Bangladeshi mutual fund questions, answered

ReturnKoto? is a free, independent tool that shows the real historical returns of Bangladeshi open-end mutual funds. You enter an amount and a period, and it replays that investment over each fund's actual published NAV history, reinvesting cash dividends by default (or showing them taken as cash), so you can see what you would have earned. It is for education and comparison.

Every figure comes from replaying your investment over the fund's real published NAVs, in four steps.

1. The NAV series. For each fund we keep one real NAV per month, the month's latest published print, from launch to today; the newest point is the latest NAV collected daily from the fund manager's own website, validated before use. Nothing is interpolated, smoothed or estimated.

2. Buying units. A lump sum buys units once at the starting month's NAV. A monthly SIP buys units every month at that month's NAV. “Max” uses each fund's full available history.

3. Dividends. Bangladeshi funds declare cash dividends as a percentage of the ৳10 face value. Each year's dividend is reinvested once, in the payout season, at that month's NAV, buying more units. Where an asset manager shares verified payment dates, we use them; otherwise we model dividends at October of the dividend year. Stock dividends and unit conversions are applied on their effective dates. So every figure is a total return, not just a price change.

4. The result. Final value = your units × the newest NAV. Annualized figures use CAGR for lump sums and the money-weighted return (IRR) for SIPs. Published NAVs are already net of each fund's fees. Not modeled: purchase/surrender price spreads, and dividend tax at source (dividends are reinvested gross).

Check one by hand: say you invest ৳1,00,000 when a fund's NAV is ৳10.00, so you hold 10,000 units. The fund declares a 10% dividend: 10% of the ৳10 face value is ৳1 per unit, or ৳10,000 cash. Reinvested at the payout month's NAV of ৳11.00 it buys 909.09 more units, making 10,909.09. If today's NAV is ৳12.00, your value is 10,909.09 × 12 = ৳1,30,909, a 30.9% total return. That is the entire engine; on the site, the NAVs, dates and dividends are simply each fund's real ones.

That work is happening now. ReturnKoto? is in direct conversations with several asset managers, validating the calculation method and the underlying data against their own records; the method and figures are being validated directly against the managers' own records. We do not name anyone while this work is in progress. If you manage a fund and would like to cross-check the method against yours, or share officially validated data, send a message to ReturnKoto? on LinkedIn; the founder reads every message.

Yes. Every figure is a total return, counting both the change in unit price and each fund's cash dividends, reinvested by default (switch any figure to a taken-as-cash view to pocket them instead). This is the like-for-like way to compare funds.

Because you may be looking at two different questions, not a mistake.

ReturnKoto? shows a dividends-reinvested total return by default (with a taken-as-cash view available): you buy once, every cash dividend is reinvested at that month's NAV, and we annualize the result over the period shown. That answers: what would my units be worth if every payout stayed working in the fund?

Many AMC professionals publish a money-weighted return (XIRR) on a dated cashflow sheet instead: one unit bought at face value, each dividend recorded as cash paid out (not reinvested), today's NAV as the final payoff. That answers: what return did my wallet experience if dividends sat in my hand?

Neither is wrong. When dividends are large, reinvested returns are often higher. When the time window differs (our “Max” may start later than an AMC's since-inception figure), the gap widens. Stock dividends that increase units, and any unit conversions from bonus or restructuring events, are included in both conventions so nothing is left out.

ReturnKoto?’s Taken as cash toggle is our own time-weighted cash-pile path over the look-back you choose. An AMC’s published XIRR is usually a separate money-weighted, since-inception cashflow rate. Both treat dividends as cash, but they are not the same number.

Where an asset manager shares verified payment dates, ReturnKoto? uses them for that fund rather than the default October convention. When we show both figures side by side, we label each convention plainly, and return percentages are shown to two decimal places. Full detail is in our methodology.

For a lump sum it is CAGR (compound annual growth rate), the steady yearly rate that turns your starting amount into the final amount. For a monthly SIP it is the money-weighted return (IRR), which accounts for the timing of each deposit. Both express a multi-year result as a single yearly percentage.

AMC-Verified is shown only when the asset management company (AMC) has directly confirmed that fund’s data with ReturnKoto?. The fund page also shows an animated checkmark beside the name. This means the AMC has reviewed the figures on that page, not just that ReturnKoto? built them from public sources. Most funds do not carry this badge yet. When data is incomplete but not AMC-confirmed, a fund is flagged instead: partial means some dividend records are missing (the total may be understated), and estimated means a figure is modelled and labelled as such. Every badge is explained in detail in the full badge guide.

Each fund's latest published NAV comes from the fund manager's own website, while the longer weekly NAV history behind the return math comes from secondary market data sources, cross-checked against the managers' figures; dividend records come from the asset managers' public disclosures; each fund's fee, exit load, trustee, custodian, sponsor and minimum investment come from its official BSEC prospectus, cross-checked against the manager's own fund pages. Safe-option rates (Sanchayapatra, DPS, FDR, inflation, gold) are period averages from public sources such as Bangladesh Bank, the Bureau of Statistics and the Department of National Savings.

No. ReturnKoto? publishes historical fund figures for learning and research. Figures describe the past and do not predict the future.

Yes. There are no logins or accounts, and the amount you type stays in your browser and is never sent anywhere or stored. Google Analytics and Cloudflare's privacy-friendly Web Analytics collect anonymous, aggregate usage data to help improve the site; neither is tied to your identity. Any support payment is handled externally by SupportKori with secure checkout; ReturnKoto? never sees your payment details.

A mutual fund pools money from many investors, and a professional manager invests it in a portfolio of shares, bonds and other assets. You own units, each worth a slice of that whole portfolio, so even a small amount gives you diversified, professionally managed exposure.

An open-end fund can create or cancel units on demand, so you buy and redeem directly with the asset manager at a price based on its net asset value (NAV). It has no fixed size and no maturity date. ReturnKoto? covers open-end funds.

Open-end funds are bought and redeemed at NAV directly with the fund, on a regular cycle. Closed-end funds have a fixed number of units that trade on the stock exchange, where the market price can sit above or below NAV. Since late 2025 the regulator has stopped approving new closed-end funds, and several are converting to open-end.

NAV is the per-unit value of a fund: everything it owns minus what it owes, divided by the number of units. It is already net of the fund's fees. You buy and redeem open-end units at NAV, and a fund's total return is the change in NAV plus its cash dividends, reinvested by default.

A unit is one share of a mutual fund. Owning units means owning a proportional slice of the fund's entire portfolio. Bangladeshi fund units have a face (par) value of BDT 10 at launch.

AUM (assets under management) is the total value of money a fund currently manages. A larger fund can spread its fixed costs more thinly, and management fees are often tiered so the percentage falls as the fund grows.

Broadly: growth or equity funds (mostly shares, higher risk and potential return), income or fixed-income funds (steadier, lower risk), and balanced funds (a mix). Many funds also come in a Shariah-compliant version. ReturnKoto? labels each fund's type and lets you filter Shariah funds.

First open a BO (Beneficiary Owner) account, since units are held in dematerialised form with CDBL. Then open an account with the asset management company or its authorised selling agent, complete basic KYC, and buy units as a one-time lump sum or a monthly SIP. The step-by-step how to invest guide walks through it.

Usually yes. Bangladeshi open-end fund units are commonly issued in dematerialised (electronic) form through CDBL, so most applications need a BO (Beneficiary Owner) account, opened via a broker or a bank that offers the service. It is the same type of account used to hold shares. Confirm the chosen fund's current requirement with its asset manager before applying.

The paperwork is light, and most asset managers now accept it online. For the fund application you typically need: a copy of your NID or passport, plus your nominee’s NID; passport-size photographs (usually two of yourself and one of the nominee, all signed by you); and, importantly, a scan or photocopy of a blank cheque leaf from your bank account. The cheque leaf matters because managers use it to register the bank account where your redemption money and dividends will be sent (via BEFTN); some accept a recent bank statement, usually the last three to six months, in its place. Finally, the purchase itself is paid by account-payee cheque, pay order or bank transfer in favour of the fund. An e-TIN certificate is optional, but worth having: with one, dividend tax at source is 10% instead of 15%. The BO account, opened through a broker or a bank, asks for the same basics (photographs, NID, nominee details and your bank account) and costs a few hundred taka. Exact checklists vary slightly by asset manager, so confirm on its website before applying.

Many asset managers let you register and invest online, and commonly accept bank transfer, cheque or pay order, and mobile money such as bKash or Nagad. The exact options depend on the asset manager, so check its website or selling agent.

It has two parts. The one-time (lump-sum) minimum varies by fund, often a few thousand taka. The monthly SIP minimum is usually lower, commonly around BDT 1,000, though it varies by manager (for example some set it at BDT 2,000 or BDT 5,000). Each fund's exact minimums are shown on its page and in the side-by-side compare tool.

Yes. NRBs can invest in many Bangladeshi open-end mutual funds, typically through an NITA or equivalent account. Eligibility and the exact process vary by fund, so check the prospectus or ask the asset manager.

A lump sum invests all your money at once. A SIP, or Systematic Investment Plan, invests a fixed amount every month by auto-debit, spreading your entry price over many different NAVs. ReturnKoto? lets you test both on each fund's real history.

Neither is always better. A SIP spreads your purchases over time, smooths out timing risk and builds a habit, which suits regular savers. A lump sum can do better if you invest before a strong run and worse before a dip. On ReturnKoto? you can compare the two on the same fund to see the difference.

Generally yes, a SIP is flexible and you can usually pause, change the amount, or stop it, subject to the asset manager's terms. Note that some funds apply a small charge if a SIP is cancelled within its first one to three years, which is shown as that fund's exit load.

It depends on the period and whether you invest monthly or as a lump sum, so there is no single answer. ReturnKoto? ranks every fund by historical total return for the settings you choose and marks the top performer. Past performance does not guarantee future results.

No. Historical returns show how a fund behaved through real market conditions, which is useful context, but they are not a promise. Markets change, and a fund that led in one period can lag in another. Use history to understand consistency and risk, not to expect a repeat.

Yes. Mutual funds are investments, not guaranteed savings, so their value moves with the markets they hold and can fall as well as rise. Equity-leaning funds swing more than income funds. Investing for the longer term and spreading money across funds are the usual ways to manage that.

Higher. A fixed deposit, Sanchayapatra or DPS pays a fixed, pre-set rate and is designed to protect your capital under its own terms, but the return is capped and can be eroded by inflation. A mutual fund is market-linked, so it carries more risk in exchange for the potential of higher long-run returns. They are different tools for different goals. The safe-option lines use each instrument's headline rate as a rate illustration, not a precise model of how it pays out or its tax, and a mutual fund figure here is a total return with dividends reinvested by default, which is a different economic assumption from taking a fixed payout as cash.

Match your choice to how long you can stay invested, since a longer horizon rides out short-term dips. Spread money across more than one fund and invest gradually through a SIP rather than all at once. And prefer income or balanced funds if you cannot tolerate large swings.

The main cost is the annual management fee, often tiered from about 2.5% of NAV down toward 1% as the fund grows, while a few charge a flat rate near 0.7% to 1%. There are also small regulated trustee, custodian and BSEC fees. ReturnKoto? shows each fund's exact fee from its prospectus.

An exit load is a small fee deducted if you redeem early. It varies by fund: some charge a percentage if you redeem within a set window (for example 1% within 30 days or 2% within 60 days), some only charge if a SIP is cancelled within the first one to three years, and some charge nothing. Each fund's exact exit load is shown on its page and in the compare tool.

After fees. A fund's published NAV is already net of its management and operating fees, so every return on ReturnKoto? is what an investor would actually have kept, not a gross figure.

Many funds distribute part of their earnings as a cash dividend. You can take it as cash or reinvest it to buy more units and compound your holding. ReturnKoto? reinvests dividends by default (switch any figure to taken as cash), which is the standard like-for-like way to compare total performance.

Yes, and the 2026-27 budget made them more tax-friendly. It removed the old BDT 5 lakh ceiling that capped how much of a mutual fund investment could earn a rebate, so a much larger investment now qualifies, up to the overall yearly rebate limit (up to BDT 75 lakh of eligible investment, rebated at 10%). Tax rules change each year, so confirm current figures with the NBR.

Under the 2026-27 rules, individual dividend income is taxed at a flat 15% as a final tax. This can change with each national budget, so verify the current rate with the NBR or a tax professional before relying on it.

Open-end funds are redeemable at NAV on a regular cycle, often weekly, and generally have no lock-in period. Some funds apply a small early-exit load if you redeem within a short window or cancel a SIP early. Redemption proceeds are paid within the period set by the fund's rules, typically a few working days; check the prospectus for the exact cycle.

The Bangladesh Securities and Exchange Commission (BSEC) licenses the managers and approves every fund, under the BSEC (Mutual Fund) Regulations 2025 which replaced the older 2001 rules. Each fund is built around four separate parties, a sponsor, an asset manager, a trustee and a custodian, to keep responsibilities in different hands.

The structure is designed to protect you. A fund's assets are held by an independent trustee and custodian, separate from the asset management company, so they are held separately from the manager's own assets. This separation is a structural safeguard, not a guarantee: outcomes still depend on the fund's terms, legal process and market risk on the investments themselves.

Start with your goal, your time horizon and your comfort with ups and downs. Then compare funds of the right type on their historical total return over several periods, their fees and exit loads, and their consistency, not just the single best headline number. The compare tool puts these side by side.

A DPS, Sanchayapatra or fixed deposit pays a fixed, pre-set rate and is designed to protect your capital under its own terms. A mutual fund is market-linked, so its return varies and can be higher or lower. ReturnKoto? shows each fund next to Sanchayapatra, DPS, FDR, gold and inflation so you can weigh the trade-off, and there is a detailed comparison guide.

Yes. The compare tool lets you pick two or three funds and see their returns by period, fees, exit loads, minimums and risk level in one table. You can also open any fund's own page for its full returns, NAV growth chart and verified details.

Yes. Several open-end funds are Shariah-compliant, investing only in Islamically permissible ways under a Shariah supervisory board, and otherwise working like any other open-end fund. ReturnKoto? has a one-tap filter to show only these, and there is a guide to Shariah funds.