ASTRUE Alpha Fund



Investment Objective

The primary investment objective of the Astrue Alpha Fund is to achieve capital growth for investors by investing in a portfolio of equities listed on the Colombo Stock Exchange. We are committed to presenting only the most stable yet gainful investment avenues to our clients, making the Astrue Alpha Fund one of the most attractive mutual funds in Sri Lanka.

Why Astrue Alpha Fund?

The Astrue Alpha Fund follows a rational and disciplined investment process in order to capitalize on market opportunities for equity asset management.

 

This investment process is underpinned by fundamental research with investment strategies based on both quantitative and qualitative methods targeted to produce positive returns over the short, medium and longer-term. The investment philosophy behind this system seeks to integrate economic analysis, security analysis, and private equity portfolio management into a comprehensive process that will maximize the total returns consistently with the minimum acceptable risk.
 

A top-down equity investment management strategy will be used to allocate assets focusing on structural changes occurring in Sri Lanka and in key investment sectors. Conversely, a bottom-up strategy will be used to select stocks based on fundamental stock analysis focusing on inhouse economic models, the financial strength of companies and an analysis of companies’ business models and their competitive advantage. These two strategies converge to create a sound approach to equity wealth management of our clients which forms the backbone of our investment philosophy.


Under our management, your investment will always remain carefully monitored. Stock purchases and sales will be timed according to the most recent valuations, news flow and liquidity analysis. Each client’s portfolios will be constantly monitored and investments re-appraised, particularly through company visits. Equity selection will comprise of companies that are relatively undervalued compared to their true profitability, have robust management, are cash generative and have improving economic value added.

Who is this fund suitable for?

The Astrue Alpha Fund is ideally suited for all Individuals, Senior Citizens, Professionals, Entrepreneurs, the Business Community, Private Provident Funds, Insurance Companies and Retiring Employees seeking dependable options to invest their Terminal Benefits in.

Who can invest?

  • Citizens of Sri Lanka, individually or jointly.
  • Companies and institutions incorporated in Sri Lanka.
  • Approved provident funds, pension funds.
  • Non-Resident Sri Lankans (under schemes approved by the relevant authority)
  • Citizens of foreign states, whether resident in or outside Sri Lanka, companies with limited liability or corporate bodies established or incorporated outside Sri Lanka (subject to approval of the Department of Foreign Exchange, Central Bank and the Commission).
  • Minors as the first holder when applied jointly with a parent, legally-appointed guardian or curator.

Investment strategy

The ASTRUE Alpha Fund will use a multi-strategy approach to private equity asset management that is designed to generate returns over a range of market conditions when investing a portfolio of equities. By maintaining diversified exposure to multiple strategies such as Growth, Value and Trading, the fund aims to reduce the volatility that can often characterize the use of a single investment strategy, as well as take advantage of various market characteristics while preserving capital during adverse market conditions.

Fund details

Nature of the FundOpen Ended
Trustee/CustodianHatton National Bank PLC
Investment objectiveThe primary investment objective of the Astrue Alpha Fund is to achieve capital growth for investors by investing in a portfolio of equities listed on the Colombo Stock Exchange.
Minimum initial investment Rs.10,000/- and in multiples of Rs.1,000/- thereafter
Launch date1st July 2014
Front-End Fee1% will be payable on the subscription/purchase of units
Exit Fee
 
  • 3% exit fee in the 1 st year
  • 2% exit fee in the 2nd year
  • 1% exit fee in the 3rd year
  • No exit fee after the 3rdyear
Management Fee
 
Fixed fee of 1.5% p.a on the Net Asset Value of the fund
Performance Fee of 20% of excess returns over the growth in the S&P Sri Lanka 20 index calculated daily and paid out annually
Trustee Fee0.25% p.a. on the Net Asset Value of the fund
Custodian FeesRs.25,000/- per month

Sector allocation

Last updated: 2024-05-31

Asset allocation

Last updated: 2024-05-31

Fund performances

Last updated: 2024-05-31

Reports

Fact Sheets
Interim Reports
Annual Reports

Downloads

Key Investor Information Document

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ASTRUE Alpha Fund - KIID

Download

Application Forms

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Email/Fax Indemnity Form

Download
pdf

Know Your Customer Form

Download
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Client Application ASTRUE Alpha Fund

Download

FAQs

01 What is a mutual fund?

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A mutual fund is an independent legal entity that pools money from many investors and invests this money in various securities such as stocks, bonds, and short-term debt. The combined holdings of a mutual fund are known as its portfolio. Investors are able to buy units in mutual funds. Each unit represents an investor’s part ownership in the fund and is proportionate to the returns generated by the fund as a whole.

02 Why invest in unit trust funds?

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Unit trust funds are similar to mutual funds, and are an increasingly popular choice among investors because of the following features:
 

  • Professionally-managed: Units trusts are managed by professional fund managers who will select the most ideal securities and monitor their performance. It is their responsibility to do the research on your behalf.
  • Diversification or “Don’t put all your eggs in one basket.”: Mutual funds typically invest across a range of companies and industries, thereby helping to lower risk in case one company or industry fails.
  • Affordability: Most mutual funds have a relatively low rupee amount required for initial investment and subsequent purchases.
  • Liquidity: Mutual fund investors can easily redeem their units at any time for the current net asset value (NAV) plus any redemption fees.

03 How safe is my money?

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ATML (Asset Trust Management Pvt Ltd) is an investment management and scheme management company incorporated in 2008, and licensed by the SEC (Securities and Exchange Commission of Sri Lanka). The primary objective of the company is to provide investment portfolio management services, manage schemes and other related services to our clients.

 

The company and funds are regulated by the SEC while Hatton National Bank PLC acts as the trustee and custodian for the funds. Hatton National Bank PLC, as the fund’s trustee, will exercise due diligence and vigilance over the fund with their sole objective being safeguarding the interest of the Unit Holders. The Trustee, as the legal owner of the Fund’s assets, will be responsible to ensure that the Fund is managed by the managing company in accordance with all SEC guidelines.

04 Who can invest in Unit Trust Funds?

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  • Citizens of Sri Lanka, individually or jointly.
  • Companies and institutions incorporated in Sri Lanka.
  • Approved provident funds, pension funds
  • Non-Resident Sri Lankans (under schemes approved by the relevant authority)
  • Citizens of foreign states, whether resident in or outside Sri Lanka, companies with limited liability or corporate bodies established or incorporated outside Sri Lanka (subject to approval of the Department of Foreign Exchange, Central Bank and the Commission).
  • Minors as the first holder when applied jointly with a parent, legally-appointed guardian or curator.

05 How can I know the performance of mutual fund schemes?

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The performance of a scheme is reflected in its NAV (Net Asset Value) which is disclosed on a daily basis on our website (www.atml.lk) as well as the DailyFT newspaper. The mutual funds also publish their own monthly factsheets, interim reports and annual reports with trustee approval.

06 What is the Net Asset Value (NAV) of a scheme?

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Mutual funds invest the money collected from investors in securities markets. The performance of a particular scheme of a mutual fund is denoted by its Net Asset Value (NAV). In simple words, NAV is the market value of the securities held by the scheme. Since the market value of securities are liable to change every day, the NAV of a scheme also varies on a day-to-day basis. The NAV per unit is the market value of the securities of a scheme divided by the total number of units of the scheme on any particular date.

07 How can I invest?

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Please use live chat to reach us online or you can always directly contact us using contact forms.


 

08 How can I withdraw my money?

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You can send a redemption request through our portal, by letter or just send us an email (if you have provided us with an email indemnity). Kindly note that we cannot remit funds to any third-party bank accounts.

09 Can I invest and withdraw on any day?

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Unit creations/redemptions can take place on any day except Weekends, Poya, Mercantile and Bank Holidays, subject to each fund’s cut-off times.

10 How can I transfer the money to you?

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Funds can be transferred electronically or deposited directly into each fund’s bank account at Hatton National Bank PLC. The original customer's copy of the bank deposit slip or electronic fund transfer document (proof of payment) must be sent to the fund managers together with the filled application form for units.

 

Alternatively, a person may attach a cheque to the filled application form and send it to the fund managers. All cheques and bank drafts must be made payable to the particular fund of your choice and crossed “ACCOUNT PAYEE ONLY”.

 

Kindly note that ATML does not accept any cash payments.

11 Will I get a confirmation/certificate for my investment?

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You will be emailed a transaction confirmation for each new investment on the following working day.

12 Are there any fees?

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The applicable fees are the Trustee Fee, Custodian Fee, Management Fee and Performance Fee (for Astrue Alpha & Astrue Active Income Funds only). These fees will be charged to the fund and not to individual investors.

13 If a mutual fund scheme winds up, what happens to the money invested?

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In case of the winding up of a scheme, the mutual funds will pay out a sum based on the prevailing NAV at the time, after adjustment for expenses. 

 

Either the Trustees or the Managers may - by not less than three (03) months’ notice given to other - with the concurrence of the Commission, decide to terminate the Trust. The party hereto terminating the Trust shall (unless the matter shall have been referred to arbitration) give notice thereof to all Holders and by such notice, fix the date at which such termination is to take effect which date shall not be less than three (03) months after service of such notice.

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Ready to invest? Talk to our expert team

Naleen Sadeesh

Mr. Naleen Sadeesh with over 13 years in the capital market, has extensive experience in Sri Lankan equity trading and financial research. A former key member of LOLC Securities, he transitioned to research in 2018. Naleen holds a Bachelor's in Marketing from the University of Sabaragamuwa, an MBA from the University of Colombo, and is a Registered Investment Advisor in Sri Lanka. He also has a Diploma in Treasury and Risk Management from IBSL. As a seasoned expert, he contributes as a visiting lecturer at SLIATE and a Resource Person at the Colombo Stock Exchange, focusing on market analysis.