investment by mutual funds. It accounts for an investment worth Rs. 1.11 Arba. Sanima Bank Limited (SANIMA) stands in the second position with an investment of Rs. 74.46 crores. Machhapuchchhre Bank Limited (MBL) stands in the third position with an investment of Rs. 46.67 crores.

Development Banks:

As for the development banks, Garima Bikas Bank Limited (GBBL) has the highest investment preference among mutual funds. The mutual funds have invested an amount worth Rs. 60.49 crores. Muktinath Bikas Bank Limited (MNBBL) is seen in the second position with an investment worth Rs. 49.41 crores. Shine Resunga Development Bank Limited (SHINE) has an investment of Rs. 26.67 crores in the third position.

Finance:

As for the finance companies, the top two investments were Manjushree Finance Limited (MFIL) and Goodwill Finance Limited (GFCL). Mutual funds invested Rs. 5.45 Crores in MFIL, and Rs. 4.55 Crores in GFCL.

Hotels and Tourism:

Among the five listed hotels and the tourism sector in NEPSE, mutual funds have given higher priority to Taragaon Regency Hotel Limited (TRH) with an investment of Rs. 3.43 crores.

Hydropower Companies:

The inclination of investment in hydropower companies for mutual funds was in Sanima Mai Hydropower Limited (SHPC) with an investment of Rs. 26.24 crores, Chilime Hydropower Company Limited (CHCL) with an investment of Rs. 21.26 crores, and Arun Kabeli Power Limited (AKPL) with an investment of Rs. 12.96 crores.

Life Insurance Companies:

Among the life insurance companies in Nepal, National Life Insurance Company Limited (NLICL), Life Insurance Corporation Limited (LICN), and Nepal Life Insurance Company Limited (NLIC) are the investment companies of top priority for mutual funds. Mutual Fund schemes have around Rs. 90.42 crores in investments in NLICL, Rs. 54.31 crore in investments in LICN, and Rs. 44.32 crore in NLIC.

Manufacturing and Products:

Mutual Funds have invested Rs. 31.34 crores in Shivam Cements Limited (SHIVM), Rs. 19.79 crores in Himalayan Distillery Limited (HDL), and Rs. 11.65 crores in Unilever Nepal Limited (UNL) as of Ashad, 2080.

Microfinance Companies:

Among the listed microfinance companies, Chhimek Laghubitta Bittiya Sanstha Limited (CBBL), Nirdhan Utthan Laghubitta Bittiya Sanstha Limited (NUBL), and Sana Kisan Laghubitta Bittiya Sanstha Limited (SKBBL) were the top three investment priorities for mutual funds. Mutual Funds invested Rs. 77.98 crores in CBBL, Rs. 37.79 crores in NUBL, and Rs. 34.04 crores in SKBBL.

Mutual Fund:

The mutual fund schemes also invest in other mutual funds. Sunrise Focused Equity Fund (SFEF) falls under the highest investment value mutual fund. It has an investment of Rs. 22.16 crores. NIBL Growth Fund (NIBLGF) has the second-highest equity fund with a value of Rs. 19.52 crores. Finally, Prabhu Smart Fund (PRSF) stood third-highest investment of Rs. 16.59 crores.

Non-Life Insurance companies:

Among the non-life insurance companies in Nepal, Neco Insurance Company Limited (NIL), Siddhartha Premier Insurance Limited (SPIL), and Sagarmatha Lumbini Insurance Company Limited (SALICO) are the investment companies of top priority for mutual funds. Mutual Fund schemes have around Rs. 80.66 crore investments in NIL, Rs. 65.22 crore in SPIL, and Rs. 54.46 crore in SALICO.

Promoter shares:

Similarly, the promoter share as per the choice of mutual funds are:

Others:

As for the other sector, mutual funds have invested Rs. 26.01 crores in Nepal Doorsanchar Company Limited (NTC), and Rs. 25.86 crores in Nepal Reinsurance Company Limited (NRIC)

Investment:

As for the Investment sector, Citizen Investment Trust (CIT) has the highest investment worth Rs. 24.57 crores. Similarly, CEDB Hydropower Development Company Limited (CHDC) stands in the second position with an investment of Rs. 9.38 crores.

Change in NAV (In Month and In Year):

NAV stands for Net Asset Value which represents a fund’s per unit market value. Investors use this value to transact a particular mutual fund in the market. Since the NAV is calculated by subtracting all the liabilities from the total value of all the assets in a portfolio, the value changes in accordance with the change in their asset and liabilities.

In the month of Ashad, 2080, Citizens Mutual Fund-1 (CMF1) NAV gained the highest by 9.05% followed by CMF2 which has risen by 7.46%.

S.No.	Mutual Fund	Symbol	NAV as of Ashad	NAV as of Jestha	Price Change	% Change
1	Citizens Mutual Fund-1	CMF1	10.24	9.39	0.85	9.05%
2	Citizens Mutual Fund - 2	CMF2	10.80	10.05	0.75	7.46%
3	Nabil Balanced Fund - 2	NBF2	10.99	10.24	0.75	7.32%
4	NMB Hybrid Fund L- 1	NMBHF1	12.14	11.44	0.7	6.12%
5	Global IME Balance Fund-I	GIBF1	10.57	10.11	0.46	4.55%
6	NMB 50	NMB50	12.34	11.83	0.51	4.31%
7	Nabil Equity Fund	NEF	10.81	10.37	0.44	4.24%
8	Nabil Balanced Fund III	NBF3	9.14	8.79	0.35	3.98%
9	NIBL Pragati Fund	NIBLPF	10.68	10.28	0.4	3.89%
10	Mega Mutual Fund - 1	MMF1	8.91	8.63	0.28	3.24%
11	Siddhartha Systematic Investment Scheme	SSIS	9	8.72	0.28	3.21%
12	NIC Asia Growth Fund	NICGF	11.98	11.61	0.37	3.19%
13	NMB Sulav Investment Fund - II	NSIF2	11.26	10.92	0.34	3.11%
14	Sunrise First Mutual Fund	SFMF	12.92	12.53	0.39	3.11%
15	NIBL Samriddhi Fund - 2	NIBSF2	9.27	9	0.27	3.00%
16	Siddhartha Investment Growth Scheme-2	SIGS2	10.69	10.38	0.31	2.99%
17	NIC Asia Select-30	NICSF	10.74	10.43	0.31	2.97%
18	Siddhartha Equity Fund	SEF	10.53	10.23	0.3	2.93%
19	NIC ASIA Balanced Fund	NICBF	11.28	10.96	0.32	2.92%
20	NMB Saral Bachat Fund - E	NMBSBF	9.52	9.25	0.27	2.92%
21	NIC Asia Flexi Cap Fund	NICFC	10.67	10.37	0.3	2.89%
22	Kumari Equity Fund	KEF	11.03	10.72	0.31	2.89%
23	Laxmi Unnati Kosh	LUK	10.99	10.69	0.3	2.81%
24	Prabhu Select Fund	PSF	11.00	10.71	0.29	2.71%
25	Sunrise Bluechip Fund	SBCF	9.89	9.63	0.26	2.70%
26	NIC Asia Dynamic Debt Fund	NADDF	11.1	10.83	0.27	2.49%
27	Kumari Dhanabriddhi Yojana	KDBY	11.12	10.85	0.27	2.49%
28	Laxmi Equity Fund	LEMF	10.82	10.56	0.26	2.46%
29	RBB Mutual Fund 1	RMF1	9.61	9.39	0.22	2.34%
30	Sanima Large Cap Fund	SLCF	9.78	9.56	0.22	2.30%
31	Sanima Equity Fund	SAEF	13.09	12.8	0.29	2.27%
32	NIBL Sahabhagita Fund	NIBLSF	10.68	10.45	0.23	2.20%
33	Kumari Sunaulo Lagani Yojana	KSLY	10.65	10.43	0.22	2.11%
34	NIBL Growth Fund	NIBLGF	10.24	10.03	0.21	2.09%
35	Sunrise Focused Equity Fund	SFEF	10.23	10.05	0.18	1.79%
36	Sanima Growth Fund	SGF	10.27	10.09	0.18	1.78%
37	Siddhartha Investment Growth Scheme 3	SIGS3	10.31	10.15	0.16	1.58%
38	Citizens Super 30 Mutual Fund	30CSMF	10.23	10.08	0.15	1.49%
39	Shubha Laxmi Kosh	SLK	10.07	9.96	0.11	1.10%
40	Prabhu Smart Fund	PSMF	10.53	10.43	0.1	0.96%
41	RBB Mutual Fund 2	RMF2	10.08	10.03	0.05	0.50%
42	Nabil Flexi Cap Fund	NFCF	9.9	9.87	0.03	0.30%

Similarly, among the listed mutual funds, Global IME Samunnat Scheme 1 matured on Chaitra 11, 2079, and hence the shares are not freely tradable. Among the other listed 31 mutual funds (which were listed during the last financial year 2078-79), SBCF recorded a notable increase of Rs. 1.07, translating to a remarkable growth rate of 12.13%. Similarly, CMF1 surged by Rs. 1.10, yielding a significant growth percentage of 12.04%.

*Note: The dividends proposed by the mutual funds on FY 2078/79 are adjusted in the following table.

S.No.	Mutual Fund	Ashad End 2079	Cash Dividend (%)	Cash Dividend (Rs)	Ashad End 2080	Change (Rs)	Change (%)
1	SBCF	8.82	-	-	9.89	1.07	12.13%
2	CMF1	9.14	-	-	10.24	1.10	12.04%
3	PSF	9.82	-	-	11	1.18	12.02%
4	SSIS	8.08	-	-	9	0.92	11.39%
5	SFMF	12.76	12%	1.20	12.92	1.36	10.66%
6	SLCF	8.89	-	-	9.78	0.89	10.01%
7	NICSF	9.81	-	-	10.74	0.93	9.48%
8	NADDF	10.72	6%	0.60	11.1	0.98	9.14%
9	LUK	10.55	5%	0.50	10.99	0.94	8.91%
10	NMB50	13.28	21.05%	2.11	12.34	1.17	8.77%
11	CMF2	9.93	-	-	10.8	0.87	8.76%
12	KDBY	9.98	-	-	10.85	0.87	8.72%
13	NMBHF1	13.12	21.05%	2.11	12.14	1.13	8.58%
14	NIBSF2	8.56	-	-	9.27	0.71	8.29%
15	NBF2	10.85	7%	0.70	10.99	0.84	7.74%
16	LEMF	10.52	5%	0.50	10.82	0.80	7.60%
17	RMF1	8.97	-	-	9.61	0.64	7.13%
18	NICFC	9.97	-	-	10.67	0.70	7.02%
19	NEF	10.59	5%	0.50	10.81	0.72	6.80%
20	KEF	10.33	-	-	11.03	0.70	6.78%
21	NIBLPF	10.42	4.2%	0.42	10.68	0.68	6.53%
22	NIBLSF	10.72	7.20%	0.72	10.68	0.68	6.34%
23	SAEF	14.4	22%	2.20	13.09	0.89	6.18%
24	SIGS 2	11.02	10%	1.00	10.69	0.67	6.08%
25	SEF	10.92	9%	0.90	10.53	0.51	4.67%
26	NMBSBF	9.11	-	-	9.52	0.41	4.50%
27	NICGF	12.81	13%	1.30	11.98	0.47	3.67%
28	NICBF	12.17	13%	1.30	11.28	0.41	3.37%
29	MMF1	8.64	-	-	8.91	0.27	3.12%
30	NBF3	8.58	-	-	8.79	0.21	2.45%
31	GIMES1	9.79	-	-	Matured on Chaitra 11	-	-

Change in NEPSE and Mutual Fund Index:

In a notable upswing, Nepal Stock Exchange (NEPSE) Index marked an increase from 2042.07 points at the end of Jestha to 2097.09 points at the close of Ashad, reflecting a gain of 55.02 points or 2.69%. The Mutual Fund Index also demonstrated a surge, climbing from 14.8 to 15.15 points, signifying a rise of 0.35 points or 2.36%.

Similarly, the NEPSE index experienced a year-on-year increase of 4.36%, while the Mutual Fund Index recorded a modest growth of 0.93%.

Monthly Change:

S. No.	Index	Jestha End	Ashad End	Change	Change %
1	NEPSE Index	2042.07	2,097.09	55.02	2.69%
2	Mutual Fund Index	14.8	15.15	0.35	2.36%

Yearly Change:

S. No.	Index	Ashad End 2079	Ashad End 2080	Change	Change %
1	NEPSE Index	2,009.46	2,097.09	87.63	4.36%
2	Mutual Fund Index	15.01	15.15	0.14	0.93%

All the data are generated from SSpro Software. To know more about the software, click on the link below

SSpro

Disclaimer: Any kind of information that is provided in the article should not be used as sole advice or recommendation by investors in order to design their investment portfolio. So, before taking steps for any kind of information, the investors are required to base their judgment on their financial analysis, the appropriateness of the information, and seek independent financial advice. The information about the company has been taken from authorized sources like the website of the company. NEPSE, financial reports, and press releases of the companies. So, any changes not updated in these may differ in the analysis.