50% mutual funds still traded at low prices

Mutual Funds have been rallying for the past two weeks, still almost half of the funds are traded at lower prices compared to their Net Asset Values (NAVs) in the past week that ended on Thursday.

If the fund is in high demand and low supply, the market price will typically exceed NAV — the market value of a mutual fund unit. Conversely, if there is low demand and much supply, the market price will usually be lower than the NAV.

Out of 37 mutual funds, 17 were traded at more than 11% discount rate while the remaining 20 were traded at premium, according to the Dhaka Stock Exchange.

FBFIF and Popular Life Insurance were traded at the highest discount rates of 35.3% and 34.2%, respectively. On the other hand, First Prime Mutual Fund and CAPMIBBL Mutual Fund were respectively traded at 164% and 136.5% premium prices. Market capitalisation of the mutual fund sector stood at Tk5,050 crore.

The mutual funds whose trading price was lower than their NAVs are: First Janata Mutual Fund, AB Bank 1st Mutual fund, AIBL First Mutual Fund, DBH First Mutual Fund, EBL First Mutual Fund, EBL NRB Mutual Fund, EXIM First Mutual Fund, FBF IF, Green Delta Mutual Fund, ICB Agrani One, IFIC First Mutual Fund, LRB Global First Mutual Fund, MBL First Mutual Fund, NCBBL Mutual Fund One, PHP Mutual Fund One, Popular First Mutual Fund, and Trust Bank First Mutual Fund.