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PACRA Maintains Stability Rating of Alhamra Islamic Money Market Fund

Lahore, September 04, 2023 (PPI-OT): Alhamra Islamic Money Market Fund (“AIMMF” or the “Fund”) reflects the Fund’s low-risk profile. The investment objective of the Fund is to provide a reasonable rate of return with a maximum possible capital preservation by investing primarily in liquid Shariah Compliant money market securities. As of Jun’23, the Fund had allocated ~74.5% cash in banks rated AA and above.

Moreover, the Fund had allocated ~21.72% as placements within banks rated AA+ and above and ~2.3% in Sukuk while remaining ~1.6% was invested in other avenues at the end of Jun’23. The WAM of the Fund stood at 12 days at the period ended Jun’23; limiting the exposure to credit risk. The duration of the Fund was 15 days at the end of Jun’23. The unit holding pattern of the Fund was ~65.47% representing top ten investor concentration; limiting the exposure to redemption pressure.

Going forward, the Fund will invest in accordance with its authorized investment policy and maintain its exposure in Shariah Compliant instruments, however the allocations will be diversified appropriately. Material changes in the Fund’s asset allocation strategy, impacting it’s credit quality and/or exposure to interest rate risk, would affect the rating.

For more information, contact:

Analyst,

The Pakistan Credit Rating Agency Limited (PACRA)

Awami Complex, FB1, Usman Block New Garden Town,

Lahore, Pakistan

Tel: +92-42-5869504-6

Fax: +92-42-5830425

Email: hammad.rashid@pacra.com

Website: www.pacra.com

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