KARACHI, July 3: Pakistan Stock Market (PSM) Fund has declared a bonus dividend of Rs30 per unit, which makes 60pc of the face value of a unit i.e. Rs 50.

Arif Habib Investments, which is the fund manager of PSM Fund, declared the dividend within first week of first month of the fiscal year, a statement said here on Saturday.

The declaration was made in a board meeting held on Saturday on the basis of income statement, certified by auditors firm AF Ferguson.

The PSM Fund earned a total of Rs415.214 million, which stands at Rs44.22 per unit, out of which Rs281.704 million would be distributed and Rs133.509 million would be retained i.e. Rs14.22 per unit.

The fund has been grown from Rs784 million last year to Rs1,052 million by June 30, 2004.

The net assets value has shown a growth of Rs42.97 per unit, growing from Rs69.02 to Rs111.99 per unit, a total return of 62.26pc for the year.

An investor holding 100 units as of June 30, 2004 would get 36.59 additional units at the ex-bonus repurchase price of Rs81.99 per unit.

The PSM Fund being a specialized stock market fund has maintained lead in all other open-end mutual funds in the market during financial year of 2004.

It also outperformed the KSE-100 Index by a healthy margin of 7.10pc. The fund has benefited individuals as well as institutional investors.

The healthy dividend of PSM Fund follows an overwhelming 300pc dividend distribution announcement made by Arif Habib Securities, the main sponsor for Arif Habib Investments a couple of days ago.

Arif Habib Investments, the fund manager for PSM, is part of the Arif Habib Financial Services Group. After the public offer of Rs3 billion Pakistan Strategic Allocation Fund (PSAF) is likely to take place in the third week of July, the management company would be managing over Rs10.5 billion.

The PSAF would be the first quantitatively managed closed-end fund in the Pakistan market. Units worth Rs750 would be offered to public at the par value of Rs10.

The issue has been fully underwritten by institutions and corporates of high standing. Rs2.25 billion or 75pc of the fund has already been committed for subscription by institutions, corporates and individuals of high repute.-APP