Bangladesh, Sept. 18 -- The securities regulator has allowed Central Depository Bangladesh Ltd. (CDBL) to work as the custodian of mutual funds (MFs).

To this effect, the depository authority this week received a consent letter from the Bangladesh Securities and Exchange Commission (BSEC). CDBL's Managing Director Md. Abdul Mutaleb confirmed this to the FE.

To expand its portfolio, the depository authority, which so far has provided only depository services, applied for a licence to work as the custodian of MFs.

The development comes at a time when MF custodians are facing heavy criticism for their failure to prevent scams in fund management.

Mr Mutaleb said they would exercise professionalism in securing the interests of unitholders...