Lahore, October 20, 2020 (PPI-OT):The rating reflects the fund’s strong credit and interest rate risk profile. The fund’s good credit quality and sound liquidity profile emanates primarily from its mandate to invest in government securities and other low duration avenues such as bank placement’s and ensuring low exposure to interest rate risk. At end Jun’20, ~99% of fund’s assets were allocated to banks rated ‘AAA’. Fund’s unit holding pattern is moderately concentrated with top 10 investors representing ~53% of the net assets.
Going forward, the fund intends to increase its asset allocation towards T-Bills. Material changes in the fund’s asset allocation strategy, impacting its 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: +9242 586 9504 -6
Fax: +9242 583 0425
Email: hammad.rashid@pacra.com
Web: www.pacra.com