From Daily Mirror UK

Ceylon Guardian Investment Trust PLC (GUAR) and Ceylon Investment PLC (CINV) said yesterday that they are considering winding up the US$2.23 million Sri Lanka Fund incorporated in the Cayman Island, a tax haven. Both companies, subsidiaries of Carson group, each holds 43.34 of the dollar denominated fund.“after much analysis and discussion, it has been decided to consider winding up operations of The Sri Lanka Fund, as this investment vehicle is no longer an attractive structure,” a stock market filing said.

As of 28th of August last year, the fund’s top five equity investments were comprised of Cargills (Ceylon) Plc (11.1 percent), Hatton National Bank PLC (9.3 percent), Ceylinco Insurance PLC (8.5 percent), Nation Trust Bank (7.6 percent) and Dialog Telecom PLC (7.4 percent) with highest exposure to the banking sector.

In addition, it also maintained 12.1 percent of total asset in cash and cash equivalent form.

The Sri Lanka Fund was re-launched in 2010 under the management of Guardian Fund Management (GFM) Limited “with the intention of attracting foreign investors to the Colombo Stock Exchange.

GFM acts as investment Managers of GUAR and CINV as well.

As of August last year, the performance of the fund has deteriorated by 6.33 percent since the re-launch in 2010; however, it has beaten the both indices of Colombo Stock Exchange (CSE) which were declined by double digits in the period.

For more on this story go to: http://www.dailymirror.lk/article/Cayman-Island-based-The-Sri-Lanka-Fund-to-be-wound-up-162015.html