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From Saver to Investor: A Sri Lankan perspective

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Christine Dias Bandaranaike, CFA Charterholder since 1999, brings over 15 years of experience in both locally and internationally. As the current President of UTASL, she has been at the forefront of a remarkable transformation in Sri Lanka’s unit trust industry.

In the early 1990, my mother, then a young widow, took a bold step. She sent me, her only child, to university overseas. When questioned about how she funded my undergraduate education, she revealed that she had done so without taking bank loans.

Instead, with remarkable foresight, through a combination of prioritizing shrewd saving and compounding interest, she was able to use her main source of income (rental income) to cover the full cost of tuition and living expenses. By the end of the period, her savings were depleted entirely. However, given the high levels of interest rates in Sri Lanka during the 1990s, together with resets of rent, she was, with time, able to restore her savings to a comfortable level, enabling her to face retirement cheerfully. I admire my mother’s financial acumen, which perhaps influenced my career choice and desire to help others succeed financially.

However, we now live in a different era of interest rates. Widows of the 2020s would struggle to replicate this path. The early 2020s saw skyrocketing inflation and severe erosion of purchasing power, in addition to currency depreciation. Those on a fixed income, such as pensioners, were the hardest hit.

However, since the implementation of the 2023 Central Bank Act, we have seen inflation in Sri Lanka become more stable and predictable. The byproduct of this change is that Sri Lanka, traditionally a nation of savers, will instead transition into a nation of investors and spenders. The booming stock market of late 2024 and 2025, fueled by lower interest rates, is evidence of this shift. Today, young investors are no longer content to only look at fixed deposits and are actively looking to educate themselves on alternative investment opportunities. Sri Lankans are becoming more conscious of the after-tax return of fixed deposits, a realisation they didn’t need to have ten years ago.

The Role of Unit Trusts

The unit trust industry is witnessing the start of this shift. Over the past five years, the number of unit trust investors in Sri Lanka has more than doubled. Assets under management have grown by 172% from 2020 to the end of 2024. The public is gradually coming to realise that the old model of being rewarded for being a passive earner of interest income is no longer working. It is essential to move forward from being a saver to being an investor. To do so, prudent savings habits and education on the financial risks of capital market products are critical.

Why unit trusts?

Today, the demands of life are such that most people put off investing simply because it seems complicated and they don’t feel they have sufficient time to understand properly. Hesitation to act is a normal human instinct. However, the real risk is if the investment decision is never made.

Unit trusts allow savers and investors to simplify. Unit trust investing is accessible to all.

1. Many unit trusts allow starting with as little as Rs. 10,000.

2. Investments within the trust are spread across different investments, providing diversification and reducing the risk of any single loss or default.

3. Licensed professionals make decisions on behalf of investors, using research and market expertise.

4. Many unit trusts are liquid, allowing withdrawal without penalty within a few days.

5. All unit trusts are regulated by the Securities and Exchange Commission of Sri Lanka (the SEC) and are operated through a trustee who monitors day-to-day investment activities against the trust deed.

6. A custodian receives all inflows from unit holders and holds them in the name of the unit trust, separate from the management company.

In short, low barriers to entry, high flexibility, and professional management are some of the best reasons to use unit trusts to start your journey into investing.

How to choose the right fund.

The Unit Trust Association recommends looking at five things:

Your risk tolerance – how much ups (or downs) can you accept?

Your time horizon – when will you need to access this money?

Past performance – look at trends over the past five years, not just the latest returns.

Cost structure – know the fees you will pay on a unit trust.

Credibility – learn a little bit about the background and strategy of the management company

Time to act

If you are already a disciplined saver, you have already done the most challenging part. Now, take the next step.

Start small. Start now. Let your money work for you.

Investing isn’t speculation. It’s a plan – a way to turn the same rupees you have been protecting into something bigger.

In today’s Sri Lanka, saving alone will keep you safe.

Investing will help you move forward.



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AAC looks towards a future of vertical mobility in Sri Lanka

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Drones could be facilitators of vertical mobility.

The Automobile Association of Ceylon (AAC) is looking beyond the traditional boundaries of mobility and road safety toward the future of mobility through sustainable developments in vertical mobility applications under the global guidance of the Fédération Internationale de l’Automobile (FIA).

AAC President Mr. Dhammika Attygalle believes AAC has the potential to contribute sustainable and proven systems, regulatory understanding, and international mobility frameworks toward developing Sri Lanka’s future mobility landscape while supporting the country’s broader economic development.

Representing Sri Lanka at the recent FIA Regional Drone and Vertical Mobility initiative held in Nepal was AAC Executive Committee Board Member Indula Sumithraarachchi, who participated alongside regional delegates and international mobility experts discussing the applications of vertical mobility systems and evolving regulatory frameworks covering mobility integration, safety, aviation and legal regulations.

“As mobility technologies evolve globally, we see vertical mobility as a natural extension of future mobility ecosystems. We believe vertical mobility is connected to sustainable areas not limited to future urban mobility, transport and logistics, infrastructure integration, safety frameworks, disaster and emergency response, and environmental efficiency,” he stated.

Drones are already being commercially utilized in Sri Lanka for dronegraphy (photography and videography using drones), agriculture, surveying and mapping, events, and marketing. However, it is important that greater attention is given toward safety standards, operational protocols, and aviation regulations, licensing, approvals and career professionalism as drone pilots within Sri Lanka in order to make these technologies safer and more accessible to the public.

International mobility experts increasingly recognize drones as part of a wider vertical mobility ecosystem operating alongside aviation and respective local regulatory frameworks. Experts explain that drone systems are helping countries establish regulatory structures, safety standards, technical expertise, aerial management systems, and operational frameworks that may eventually support broader future mobility technologies.

For AAC, the relationship between drones and vertical mobility represents a wider future mobility framework involving how people, services, safety, infrastructure, information, and transport systems may operate in more connected, intelligent, and efficient ways beyond conventional road-based transportation.

For decades, AAC has played an important role in Sri Lanka’s mobility sector through road safety advocacy, motoring assistance, tourism support services, driver awareness initiatives, and public mobility education. The association has continuously contributed toward improving safe mobility practices for Sri Lankan road users and motorists.

AAC now aims to position Sri Lanka within these evolving international mobility conversations while ensuring that future mobility development remains safe, responsible, and aligned with international standards.

The association also believes collaboration between regulators, aviation authorities, educational institutions, private sector innovators, and international mobility organizations will become increasingly important as future mobility ecosystems continue to develop globally.

Through FIA-supported international engagement and regional collaboration, AAC hopes to contribute toward building awareness and understanding of future mobility opportunities while ensuring Sri Lanka remains connected to emerging global transportation developments.

As mobility increasingly moves toward smarter, interconnected, and technology-driven systems worldwide, AAC’s initiatives into vertical mobility reflect its broader vision of supporting safe, progressive, and future-ready mobility solutions for Sri Lanka and future generations.

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Vietjet Air announces Colombo – Ho Chi Minh City route

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Vietjet announces its Ho Chi Minh City – Colombo direct route, in the presence of General Secretary and President of Vietnam To Lam (center) and Prime Minister of Sri Lanka Harini Amarasuriya (second from right)

Vietjet Air, Vietnamese new-age hybrid airline, has announced its first direct service connecting Colombo to Ho Chi Minh City at the Sri Lanka – Vietnam Trade, Investment and Tourism Cooperation Forum. The announcement took place in the presence of General Secretary and President of Vietnam To Lam, Prime Minister of Sri Lanka Harini Amarasuriya, and senior officials from both countries.

This is the airline’s first direct service between Sri Lanka and Vietnam, supporting the airline’s international expansion while contributing to stronger economic, trade, tourism, and people-to-people ties between the two nations.

The Colombo – Ho Chi Minh City route is expected to commence in August 2026 with four round-trip flights per week. Travelers from Colombo will soon enjoy affordable fares and seamless connectivity to Vietnam’s leading tourism and business hubs, along with convenient access through Vietjet’s extensive international flight network to major destinations across the Asia-Pacific region, including Australia, Japan, South Korea, China, and beyond.

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SDB bank and Hayleys Mobility forge strategic partnership to advance sustainable mobility and private vehicle leasing

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Tharanga De Silva - Chief Manager, Business Banking – SDB bank, Lahiru Ekanayake - Senior Manager - Leasing SDB bank, Chitral De Silva - Chief Business Officer- SDB bank, Manoj Akmeemana - Deputy Chief Executive Officer- SDB bank, Kapila Ariyaratne - Executive Director/Chief Executive Officer- SDB bank, Hasith Prematillake- Managing Director- Hayleys Mobility Limited, Roshani Dharmaratne - Executive Director - Hayleys Mobility Limited, Suraj Chularathne- Assistant General Manager- Hayleys Mobility Limited, Panduka Rathnayake - General Manager Finance - Hayleys Mobility Limited, Anjana Jayarathne - Asst. Manager Channel Development - Hayleys Mobility Limited

SDB bank has entered into a strategic partnership with Hayleys Mobility Limited through the signing of a Memorandum of Understanding, reinforcing the bank’s commitment to expanding access to structured mobility financing while advancing its broader sustainability banking agenda. The collaboration brings together two established institutions to support customers seeking leasing solutions for private vehicles, with a notable emphasis on electric vehicles as part of a more future-focused approach to transportation.

The MoU was signed recently at the Hayleys Mobility office in Union Place, in the presence of senior representatives from both organizations. Representing SDB bank Kapila Ariyaratne, Executive Director and Chief Executive Officer, Manoj Akmeemana, Deputy Chief Executive Officer, Chitral De Silva, Chief Business Officer, Lahiru Ekanayake, Head of Leasing and Tharanga De Silva Chief Manager, Business Banking were participated. Hayleys Mobility Limited was represented by Managing Director Hasith Prematillake, Director Roshani Dharmaratne, Mr. Panduka Rathnayake – General Manager Finance, and Mr. Suraj Chularathne – Assistant General Manager.

The partnership is designed to expand access to private and sustainable leasing solutions across Sri Lanka, while also responding to growing interest in cleaner and more responsible mobility choices. By placing special focus on electric vehicle leasing, the initiative reflects SDB bank’s recognition of changing customer preferences and the importance of supporting more sustainable transport options through accessible financing.

In addition to supporting conventional private vehicle financing, the collaboration enables customers to benefit from a more integrated experience that brings together vehicle selection and financing under a single proposition. Through the combined reach of SDB bank and Hayleys Mobility, the partnership is expected to improve accessibility and convenience for customers across the country, including professionals, self-employed individuals, business owners and other private vehicle buyers looking for reliable, structured leasing solutions.

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