Our Funds

Trustee and Custodian Banks
Hatton National Bank /
Deutsche Bank AG
Licenced and Regulated by
Securities and Exchange
Commission of Sri Lanka
Associate Company of
CAM

Ceylon Tourism Fund

As at 25th November 2022

Buying

4.62

Selling

4.81

YTD Performance (Non- Annualized)

-14.51 %

Overview

Investment Rationale

The Fund is an equity fund that invests in shares of the 10 companies that comprise the Tourism TOP 10 Index , under respective market capitalisation proportions. The TOP 10 Index is an in-house index, covering over 50% of the H&T Sector market capitalisation and is reviewed quarterly by the Equity Index Committee with transparent selection criteria.

The “Managed” Index Fund Enhancements

  • Selected on the basis of market capitalisation.
  • A “liquidity test” to qualify for index selection.
  • Maintains 3% in cash as per the SEC liquidity requirement.

Dividend Distribution Policy

Distributable income will be derived principally from dividend income received by the fund. Net income will be distributed at the discretion of the manager after satisfying operating fees and expenses of the fund. Investors have the option to reinvest their annual distribution in units of the fund.

Risk Factors

  • Absence of trading risk, speculative risk or fund manager risk due to passive management style.
  • Being invested in shares, this fund carries the risk of capital appreciation as well as depreciation with fluctuations of the Tourism Top 10 Index.
  • The ten companies included in the Index have sound reputations of good corporate governance and are well researched by analysts to unearth risks and opportunities.
  • The fund manager’s risk is the tracking error, defined as the performance difference between the index and the funds invested in the companies. The regulatory requirement to hold 3% of funds in cash will naturally lead to a performance deviation (tracking error) between the fund and the Tourism TOP 10 Index.
Chart by Visualizer

Benefits Of Investing In The Fund

Key Features

  • Ability to invest in 10 hotels with a minimum investment of Rs. 5,000/-
  • 10 companies selected/reviewed quarterly by an independent index committee
  • You can withdraw your money at any time.
  • All income distributions and capital gains from the fund are exempted from tax within the fund since Unit Trust acts as flow through. However, individual tax brackets will apply to investors.

Investment Details

Bloomberg Code
International Security Identification Number (ISIN)
CEYTOUR:SL
-30.22%
Minimum Investment
LKR 5,000/-
Front End Fee
Management Fee
2.00%
1.00 % per annum of assets under management
Trustee & Custodian Fees

0.20% per annum of assets under management

Exit Fees

Nil

Investors eligible to invest
  • Citizens of Sri Lanka
  • Companies and institutions incorporated in Sri Lanka
  • Foreign institutions and individuals (Gazette No – 1719/22)
Repatriation

All capital and profits earned can be repatriated to a pre-confirmed designated bank account without restriction

Bank Details

Account Name : Ceylon Tourism Fund
Account No : 003010539759
Bank : Hatton Naional Bank
Branch : Head Office
Country : Sri Lanka
Bank Code : 7083
Branch Code : 003
SWIFT : HBLILK LXXXX
Address : No. 479 T. B. Jayah Mawatha, Colombo 01

Application And Transfer Of Funds

Ceylon Asset Management Company Limited does not accept cash.
You may apply for units of CDBF by transferring USDs from your foreign currency account to CDBF Account in Deutsche Bank AG. The details are as follows:

Documents Required To Invest In The Fund

Ceylon Asset Management Company Limited does not accept cash.

You may apply for units of CTF by transferring LKR from your account or by depositing a cheque to CTF Account in Hatton National Bank AG. The details are as follows:

Individual/Joint Investors

  • Duly signed application form
  • A copy of your NIC / Passport
  • A billing proof of address

Corporate Investor

  • Application form signed by two authorised signatories
  • A Board Resolution giving authority to place investments
  • A letter of Authorization with specimen signatures to operate the investment
  • Certified copy of Articles of Association
  • Certified copy of Certificate of Incorporation
  • Passport / NIC copies of the authorized signatories Information of Directors and Beneficial Owners

Procedure to Withdrawal

You can turn your units into cash at any time. All you have to do is send us an email to (redemption@ceylonam.com ) and we would transfer the funds to the designated account of yours within 01 working day
Emails received before 9.30 am on a working day, transactions will be processed based on the previous day’s closing price.
Emails received after 9.30 am on a working day, transactions will be processed based on the same day’s closing unit price

Agent

We are here to help, chat with us on WhatsApp with any questions

Agent

We are here to help, chat with us on WhatsApp with any questions