Ceylon Income Fund declares 14% tax free dividend

Ceylon Income Fund, the only corporate debt fund in Sri Lanka rated A-(lk) by Fitch Ratings, announced a dividend of Rs. 1.40 per unit to its investors on 9 May 2013. The fund reported an annualised return of 16.61% (after tax), over the first quarter of 2013.  

The Ceylon Income Fund invests only in debt instruments issued by corporates rated ‘Investment Grade’ (BBB or better) by Fitch or RAM Ratings. “With nearly 50% of the portfolio secured against assets, the risk of the portfolio was rated A-(lk) by Fitch Ratings,” said Dulindra Fernando, Managing Director of Ceylon Asset Management. The Trustee and Custodian of the fund is Deutsche Bank while the fund is audited by PricewaterhouseCoopers. The fund is licensed to operate under the regulatory framework of the Securities and Exchange Commission of Sri Lanka.

Ceylon Asset Management is an Associate Company of Sri Lanka Insurance Corporation.