Prabhu Smart Fund

Prabhu Smart Fund is a closed-end mutual fund scheme in Nepal, operated by Prabhu Capital Limited. The fund was listed on Nepal Stock Exchange (NEPSE) in June 2023 under the ticker “PRSF.” The fund’s paid-up capital is NPR 1,000,000,000 with 100,000,000 units (face value NPR 10 each) outstanding. PRSF aims to provide investors with a diversified investment vehicle rather than investing in a single company or sector, the fund pools capital and allocates across equities, money-market instruments, and other securities, with the goal of balancing risk and returns in Nepal’s capital market. Since its launch, PRSF has proposed regular dividends for unit-holders. For instance, for fiscal year 2080/81, the fund’s board proposed a cash dividend of 8.50%. More recently, for fiscal year 2081/82, PRSF declared a 10% cash dividend signaling relative stability and commitment to returning value to investors despite market volatility. Because it is a closed-end scheme, units of PRSF are tradable on NEPSE, giving liquidity and exit options to investors through the secondary market rather than direct redemption. In the context of Nepal’s capital-market environment, PRSF serves as a useful instrument for retail and institutional investors who may lack the capacity or risk appetite to pick individual stocks. By pooling funds and relying on professional fund-management (via Prabhu Capital), the fund aims to lower volatility and provide balanced exposure which can be especially valuable in a market with frequent price swings and sectoral concentration.