Press Release
JCR-VIS upgrades Management Quality rating of UBL Fund Managers Limited & reaffirms Fund Stability rating of United Money Market Fund
Karachi, February 19, 2007: JCRVIS Credit Rating Company Limited. (JCR-VIS) has upgraded the Management Quality Rating of UBL Fund Managers Limited (UBL Funds) from ‘AM3’ to ‘AM2 Minus’. The rating takes into account recent capacity building measures taken by the company including steps taken for further formalization of the risk management function. UBL Funds possesses requisite support infrastructure to manage diverse asset classes and the launch of new funds has increased the total assets under management to about Rs. 9 billion. Further improvements are expected over the near term in IT systems to incorporate risk monitoring tools and enable more effective risk management. Over the last year, the company has strengthened its marketing function as reflected in improved dispersion in unit-holding pattern of funds under management.
JCR-VIS has reaffirmed the Fund Stability Rating of United Money Market Fund (UMF) at ‘A+(f)’ (Single A plus (f)), which indicates moderate degree of stability in net asset value. The fund has maintained its risk profile during the year with low credit, price and liquidity risk. The criteria for taking credit exposures are clearly laid out in the fund’s investment policy and duration is expected to remain low. The fund posted very low NAV volatility with daily downside movement being negligible as indicated by daily VAR of 0.01% at a 95% confidence interval.
For further information on this rating announcement, please contact the undersigned (Ext: 221) or Ms. Sabeen Saleem (Ext: 222) at 5671822/5671833/5680996 or fax to 5681105/5671600.
Safdar Kazi
Advisor