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Who Can Invest in Mutual Funds?

By Fateen Tahseen Alam

Analyst

EDGE AMC Limited

Posted on: 24 Dec, 2023

Last Updated: 16 August, 2026

Thinking about investing in a mutual fund for the first time but not sure if you qualify? The good news is that the eligibility bar is lower than most people expect. If you're a working professional, a student, an NRB, or a small business owner, there's a good chance you're already eligible. Let's walk through exactly who can invest, what you'll need, and what a sensible first step looks like.

Anyone with a bank account and a BO (Beneficiary Owner) account in Bangladesh can invest in a mutual fund

That's it. There's no separate approval process, no minimum income requirement, and no need to already be an experienced investor. If you have those two accounts, you're eligible. To learn how to open a BO Account, take a look at our BO Account 101 guide.

The sections below cover the specific situations people usually ask about — NRBs, students, individuals vs. companies — but if you already have a bank account and a BO account, you can skip straight to our article on how to invest in mutual funds. 

Is a BO Account Mandatory to Invest in a Mutual Fund?

Yes, a BO account is mandatory to invest in a mutual fund. The good news is that opening one is far simpler than it used to be — it can be done completely online in Bangladesh and typically takes only a few minutes. If you don't have one yet, our BO Account 101 guide walks through exactly what you'll need and how the process works, step by step.

Is a Bank Account Mandatory to Invest in a Mutual Fund?

Yes. You must have a bank account in Bangladesh where you will receive any dividend payments (if you choose to receive them) and the total amount when you eventually sell your units. 

Can NRBs (Non-Resident Bangladeshis) Invest?

Yes. As long as you have a bank account and a BO account in Bangladesh, you can invest in mutual funds, regardless of where you currently live.

Can Students Invest in Mutual Funds?

Yes. There are no restrictions specifically for students. There is, however, an age requirement: you need to be 18 or older to open a BO account in Bangladesh, so it follows that you need to be 18 or older to invest in a mutual fund. 

Do I Have to Invest as an Individual, or Can My Company Invest?

Both. Individuals and companies can both invest in mutual funds in Bangladesh — the process and eligibility requirements are broadly similar.

What Is the Minimum Amount I Can Invest?

For EDGE AMC's funds specifically, individual investors have to invest a minimum of BDT 5,000 to become a unit holder. While this is a one-time minimum to get started, many investors eventually contribute smaller amounts regularly afterward through a Systematic Investment Plan (SIP).

Frequently Asked Questions

Q: Do I need a lot of money or investing experience to get started?

A: No. There's no minimum income requirement and no need for prior investing experience. EDGE AMC's individual minimum is BDT 5,000, and you're free to start there and grow your investment over time as you get more comfortable.

Q: What happens if I need my money back before I expected to?

A: For open-end funds, you can redeem (sell) your units at the fund's current NAV whenever you need to. All 4 of EDGE's mutual funds are open-ended. That said, mutual funds are best suited to money you won't need in the short term, since values can fluctuate along the way.

Q: Can I face losses in a mutual fund?

A: Mutual funds carry market risk, meaning their value can go down as well as up but a diversified mutual fund spreading your investment across many securities is a different risk profile from putting all your money into a single stock. To better understand how the value of a mutual fund can change, take a look at this article about Net Asset Value (NAV). 

Q: Is there a difference between investing as an individual and as a business?

A: The overall process of opening accounts and investing is broadly similar for both.

Q: What's the very first step if I want to start?

A: Open a BO account if you don't already have one, make sure you have a bank account ready, and then decide how much you're comfortable starting with. Our guide on how to invest in mutual funds walks through the full process from there.

Links

• BO Account 101
• What is a mutual fund
• What is NAV
• How does a mutual fund work
• How the mutual fund structure protects investors

Disclaimer: Investments are subjected to market risk. Past performance is not an indicator of future performance. This article is general information and does not constitute investment, legal, or tax advice for any specific fund. Trustee boards should obtain independent professional advice regarding their own circumstances and statutory obligations.