Press Release

JCR-VIS Upgrades Management Quality Rating of Magnus Investment Advisors Limited

Karachi, February 17, 2011: JCR-VIS Credit Rating Company Ltd. (JCR-VIS) has upgraded the Management Quality rating of Magnus Investment Advisors Limited (Magnus) from ‘AM3’ (AM-Three) to ‘AM3+’ (AM-Three Plus). Outlook on the rating is ‘Stable’.

The upgrade takes into account the growth in both size and number of mandates managed by Magnus. In addition to fresh clients, increase in funds being managed by Magnus of older clients is testament of the level of client satisfaction. The company has also formalized client feedback process. Transparency and quality of services are considered satisfactory as gauged from the internal logs on client communication. While performance of recently awarded mandates will be tested over time, results reported so far have been encouraging. Furthermore, client retention history will also be established over time by the longevity of customer relationships.

Given the size of the company, with a limited number of employees and still managed by its founder and chief investment strategist, Magnus may be vulnerable to key employee risk. Full time position of risk manager has been eliminated. In the absence of this position at management level, there is currently no independent review being undertaken by specialized personnel outside the decision making process. The management plans to reassign this position to a senior executive over the medium term.

For further information on this rating announcement, please contact Ms. Sabeen Saleem, CFA (Ext: 510) or Ms. Sobia Maqbool, CFA (Ext: 506) at 35311861-70 (10 lines) or fax to 35311872-3.



Faheem Ahmad
President & CEO

Information herein was obtained from sources believed to be accurate and reliable; however, VIS Credit Rating Company Limited (VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. VIS, the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report. VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright February 17, 2011 VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to VIS.