IDLC Income Fund announces 3.9% interim cash dividend

The trustee of IDLC Income Fund – the country's first ever debt mutual fund that was launched in June 2021 – has announced a 3.9% interim cash dividend for the year ended on 31 December, 2022.

Since its launch, this is the fund's third cash dividend, and the average annual return of the fund stood at 7.84% in 18 months.

A debt mutual fund is safer than equity mutual funds, as it mainly invests in government or government-backed securities prioritising investment security the most.

Hence, to ensure investment safety and generate a regular and stable return, the IDLC Income Fund invests in corporate bonds with strong credit ratings and fixed deposit receipts (FDRs).

Not only has the fund been able to generate stable returns for its investors, it has also brought them a maximum tax rebate of 15% as per the Income Tax Ordinance, 1984.

IDLC Asset Management's Managing Director Rajib Kumar Dey said, "A debt mutual fund can be a major investment avenue in Bangladesh like the rest of the world if such consistency of returns and safer investment vehicles like government/government-backed securities are maintained."

"Such funds are a beautiful solution for stable returns as well as maximum tax rebates for those who have exhausted their investment limits with national savings schemes (Sanchayapatra) and want to avoid stock market volatility."