Lahore, March 24, 2023 (PPI-OT): NBP Islamic Savings Fund (or the ‘Fund’) is a medium risk-profile fund. The assigned rating reflects the Fund’s moderate credit and interest rate risk profile emanating from its investment strategy. The Fund had invested ~84% in bank majority in A+ rated bank, ~8.8% in certificates of Musharaka whereas ~5.5% in Short Term Sukuks rated A+ and above and ~1.7% in others at the end Dec’22.
The duration and the WAM of the Fund stood at 6 days at the end Dec’22, limiting the exposure to interest rate and credit risk. The top ten investor concentration stood at ~21.7% at the end Dec’22, giving rise to moderate level of redemption pressure.
Going forward, the Fund intend to diversify their investment in A+ and above rated avenues and will ensure to meet the given criteria within the curing period. Any Material changes in the investment policy or the devised rating criteria for the assigned rating would have an impact on the ratings.
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
The post PACRA Maintains Stability Rating of NBP Islamic Savings Fund appeared first on Business News Pakistan.