Launch of $ 100 Mn Sri Lanka Opportunity Fund for Global Investors 📈
ACP Asset Management has launched the Sri Lanka Opportunity Fund, the first-ever European-regulated (UCITS) fund dedicated exclusively to Sri Lankan assets. Regulated by the FMA of Liechtenstein, the fund offers international investors a liquid, high-governance entry point into the country’s economic recovery. • Fund Status & Targets: - Already seeded with US$ 10 Mn. - Expected inflow of US$ 25 Mn within the next 30 days. - Target Assets Under Management (AUM): US$ 100 Mn within 6–12 months. • Performance Track Record: - Building on a prior strategy that delivered USD returns of 25.60% (2025), 48.55% (2024), and 38.50% (2023). - Cumulative returns of 77.55% since December 2021, significantly outperforming the MSCI Frontier Markets Index. • Investment Strategy: - Focuses on listed equities and fixed income (Sovereign and Corporate bonds in USD/LKR). - Targets high-growth sectors: Banking, Consumer, and Export-oriented industries. - Leverages attractive equity valuations currently at ~11x price-to-earnings. • Market Outlook: - Capitalizes on Sri Lanka's economic restructuring, stable debt profile, and rebounds in Tourism and Manufacturing. - The UCITS structure provides a 30% liquidity buffer, signaling Sri Lanka's readiness to operate within international regulatory frameworks.
Sri Lanka to Host Landmark Global Investment Forum on June 10 📈
• Event Overview: The Sri Lanka Export Development Board (EDB) has announced plans for what is expected to be the largest and most extensive investment forum in the country’s history, scheduled for June 10, 2026. • Strategic Objective: The forum aims to bring top-tier global investors to Sri Lanka to facilitate direct, face-to-face engagement with local exporters, focusing on expanding international market linkages. • Sector Impact: The initiative targets growth across key national sectors, including export manufacturing, apparel & textiles, and agricultural exports, by providing a platform for discussions on expanding export opportunities. • Key Highlights: • Expected to be the most "extensive and attractive" gathering of its kind in Sri Lanka. • Focus on strengthening global buyer-investor relationships. • Led by EDB Chairman Mangala Wijesinghe to drive long-term export sector growth. _Note: Summary based on provisional EDB announcements as of February 25, 2026._
## Capital Alliance Lists Third Closed-End Fund on CSE 📈
Capital Alliance Investments Ltd (CALI) officially listed the units of its CAL Three Year Closed End Fund on the Colombo Stock Exchange (CSE), marking another milestone in the growth of structured investment vehicles in Sri Lanka. • Listing Details: A total of 841,263,375 units were listed following a ceremonial bell-ringing at the CSE. This follows CALI’s previous launches of the Five Year Closed End Fund (2025) and the Five Year Optimum Fund (2024). • Fund Strategy: The fund is a closed-end fixed income unit trust with a three-year tenure. It focuses on capital preservation and growth through a diversified portfolio of fixed income instruments, governed by strict internal credit filters and liquidity monitoring. • Market Context: The listing reflects rising domestic interest in unit trusts as a professional entry point for retail investors. In a stabilizing yield environment, these funds aim to provide predictable cash flow and channel national savings into productive economic activity. • Sector Impact: This development strengthens the financial services sector by expanding the range of professionally managed investment products available, supporting broader capital market development during the country’s economic recovery.
Understanding Fixed Income: Bonds & the Sri Lankan Market 📈
A collaborative insight by CFA Society Sri Lanka, SEC, and CSE highlights the role of bonds in building resilient portfolios through stable income and risk mitigation. • Core Mechanics • Bonds act as loans to the Government or corporates in exchange for regular "coupon" (interest) payments. • Maturity periods: Short-term (<3 yrs), Medium-term (3–10 yrs), and Long-term (>10 yrs). • Secondary Market Inverse: Bond prices and interest rates move in opposite directions; falling rates boost existing bond values. • Market Instruments in Sri Lanka • Government Securities: Treasury Bills (discounted short-term) and Treasury Bonds (fixed-term) issued via CBSL. • Corporate Debentures: Companies issue debt for expansion, typically with ~5-year maturities, often listed on the CSE. • Sustainable Finance: Emerging Green, Blue, and Social Bonds (GSS+) targeting ESG-focused projects. • Yields & Risk Comparison • Historical returns (1994–2024): T-Bills averaged 11.34% with no principal loss, vs. ASPI (shares) at 14.57% with high 37.10% volatility. • Key risks: Interest rate risk, inflation risk, credit (default) risk, and liquidity risk. • Credit ratings (e.g., Fitch, Moody’s) help assess an issuer's likelihood of debt repayment. • Investment Strategy • Bonds offer predictable income and priority in liquidation over shareholders. • Recommended for diversification to offset stock market volatility, especially for conservative investors and retirees.
## Patient Capital Rebuilding the North: $ 5M Deployed 📈
Veteran banker Rajendra Theagarajah, via the Cinnamon Global fund, has outlined a "patient-capital" model to drive sustainable wealth in Sri Lanka’s Northern Province, moving away from charity toward long-term growth. • Overall Investment & Strategy Total Deployed: Approximately US$ 5 Mn over four years. Focus: Growth-stage enterprises (not startups/seed funding). Model: Revenue-linked returns instead of traditional collateral or interest. Ticket Sizes: Typically US$ 25,000 – 50,000 per entity; largest single investment at US$ 700,000. • Sector Breakdowns & Verticals Agriculture: Focus on value addition and heritage rice (expanded to 350+ farmers). Aquaculture & Fisheries: Supporting coastal economic development. ICT/BPM: Innovative ventures to retain local talent and prevent urban migration. Logistics: Services supporting the broader regional ecosystem. • Key Impact Highlights Financial Inclusion: Transitions informal businesses into the formal banking system through governance and compliance support. Agricultural Tech: Implementation of soil mapping and AI-driven crop advisory for heritage rice. Export Potential: Targeting UK and US markets for low-glycemic rice varieties. Local Empowerment: Focus on Tamil-language engagement and grassroots trust-building to bridge knowledge gaps.
Gold & Silver Markets Shaken by Global Crash: Implications for Sri Lanka 📈
The global financial landscape witnessed a seismic shift as gold and silver prices suffered a sharp collapse, erasing an estimated US$ 3 Trillion in market value within 90 minutes. Driven by algorithmic selling and mass profit-taking, the "flash crash" has critical repercussions for Sri Lanka’s export-driven economy. • Market Breakdown & Volatility • Gold prices plunged to approximately US$ 5,135/oz, while silver fell to nearly US$ 109/oz. • Locally, 24K gold reached a milestone of Rs. 435,050 per 8g (1 sovereign) earlier in February before the correction. • The crash was accelerated by high-frequency trading and margin calls, impacting global liquidity. • Sector Impact & Exports • Gems & Jewellery: As a net importer of gold for manufacturing, Sri Lanka faces extreme volatility in working capital and inventory valuation. However, the sector showed resilience in 2025, with Diamonds, Gems & Jewellery exports estimated to grow 46.15% YoY (reaching US$ 23.91 Mn in Dec 2025). • Apparel & Textiles: Remained the top revenue driver, earning US$ 4.9 Bn in 2025 (+5.34% YoY). • Tea: Export earnings reached US$ 1.5 Bn (+4.97% YoY) in 2025. • Economic & Policy Outlook • Total exports for 2025 reached US$ 17.25 Bn (+5.6% YoY), with a US$ 20 Bn target set for 2026. • Global volatility pressures the Sri Lankan Rupee and complicates Central Bank reserve valuations, as gold is a key component of official foreign exchange reserves. • Experts advise a shift from price speculation to margin protection and design-based value addition for local stakeholders.
Unit Trust Industry Hits Rs. 610 Bn Asset Milestone 📈
Sri Lanka's unit trust industry recorded a strong start to 2026, with Assets Under Management (AUM) growing 6.1% YoY to surpass the Rs. 600 Bn mark by end-January. • Overall Growth: Total AUM reached Rs. 610 Bn, marking a 3.8% increase from December 2025. The industry now comprises 84 funds managed by 16 companies. • Sector Performance: • Equity-related funds were the primary driver, doubling YoY to Rs. 67 Bn and surging 10.2% in January alone. • Fixed income funds maintained steady growth, rising 2.9% YoY. • Investor Participation: The industry added 3,110 new unit holders in January (+35.0% YoY), bringing the total investor base to 147,020—a 25.7% YoY increase. The shift toward equity reflects high investor confidence in capital market performance and a strategic move toward long-term capital appreciation. The Unit Trust Association of Sri Lanka (UTASL) continues to focus on enhancing financial literacy and accessibility to further integrate retail investors into the formal economy. _Data based on UTASL January 2026 industry report._
## 📈 Understanding Unit Trust Disclaimers in Sri Lanka
The Unit Trust Association of Sri Lanka (UTASL) clarifies that mandatory disclaimers in unit trust advertisements are designed to protect investors, not fund managers, by ensuring transparency and realistic expectations. • Core Purpose of Disclaimers Since unit trusts are market-linked—investing in government securities, bonds, and equities—returns are subject to market volatility. The SEC strictly prohibits guaranteed returns to prevent misleading investors. • Decoding Key Phrases • "Yield is variable": Indicates returns fluctuate based on interest rate shifts (for money market funds) or share price movements (for equity funds). • "Past performance is not indicative of future performance": A reminder that historical gains do not guarantee future results due to changing economic conditions. • The Role of Documentation • KIID (Key Investor Information Document): A mandatory SEC-regulated document detailing fund risks, fees, and suitability. • Fact Sheets: Provide concise, regular updates on fund performance and asset allocation. • Sector Significance Unit trusts promote financial inclusion by offering professional management and diversification to retail investors. This industry, comprising 16 licensed companies, plays a vital role in mobilizing capital for national economic growth. _Note: Information based on industry insights provided by UTASL on February 17, 2026._
Sri Lanka Investment Forum 2026: Focusing on Green Transition & Economic Recovery 📈
The Board of Investment (BOI) is set to host the Sri Lanka Investment Forum 2026 on 30 March at Cinnamon Life, Colombo. Partnering with the EU, ADB, and ESCAP, the event aims to showcase the nation's landscape for sustainability and tech-driven growth. • Core Theme: Investing in Sri Lanka’s green and connected future, with a heavy focus on renewable energy, green finance, and economic recovery strategies. • Sector Highlights: • Manufacturing: Emphasis on value-added processing, pharmaceuticals, and industrial manufacturing. • Services: Focus on logistics, integrated warehousing, and aviation services. • Infrastructure: Opportunities in technology/innovation parks, university towns, and "cinema cities." • Leisure & Recreation: Targeted growth in nautical tourism, waterfront developments, and theme parks. • Key Features: The forum will include an exclusive EU-SL Investor Dialogue, B2B matchmaking sessions, and deep dives into green finance instruments to fund the transition. • Support: Co-funded by the European Union with strategic support from the ADB and UN ESCAP to align with international sustainability standards.
📈 SME Forum: SEC & CSE Target Regional Business Growth
The Securities and Exchange Commission (SEC) and Colombo Stock Exchange (CSE) are hosting an issuer forum today, 13 February 2026, in Weligama. The initiative aims to bridge funding gaps for regional businesses by encouraging engagement with the capital market. • Overall Market Strength (2025): • Market Capitalisation: Exceeded Rs. 8.5 Trillion. • New Listings: 25 total (including 6 new companies raising debt and equity). • Innovative Instruments: Introduction of Blue Bonds, Green Bonds, and Sustainable Bonds. • Key Focus Areas for SMEs: • Transitioning to the Empower and Diri Savi boards for easier listing. • Strategies for succession planning, governance, and wealth management. • Reducing reliance on traditional bank credit in favor of risk capital. • Strategic Outlook: The forum highlights a shift toward broad-basing companies across Sri Lanka. By leveraging a buoyant market—noted for significant volume increases—SMEs in sectors like tourism and agribusiness can access mid-to-long term capital to catalyze expansion.
📈 TESS Agro to Raise Rs. 250 Mn via Private Placement
TESS Agro PLC has announced a strategic shift in its funding plans, opting for a private placement of shares to raise Rs. 250 million, replacing a previously proposed debenture and warrant structure. • The Deal: The company will issue up to 125 million ordinary voting shares (approximately 18.5% of issued voting shares) at Rs. 2.00 per share. • Investor: The shares are to be issued to Oman-based SE Capital Trading SPC. • Purpose of Funds: Proceeds are earmarked for the repayment of existing borrowings, meeting working capital requirements, and funding capital expenditure. • Financial Context: As of Dec 2025, the company reported long-term borrowings of Rs. 343.3 million and short-term debt of Rs. 156 million. Net assets stood at 39 cents per share. • Market Reaction: Following the announcement, TESS Agro voting shares closed at Rs. 2.10 (down 10 cents), while non-voting shares remained unchanged at Rs. 1.50. The move is part of a broader capital restructuring for the agriculture and export sector firm and remains subject to shareholder and regulatory approvals from the CSE and SEC.
📈 2026: A Catalyst Year for Sri Lankan IPOs
Asia Securities projects a robust phase for Initial Public Offerings (IPOs) in 2026, driven by macroeconomic stability, regulatory reforms, and favorable monetary conditions. • Market Outlook & Drivers Low interest rates are shifting funding preferences from debt to equity, offering permanent capital without debt-servicing strains. The Colombo Stock Exchange (CSE) plans a digital listing portal and a 7-day review process to expedite market entry. Secondary market liquidity and valuation benchmarks have improved following a strong recovery post-2022 crisis. • Economic Context Government Revenue has recovered to over 15% of GDP, meeting critical debt-restructuring framework targets. 2025 marked the third consecutive year of a primary surplus, with Sri Lanka outperforming IMF targets. External debt obligations are capped at under US$ 2.5 Bn per year for 2026-2027, significantly improving sustainability. • Private Sector & Investment Private sector credit growth exceeded Rs. 200 Bn per month since mid-2025, with credit-to-GDP at 31.3%. Current investment-to-GDP stands at 27%; reaching 6% economic growth requires this to hit 30-31%. Recent success: Cable Solutions Ltd (listed Aug 2024) saw its share price more than double from Rs. 7.50 to over Rs. 15. • Strategic Benefits Listings are expected to improve corporate governance and succession planning for family-owned businesses. Emphasis remains on increasing participation from State-Owned Enterprises (SOEs) and private firms to expand market capitalization.
📈 Equities Outperform Traditional Assets in Sri Lanka
A 5-year analysis ending December 2025 highlights the superior wealth creation potential of equities over fixed income and real estate in the local market. • Market Performance The Colombo Stock Exchange (CSE) ASPI recorded a 5-year CAGR of ~27.28%. Capital invested at end-2020 more than tripled by end-2025. Annual gains: 41.89% (2025), 25.5% (2024), and 49.66% (2023). • Comparative Returns Fixed Income: T-bills and bank deposits averaged ~10% annually, often yielding negative real returns when adjusted for inflation and taxes. Real Estate: Hampered by high transaction costs (8–10%), low liquidity, and rental yields rarely exceeding mid-single digits. Gold: Underperformed productive assets over full cycles; globally, equities (8.1%) outpaced gold (6.7%) from 1990–2025. • Sector & Unit Trust Insights Diversified equity unit trusts saw 5-year CAGRs exceeding 20%. Balanced funds underperformed pure equities due to fixed-income "drag." Equity growth is driven by corporate earnings reinvestment and valuation normalization post-economic crisis. • Key Takeaway While fixed income is essential for liquidity, long-term wealth accumulation in Sri Lanka is most effectively achieved through equities, benefiting from compounding and business growth.
📈 2026 Financial Outlook: The Rise of the ‘Intentional Consumer’
Sri Lanka enters 2026 with a strategic shift toward financial resilience, as households navigate a "cost of living crunch" despite stable inflation. Amidst a projected GDP growth of 3.2% - 5.0%, consumer behavior is evolving from impulsive spending to "intentional" daily habits to preserve disposable income. • Overall Economic Context • Inflation: Projected to average 2.8% in 2026, remaining below the Central Bank’s 5% target due to subdued demand. • Reserves: Gross Official Reserves reached US$ 6.8 Bn by end-2025, the highest since the crisis. • Exchange Rate: The LKR is under pressure, with forecasts around Rs. 307.8 per US$, raising the cost of essential imports. • Key Consumer Trends for 2026 • Loud Budgeting: A shift toward vocalizing financial boundaries, reducing the social pressure to spend and fostering shared financial values. • Micro-Saving: Adoption of "round-up" resolutions to the nearest Rupee on digital transactions—a modern "penny jar" for the ICT/BPM enabled economy. • Tactical Retail: Growth in "yellow sticker" shopping and a 24-hour "cooling-off" period for online checkouts to combat retail impulse spending. • Sector Impact • Retail & FMCG: Supermarket markdowns are reducing monthly food bills by up to 30% as price sensitivity peaks. • Banking: Increased focus on micro-savings and digital "Pay by Bank" features to mobilize domestic liquidity. • Apparel & Textiles: High-margin sectors face pressure as Gen Z consumers prioritize value and brand authenticity over fast fashion.
Investing for Success: The Case for Simplicity 📈
A "Keep It Simple and Smart" (KISS) strategy is recommended for retail investors to achieve long-term goals with minimal stress and decision fatigue. • Investment Strategy: Shift from complex stock-picking to low-cost index funds or target-date funds that automatically adjust risk based on retirement timelines. For 5-10 year goals, high-quality bond index funds or moderate-risk allocation funds are advised. • Economic Context: While the Colombo Stock Exchange (CSE) saw the ASPI gain over 40% in 2025, experts warn against "market timing." Consistent saving is emphasized as more critical than chasing record returns. • Market Performance: The CSE remains a key vehicle for wealth, with the market trading at a P/E of 10.5x. Industrials and Renewable Energy are currently leading growth, though a simple diversified approach helps mitigate volatility. • Psychological Gains: Streamlined portfolios reduce management stress and ensure easier transitions for family inheritance or shared financial management. _Provisional data indicates Sri Lanka's 2026 GDP growth is projected at 4-5% by CBSL, supporting a stable long-term outlook for simplified equity investments._
NTB Secures US$ 70 Mn IFC Funding for SME Recovery 📈
• Nations Trust Bank (NTB) has secured a US$ 70 million debt financing package from the International Finance Corporation (IFC), marking the first post-crisis multilateral debt transaction in Sri Lanka's financial sector. • Funding Breakdown: • US$ 50 million: Senior unsecured loan. • US$ 20 million: Global Trade Finance Program line. • Target Sectors: • Primary focus on Small and Medium Enterprises (SMEs), particularly women-owned businesses. • Aims to bridge the SME financing gap, which currently exceeds 20% of national GDP. • Economic Impact: • The investment signals a return of international investor confidence in the banking and financial services sector. • Supports national recovery by providing credit access to segments vital for employment and inclusive growth. • Context: Based on provisional data, this is a strategic move to address the credit shortfall for the private sector following the 2022 financial crisis.
📈 Unit Trust Industry Hits Rs. 587 Bn in 2025
Sri Lanka’s unit trust sector closed 2025 with strong growth, reflecting a significant shift in investor sentiment toward capital appreciation and market-linked products. • Overall Performance: Assets Under Management (AUM) grew 7.8% YoY to reach Rs. 587 Bn. The industry hit a peak of Rs. 613 Bn during the year, managed by 16 companies across 86 funds. • Sector Shifts: While fixed-income holds the largest AUM share, equity-related funds dominated new inflows with Rs. 30 Bn (vs. just Rs. 2 Bn for fixed-income). Open-ended growth (equity) funds saw a massive 79% YoY increase. • Investor Base: Total unit holders reached 143,976, a robust 25.4% YoY increase. The industry added 30,485 new investors in 2025 alone, with a 2.0% monthly growth recorded in December. • Market Trends: Investors moved away from ultra-safe money-market instruments toward medium-term growth, balanced, and sector funds, signaling a rising risk appetite and long-term focus. _Note: Based on provisional industry data for the 2025 calendar year._
📈 Sri Lanka Investment Outlook: "Very Compelling" Crisis Reset
Hosking Partners, Sri Lanka’s largest foreign capital market investor, highlights a rare investment window as assets trade well below their long-term potential following the economic "reset." • Market Valuation & Opportunity The scale of capital destruction has left established businesses trading below replacement costs. Foreign participation in the CSE fell sharply post-2020, creating significant valuation distortions that favor patient, long-term investors. • Sector Breakdowns • Property & Hotels: Identified as high-recovery sectors due to limited new capacity and depressed valuations. • Banking & Finance: Private credit contracted from 60% to 40% of GDP, while mortgage credit stands at a mere 2.7% of GDP, signaling massive room for expansion. • Construction & Diversified Conglomerates: Core areas where Hosking Partners deployed capital during the crisis. • Key Economic Indicators • Market Cap: Declined by ~70% in US$ terms during the downturn, allowing for acquisitions at fractions of rebuild costs. • Portfolio Growth: Hosking’s holdings have more than doubled since early 2023, aided by lower inflation and currency appreciation. • Strategic Outlook Sustained progress depends on disciplined fiscal policy and domestic bond market development. Sri Lanka is positioned to benefit from capital scarcity and potential economic integration with India, contrasting with "overcrowded" global tech themes.
📈 WealthTrust Securities Surges 167% in CSE Debut
WealthTrust Securities Limited (WLTH.N0000) marked a stellar entry into the equity market today, with its share price skyrocketing on the first day of trading. • Market Performance: The share closed at Rs 18.70, a massive 167.14% increase (up Rs 11.7) from its IPO price of Rs 7.00. • IPO Recap: The initial offer on 17th December 2025 was oversubscribed, raising LKR 500.84 Mn through the issuance of 71.54 Mn ordinary voting shares. • Strategic Shift: Known as a leading primary dealer in government debt, this listing on the Diri Savi Board signals a major move to diversify into the equity market. • Financial Standing: The company holds an "A- (Positive)" rating from the Lanka Rating Agency. • Broader Context: This debut follows a record-breaking 2025 for the CSE, which saw 24 new listings and ended the year with a market cap of Rs 8.068 Tn. Diversification into the equity market is expected to leverage the firm's expertise in treasury bonds to deliver enhanced value to its new shareholder base.
### Building Resilient Portfolios: Strategy for Growth 📈
A robust investment strategy requires shifting from single-share ownership to diversified portfolios to mitigate macro and company-specific risks. • Risk Framework Risk is categorized into four tiers: Country risk (macro shocks), Market risk (inflation/interest rates), Sector risk (industry-level plunges, e.g., tourism), and Company risk (governance or debt issues). • Asset Class Breakdown • Equities: Vital for long-term wealth. Export-oriented stocks offer a natural currency hedge for the Sri Lankan context. • Fixed Income: Bonds, Treasury Bills, and corporate debentures provide stable, predictable income backbones. • Cash/Alternatives: Money market funds offer liquidity (optionality), while real estate and gold act as inflation buffers. • Life-Stage Allocation • Growth Phase: Younger investors may lean toward 70% equities, 20% fixed income, and 10% cash/alternatives. • Stability Phase: Retirees should prioritize capital protection, shifting toward 60% fixed income and 30% equities. • Key Takeaway Resilience is built through diversification across apparel, banking, and consumer staples to offset concentration risk. Discipline and periodic rebalancing are more critical than market timing.
📈 WealthTrust Securities Debuts on CSE Diri Savi Board
Shares of WealthTrust Securities Ltd (WTS) officially commence trading on the Colombo Stock Exchange (CSE) today, Jan 7, 2026, following a highly successful Initial Public Offering (IPO). • IPO Highlights: The issue offered 71,548,244 ordinary voting shares at Rs. 7.00 per share, successfully raising approximately Rs. 500.8 Mn. • Investor Demand: The IPO saw exceptional interest, being oversubscribed by 14.9 times within minutes of opening. It attracted over 10,000 applications across all investor categories. • Market Entry: WTS will trade under the ticker symbol “WLTH-N-0000” on the Diri Savi Board. • Strategic Use of Funds: Proceeds are earmarked to bolster the company’s core capital base. This expansion aims to mitigate interest-rate risks and scale its Government securities trading portfolios. • Sector Role: As a licensed Primary Dealer and debt stockbroker/dealer, WTS is a key intermediary in Sri Lanka’s capital markets, specializing in the trading and distribution of government debt.
🎉 Arkansas Powerball Player Wins $1.817 Billion Jackpot on Christmas Eve! 💰
• A lucky Powerball player in Arkansas secured a massive US$1.817 billion (£1.34 billion) jackpot on Christmas Eve (December 24, 2025). • This makes it the second-largest lottery prize ever claimed, with the winner having the option for a lump-sum cash payment of US$834.9 million. • This is only the second time a Powerball jackpot ticket has been sold in Arkansas. • The largest single-ticket prize remains US$2.04 billion, won in 2022. • Odds of winning were 1 in 292.2 million. • Winnings are subject to federal taxes (24-37%) and potential state taxes.
WealthTrust Securities IPO Opens Tomorrow on CSE 📈
• WealthTrust Securities Limited (WTS) IPO opens tomorrow (Dec 17, 2025), offering 71,548,244 Ordinary Voting Shares at LKR 7.00 per share. • Aims to raise LKR 500,837,708, with shares listing on the Diri Savi Board of the Colombo Stock Exchange (CSE). • WTS is a Primary Dealer authorised by the Central Bank of Sri Lanka and a licensed Stock Broker/Dealer (Debt). • Proceeds will strengthen core capital and expand its investment and trading portfolio in government securities. • Managed by Asia Securities Advisors (Private) Limited, the IPO is priced at a discount, generating positive investor sentiment.
🇱🇰 Unit Trusts: Building a Nation of Investors 📈
Sri Lanka's SEC Chairman, Senior Prof. Hareendra Dissabandara, highlights Unit Trusts as a vital tool for financial inclusion & national economic growth. • What are Unit Trusts? They allow collective investment, pooling money from thousands of small investors for professional management in shares, government securities, & other assets. Each investor owns "units" and shares returns. • Why are they crucial for Sri Lanka? They enable ordinary citizens, even with small savings, to become investors, channeling idle money into productive investments, strengthening the capital market & national economy. • New National Initiative: "සැමට fකdටසක් – සැමට ඒකකයක්" (A Share for Each – A Unit for Everyone) • Proposed to the Government, aiming for every Sri Lankan household to own at least one unit in the capital market. • Rs. 1 billion from the Government, with additional contributions from SEC, CSE, stockbrokers, & listed companies. • Targets ~263,000 families, providing an initial investment credit of Rs. 3,000 - 5,000 into a CDS account. • Focuses on guiding low-income & rural families towards safer, professionally managed Unit Trusts. • Empowering Individuals: • Earn better returns on savings, potentially outpacing inflation. • Encourages financial discipline & regular saving. • Builds wealth over time through compounding (e.g., Rs. 3,000/month could grow to over Rs. 1 million in 15 years). • Nation Building: Individual investments flow into Sri Lankan companies & government projects, creating jobs & expanding the economy. • Safety & Regulation: All Unit Trusts are managed by SEC-approved & supervised fund management companies, with funds held by independent trustees (banks) to ensure investor protection & transparency. • How to Start: Very simple. Visit a Licenced Unit Trust management company/agent, fill a form, and start with as little as Rs. 1,000 - Rs. 5,000. No technical knowledge needed. • Myth Debunked: Investing is not just for the rich nor is it gambling. It's about owning a share in productive assets, managed professionally to help build wealth safely & gradually.
Assetline Finance Opens Landmark Rs. 5 Billion Debenture Issue 📈
Assetline Finance, part of the David Pieris Group, opens subscriptions today (Dec 9) for its inaugural listed debenture issue, aiming to raise up to Rs. 5 billion. • This marks their first entry into the listed debt capital market, seeking funding diversification, enhanced liquidity, and long-term financial resilience. • The issue involves 50 million debentures, each with a face value of Rs. 100 and a five-year tenor, approved for listing on the Colombo Stock Exchange. • Rated 'A' with a Positive Outlook by Lanka Rating Agency, reflecting strong creditworthiness and robust capital. • Proceeds will expand the company's lending portfolio, support product innovation, and strengthen its funding base, contributing to national economic activity by increasing credit access. Strong H1 FY25/26 Financial Performance: • Total assets surged to Rs. 72,712 million (nearly 40% growth). • Lending portfolio grew by 42% to Rs. 60,651 million, driven by strong demand in SME, micro-enterprise, and mobility-based segments. • Profit Before Tax reached Rs. 2,940 million; Profit After Tax Rs. 1,416 million. • Asset quality improved: Gross Stage 3 Loan Ratio reduced to 4% (from 9.7% YoY). • Capital Adequacy Ratio at a strong 18.45% (as of Sep 2025). • Operational efficiency maintained with a Cost-to-Income Ratio of 39.8%. Manager to the issue: Capital Alliance Partners Ltd. (CAL). Investors are encouraged to review the prospectus.
Fintrex Completes Rs. 500 Mn Tier II Capital Raise 📈
• Fintrex Finance PLC successfully raised Rs. 500 million in Tier II capital. • The capital was secured via an unlisted, unsecured subordinated loan structured as Trust Certificates, approved by the Central Bank on 30 November 2025. • The instrument carries a fixed annual interest rate of 12.50% with a five-year tenure and bullet repayment. • This infusion significantly strengthens Fintrex's regulatory capital position and supports its ongoing expansion plans in line with capital-adequacy requirements. • First Capital Advisory Services Ltd managed the transaction, with Hatton National Bank PLC as Trustee and Nithya Partners as legal counsel.
📈 Abans Finance to Raise Rs. 1.5 Bn via Debentures 🚀
• Abans Finance PLC board has approved issuing up to 15 million listed, rated, senior, unsecured, redeemable debentures, aiming to raise a maximum of Rs. 1.5 billion. • The debentures will be listed on the Colombo Stock Exchange. • This move is set to strengthen the company's funding base and diversify its borrowing structure. • The capital is intended to meet anticipated credit demand in the coming year. • The issuance is subject to all necessary regulatory approvals. • Details on tenure, coupon structure, and opening date will be announced post-regulatory clearance.
HNB's Sustainable Bond Issue Opens Soon 📈
• Hatton National Bank PLC (HNB) has received in-principle approval from the CSE to list a tranche of Listed, Rated, Unsecured, Redeemable Senior Sustainable Bonds, aiming to raise a maximum of Rs. 10 billion. • The issue comprises an initial issuance of Rs. 5 billion, with an option to issue a further Rs. 5 billion in the event of oversubscription. • Key Tenors & Rates (Fixed Annual Effective Rate): • Type A (5-Year Bonds, 2025/2030): 10.25% • Type B (7-Year Bonds, 2025/2032): 11.00% • Interest will be paid annually. • The subscription list is officially scheduled to open on 9 December 2025, allowing investors to subscribe from now on. • HNB Investment Bank Ltd. is serving as the Manager to the Issue.
NTB Plans Debenture Issue Up to Rs. 15 Bn for Capital Boost 🏦
• Nations Trust Bank (NTB) has announced a Basel III–compliant Tier 2 debenture issue to strengthen its capital base and support future growth. • Total Size: The issue aims to raise up to Rs. 15 Billion, subject to market conditions. • Initial issue is set at Rs. 10 Billion (100 million debentures at Rs. 100 par value). • A further Rs. 5 Billion is reserved for oversubscription. • Instrument Details: The debentures will be listed, rated, unsecured, subordinated, redeemable, and include a non-viability conversion feature. • Financial Context: The capital-raising initiative aligns with the bank's expansion plans, including the ongoing acquisition of HSBC's Sri Lankan retail banking business for Rs. 18 Billion. • NTB's Assets (as of end-Sept): Total assets stood at Rs. 691.1 Billion, with stated capital of Rs. 13 Billion and retained earnings of Rs. 68 Billion.
📈 InsureMe Makes History: First Insurance Intermediary Lists on CSE
• Sri Lanka’s pioneering digital insurance aggregator, InsureMe, has been listed on the Colombo Stock Exchange (CSE). • This marks a major milestone as the nation's first insurance intermediary to go public. • Founded in 2016 and licensed by the IRCSL, the company has driven digital transformation by offering a transparent, technology-driven platform for purchasing and claiming insurance. • The listing reflects InsureMe's strong market position, proven track record, and commitment to governance. • Its technology arm, DIGIS, recently achieved international debut via a partnership in Singapore. • The company also holds a separate license from IRCSL to operate as a Reinsurance Broker. • The move is expected to strengthen InsureMe's growth and reinforce investor confidence in Sri Lanka’s rapidly expanding tech/digital services and InsurTech sector.
InsureMe Insurance Brokers Cleared for CSE Empower Board Listing 📈
The Colombo Stock Exchange has granted in-principle approval for InsureMe Insurance Brokers Ltd to list 2,055,290 shares on the Empower Board via introduction. • Reference Price: Rs. 442 per ordinary voting share. • Financial Highlights (FY 2025): Revenue stood at Rs. 301.6 million with a Net Profit of Rs. 24.4 million. • Growth: The company recorded a strong 19% CAGR in revenue over the five financial years to FY25, driven by policy purchases on the insureme.lk platform. • Balance Sheet: Maintains an asset-light model, with Equity rising to Rs. 143.3 million (FY25) and almost no long-term debt. • Strategic Aim: Listing supports two objectives—strengthening corporate visibility to pursue growth in Sri Lanka, Asia-Pacific, and MENA markets via its insure-tech products, and reinforcing governance structures.
LOLC Finance Gets CSE Nod for Rs. 15 Bn Debenture Issue 📈
• The Colombo Stock Exchange (CSE) has approved the listing of LOLC Finance's planned debenture issue, with the subscription list opening on 2 December 2025. • The company plans to raise up to a maximum of Rs. 15 Billion through the issuance of up to 150 million listed, rated, senior, unsecured, redeemable five-year debentures (Rs. 100 each). • Key Instruments: The issue comprises three five-year options: • Fixed-rate (Annual Payment): 11.25% (AER 11.25%) • Fixed-rate (Semi-Annual Payment): 10.95% (AER 11.25%) • Floating-rate: 364-day Treasury Bill rate plus 2.50% • Financial Context: The issue comes amid strong earnings growth: • September 2025 Quarter After-Tax Profit: Rs. 8.8 Bn (a significant 106% YoY increase). • Nine-month Profit: Rose 72% to Rs. 14 Bn. • Total Assets: Reached Rs. 466 Bn.
📈 WealthTrust Securities (WTS) Announces Rs. 500Mn IPO to Boost Core Capital
WealthTrust Securities Limited (WTS), a leading non-bank Primary Dealer, is launching an Initial Public Offering (IPO) to strengthen its core capital buffer and enhance its risk absorption capacity in the evolving interest rate environment. • IPO Details: • Goal: Raise LKR 500.8 million (approx. Rs. 500Mn). • Shares Offered: 71,548,244 Ordinary Voting Shares. • Price per Share: LKR 7.00. • Stake: Represents a 5.84% stake in the Company. • Listing & Valuation: • The offer price provides an 18% upside to the primary valuation methodology. • WTS shares will be listed on the Diri Savi Board of the Colombo Stock Exchange (CSE) (in-principle approval received). • Indicative market capitalization upon listing is LKR 8.6 billion. • Company Profile: • WTS is currently rated A- (Positive) by the Lanka Rating Agency, reflecting strong fundamentals. • Key Dates: • Applications begin accepting: 24th November 2025. • Subscriptions officially open: 17th December 2025. • Media Launch/Investor Briefing: 2nd December 2025.
Sri Lanka's Unit Trust Industry Soars: AUM Crosses Rs. 600 Bn Mark 📈
• Assets Under Management (AUM) reached Rs. 603 Bn by end-October 2025, surpassing the Rs. 600 Bn mark and rising from Rs. 592 Bn in September. • This growth reflects a significant 16% Year-on-Year (YoY) increase. • Investor Activity: The total number of unit holders grew to 137,224. • 3,628 new unit holders were added in October, contributing to nearly 25,000 new investors Year-to-Date (YTD). • Key Inflows: Approximately Rs. 4 Bn was channeled into equity-related funds in October, indicating growing investor confidence in Sri Lanka's capital markets and a move away from traditional savings methods. • The industry manages assets across 85 funds via 16 licensed management companies. • The Unit Trust Association, together with SEC/CSE, remains focused on strengthening financial literacy and investor participation across the country.
📈 CFA Program Access Scholarships Open for August 2026 Exam Cycle!
CFA Society Sri Lanka has announced the opening of applications for the prestigious CFA Institute Program Access Scholarships for the August 2026 exam cycle. • Purpose: This global initiative is designed to make the rigorous CFA Program more accessible by providing substantial financial support, significantly reducing enrolment and exam registration fees for eligible candidates. • SL Impact: CFA Society Sri Lanka highlights the scholarship's vital role in strengthening the nation's future financial talent pool and enhancing global competitiveness. • Target Group: Encouraged applicants include university students aspiring to enter finance, existing industry professionals seeking enhanced credentials, and individuals transitioning into the field. • Application Window (Levels I, II, and III): - Opens: November 11, 2025 - Closes: December 1, 2025 • Notification: Applicants will be notified via email approximately four weeks after the closing date.
Lankem Ceylon PLC Rights Issue Oversubscribed 📈
• Lankem Ceylon PLC successfully concluded its 1:3 Rights Issue, attracting strong investor interest and resulting in oversubscription. • Target vs. Actual: The issue, which aimed to raise Rs. 1.2 Billion, received applications worth over Rs. 1.36 Billion (subject to final verification). • Issue Details: Over 17.1 million shares were offered to shareholders at an issue price of Rs. 70 per share. • Financials: Net Asset Value (NAV) per share stood at Rs. 64.73 as of end-September 2025, declining from Rs. 70.80 in the preceding March quarter. • Market Note: The share closed at Rs. 89.10 on the day prior to the announcement.
🤝 Strategic Investment Boosts Sri Lanka's Financial BPO Sector
• Advice Lab, a BPO providing paraplanning and administrative services, has secured a strategic minority investment from Rhombus Advisory, a leading Australian professional services group. • This initiative validates Advice Lab's operations and performance across its delivery centres in Sri Lanka and the Philippines. • Key Impact: • Strengthens Advice Lab’s exposure to the Australian financial planning industry and creates new revenue streams. • Expected to generate more jobs in Sri Lanka and the Philippines. • Supports the continued expansion of the Colombo delivery centre and facilitates technology investment. • The partnership enhances brand credibility, provides long-term stability, and reinforces Advice Lab's position in financial services outsourcing. • Advice Lab will continue to operate independently under MD Prad Navaratnam, with Rhombus Advisory appointing a representative to the Board to drive collaborative long-term growth.
JF Packaging Debuts on CSE Main Board 📈
• Shares of JF Packaging Limited commenced trading today on the Colombo Stock Exchange (CSE) Main Board under the ticker symbol "JFP-N-0000". • The company successfully raised LKR 600 million through its recent IPO, which offered 51.72 million shares at an Issue Price of LKR 11.60 each. • The IPO was significantly oversubscribed by 6.3 times within hours of opening on October 30th. • Proceeds are earmarked to settle selected term loans and partially repay revolving import loans, aiming to strengthen the balance sheet and reduce finance costs. • JF Packaging is recognized as a leader in introducing eco-friendly packaging solutions to the Sri Lankan market, serving both local and international brands.
🌊 DFCC's Landmark Blue Bond Oversubscribed on Day 1! 📈
• DFCC Bank successfully launched Sri Lanka's first-ever Blue Bond issue (listed, rated, senior, unsecured). • The initial offering, amounting to Rs. 3 billion (30 million bonds), was heavily oversubscribed within hours of the issue opening. • Due to the strong demand, the bank announced the early closure of subscriptions on the opening day itself. • Bonds were offered at a par value of Rs. 100 each across three tenors: 3-year (2025/2028), 4-year (2025/2029), and 5-year (2025/2030). • Applications submitted before the 4:30 p.m. cut-off time on the opening day will be accepted, with the basis of allotment to be notified in due course.
💡 Banking Innovation for the Gig Economy: Addressing Ephemeral Income
• The Gig Economy (freelancers, platform workers, content creators) is a major, growing employment segment globally, yet traditional banking products (loans, mortgages) fail to accommodate their volatile, irregular ('ephemeral') income streams. • Challenges: Gig workers face severe credit access barriers (due to traditional scoring models), budgeting difficulties, and short-term liquidity gaps, often forcing them towards alternative lenders. • Strategic Opportunity for Banks: By failing to design tailored products, banks risk losing this digitally-engaged segment to fintechs. Adapting products builds long-term loyalty and demonstrates social responsibility. • Innovative Solutions Worldwide: • Dynamic Savings: Automated micro-deposits (e.g., 'round-up' features in the UK) that adjust to daily/weekly earnings. • Flexible Credit: Revolving credit lines with repayment schedules aligned to real-time income patterns (India, North America). • Income-Sensitive Planning: Digital tools using predictive algorithms to help workers anticipate lean months and plan tax obligations. • Safety Nets: Integration of micro-insurance and income protection (e.g., Southeast Asia's GrabPay/Gojek Pay) with earnings-tracking features. • Key Takeaway: Serving ephemeral wealth requires "ephemeral solutions"—flexible, adaptive products that move away from rigid, one-size-fits-all models to ensure financial inclusion and unlock new revenue streams.
📈 DFCC Bank's Historic Rs. 3 Bn Blue Bonds Open for Subscription!
• DFCC Bank's landmark first-ever Blue Bonds issue in Sri Lanka, valued at Rs. 3 Billion, is now up for subscription, with the official opening on 13 November. • The issue, approved in principle by the CSE, consists of 30 million listed, rated, senior, unsecured, redeemable bonds at Rs. 100 each. • Structure & Tenor: The offering includes six types (A-F) with tenors ranging from 3 to 5 years. • Fixed Annual Coupon Rates: • 3-Year Tenor: 9.75% p.a. • 4-Year Tenor: 10.25% p.a. • 5-Year Tenor: 10.50% p.a. • The structure includes options for annual coupon payments (Types A, C, E) and discounted/zero-coupon options (Types B, D, F) where interest is compounded annually and paid at redemption. • NDB Investment Bank Ltd. is the Manager and Placement Agent for the issue.
📈 JF Packaging Rs. 600 Mn IPO Oversubscribed on Opening Day.
• JF Packaging's Initial Public Offering (IPO) of Rs. 600 million was significantly oversubscribed within hours of opening on Thursday (Oct 30), leading to the closure of subscriptions on the same day. • The issue offered over 51.7 million Ordinary Voting Shares at a price of Rs. 11.60 per share. • Strong demand was recorded from both institutional and retail investors, securing its listing on the Main Board of the Colombo Stock Exchange (CSE). • JF Packaging is a key provider of eco-friendly packaging solutions to the Sri Lankan market, serving major multinationals and leading FMCG brands. • Proceeds from the IPO are earmarked for settling selected term and import loans, a strategic move to strengthen the company’s balance sheet and reduce finance costs.
Siyapatha Finance Revises Debenture Target 📈
• Siyapatha Finance PLC has revised the terms for its proposed listed, rated, subordinated, unsecured, redeemable debenture issue. • The maximum fund-raising goal has been adjusted to Rs. 3.75 Bn, down from the initially announced maximum of Rs. 4 Bn. • The total issue size will comprise up to 37.5 million debentures. • The initial tranche is set at 20 million debentures, with a face value of Rs. 100 each and a five-year maturity period. • The company included options for two oversubscriptions: an additional 10 million and a further 7.5 million debentures, if initial tranches are oversubscribed. • The proposed debenture issue is pending final regulatory approvals.
📈 High-Profile Banking Sector Shake-up: Rayynor Silva Enters Seylan Bank, Dhammika Perera Exits!
• High net-worth investor and media personality Rayynor Silva entered Seylan Bank, acquiring the remaining 5% stake from business leader Dhammika Perera for Rs. 1.57 Billion. The deal involved 15 million shares at Rs. 105 per voting share. • This purchase further diversifies Rayynor Silva’s financial sector holdings (via Phantom Investments Ltd.), adding Seylan Bank to his stakes in Sampath Bank (10%), DFCC Bank (9.73%), and Commercial Bank (1%). • Dhammika Perera has now fully exited Seylan Bank (having held 6.55% in June 2025). This follows his recent sale of a 1.7% stake in Commercial Bank on October 9th. • Mr. Perera's strategic banking interests remain focused on Sampath Bank (15% via Vallibel One PLC) and Pan Asia Bank (29.9%). • Seylan Bank saw significant market action with 16.68 million shares traded for a total turnover of Rs. 1.76 Billion.
EPF Stock Investments: Rs. 73.97 Bn Unrealized Profit in H1 2025 📈
• The Employees Provident Fund (EPF) recorded a significant unrealized profit of Rs. 73.97 Billion from its investments in the Colombo Stock Exchange (CSE) as of June 30, 2025. • This profit represents a substantial 86.13% gain on the EPF's total stock market investment value. • Key Metrics: • Total Investment (Cost): Rs. 85.88 Bn. • Total Market Value: Rs. 159.85 Bn. • The fund holds investments across 64 listed companies. • Sector/Company Highlights (Profits > Rs. 1 Bn): • The Banking & Finance sector was a major contributor, with top unrealized profits from: Sampath Bank (Rs. 7.98 Bn), Hatton National Bank (Rs. 7.59 Bn), LOLC Holdings (Rs. 7.07 Bn), and Commercial Bank (Rs. 7.05 Bn). • Other strong contributors include Royal Ceramics (Rs. 4.47 Bn), PGP Glass Ceylon (Rs. 4.12 Bn), and Cargills (Ceylon) PLC (Rs. 3.52 Bn). • The robust performance underscores the fund’s recovery amid the general market upturn.
📈 SFIN Lists 75.7 Mn Shares, Securing Rs. 2 Bn Capital
Singer Finance (Lanka) PLC (SFIN) has successfully completed its 2025 rights issue. • The company listed over 75.7 million new ordinary voting shares on the Colombo Stock Exchange (CSE) yesterday (14 October 2025). • The rights issue successfully raised more than Rs. 2 billion, matching the company's estimated capital requirement. • This capital infusion is intended to strengthen Singer Finance’s balance sheet and support its future business expansion within the financial sector.