First Bangladesh ETFs Get Regulatory Nod

The BSEC (Bangladesh Securities and Exchange Commission) has reportedly approved the launch of the country's first ETFs.

The LB Multi Asset Income ETF will be launched with an initial target size of BDT 1 billion, with merchant bank LankaBangla Investments investing BDT 100 million and asset manager LankaBangla Asset Management investing BDT 20 million.

The FAM DG Bengal Tiger ETF's will be launched with an initial target size of BDT 500 million. The ETF is co-sponsored by local manager Frontier Asset Management and UK-based Dawn Global Management.

The ETFs will be actively managed, by LankaBangla Asset Management and Frontier Asset Management, respectively.

Market makers will be assigned to ensure they trade in a narrow price range.

Source: Regulation Asia