The National Equity Fund (NEF) declared its 18th Annual dividend of Rs 2.50 per unit on March 18 to all its unit holders, the fund said. NEF pays out annual dividend in the month of March every year, has done so continuously from its inception in 1992, 18 years ago.
“This dividend of Rs. 2.50 per unit translates to a 25% tax free dividend for investors who entered the fund at Rs 10. ‘The divided for the current period is the highest since the commencement of the Fund in 1991,” S. Jeyavarman, CEO of NAMAL, owners of the fund, said in a press statement.
NEF being a balanced fund invests in both equity and debt markets and the fund has the added advantage of being able to change its asset allocation to best suit the movements of the respective market, thereby adding value to the investor in the fund, the statement said.
The current dividend mainly comprised gains and income from equity investments and income generated from fixed income instruments. “The good news to the investors in the fund is that some of its share investment values substantially increased towards the end of the financial year thus increasing the closing unit value for the year.
The unit value increased from Rs.11.94 after the dividend in March 2009 to Rs 22.37 by 28th February 2010. This resulted in an increase of 87.3% of the value of the units,” the statement added. |
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