Press Release
VIS Reaffirms Fund Stability Rating of Meezan Islamic Income Fund
Karachi, December 16, 2025: VIS Credit Rating Company Limited (VIS) has reaffirmed the Fund Stability Rating (FSR) of Meezan Islamic Income Fund at ‘A+(f)’ (Single A Plus (f)). Medium to long-term fund rating of ‘A+(f)’ reflects moderate degree of stability in Net Asset Value; Risk factors may vary with possible changes in the economy. Previous rating action was announced on January 06, 2025.
Launched in January 2007, MIIF is an open-end Shariah-compliant income fund managed by Al-Meezan Investment Management Limited. Its primary objective is to deliver high and stable returns while preserving capital through investments in Shariah-compliant assets, with a secondary aim of capturing opportunities for capital appreciation.
The rating reflects a broadly compliant asset allocation strategy, with exposures spread across cash, bank and DFI placements, Shariah-compliant government securities, and Sukuk. Credit quality remained skewed toward higher-rated instruments—primarily AAA, followed by AA+ and A+. A small portion of the portfolio, primarily comprising Sukuk, was classified as impaired; while most exposures were fully provided for, one instrument still carries only partial provisioning. The Fund adhered to the prescribed WAM and duration limits, and its liquidity position remained strong due to sizeable liquid assets. The investor base stayed predominantly retail, although retail participation declined and investor concentration increased to moderate levels. The Fund ranked in the lower quartile of peers and, post-benchmark revision, consistently underperformed the benchmark in the latter part of the review period.
For further information on this ratings announcement, please contact at 021-35311861-64 or email at info@vis.com.pk.
Applicable Rating Criteria: Fund Stability Ratings
https://docs.vis.com.pk/Methodologies-2025/FSR-Methodology-Jan-2025.pdf
VIS Issue/Issuer Rating Scale
https://docs.vis.com.pk/docs/VISRatingScales.pdf