Press Release
JCR-VIS assigns Management Quality Rating of AM2- to Al- Meezan Investment Management Limited
Karachi, February 06, 2009: JCR-VIS Credit Rating Company Ltd. (JCR-VIS) has assigned Management Quality Rating of ‘AM2-’ (AM -Two Minus) to Al-Meezan Investment Management Limited (AMIM).
AMIM is managing six funds with total assets under management having reduced to about Rs. 9 billion by December 2008 from about Rs. 16 billion at the end of June 2008. In the closed-end equity and balanced funds categories, the performance of AMIM’s funds continues to be in the top quartile. The performance of open end equity fund vis-à-vis the benchmark, DJIM Index, has consistently been superior. However, it has experienced some decline vis-à-vis historical trends as far as peer group is concerned. As regards the income fund, the current economic scenario may have some impact on the quality of the corporate debt portfolio. Future trends with respect to performance of funds under management will be closely monitored by JCR-VIS, amidst capital markets that continue to exhibit significant volatility.
With judicious focus on liquidity management, AMIM has not resorted to any borrowing for meeting redemption requests, despite continued availability of funding support from the sponsoring bank. JCR-VIS has been given to understand that all redemption requests have been met within the regulatory time frame. The number of investors of AMIM’s funds continued to grow, albeit at a reduced pace, even during turbulent times. This is reflective of AMIM’s strong franchise garnered over the years. The funds are managed by a competent team.
For further information on this rating announcement, please contact Ms. Sobia Maqbool (Ext: 506) at 5311861-70 or fax to 5311872-3.
Faheem Ahmad
President & CEO