Press Release
VIS Reaffirms Fund Stability Rating of Meezan Cash Fund
Karachi, December 19, 2025: VIS Credit Rating Company Limited (VIS) has reaffirmed the Fund Stability Ratings of Meezan Cash Fund (MCF) at ‘AA+(f)’ (Double A Plus (f)). Medium to long-term fund rating of ‘AA+’ reflects high degree of stability in Net Asset Value; Risk is modest but may vary slightly from time to time because of changing economic conditions. Previous rating action was announced on January 06, 2025.
Launched in June 2009, Meezan Cash Fund (MCF) is an open-end Shariah compliant money market scheme, managed by Al-Meezan Investment Management Limited. The objective of the fund is to seek maximum possible preservation of capital and a reasonable rate of return via investing primarily in liquid Shariah compliant money market and debt securities.
The rating reflects an asset allocation strategy that remained broadly in line with offering document limits. The portfolio is diversification across cash, Bai Muajjal placements, bank and DFI placements, and government securities. Asset quality strengthened over the year, as the average allocation to AAA rated securities increased, alongside AA+ exposures and with no investments below AA-, in line with mandate requirements. Duration risk was well controlled, and liquidity remained strong due to a high proportion of liquid assets. The investor base stayed predominantly retail and concentration remained low. The Fund yielded an annualized return of higher than the benchmark returns but marginally trailing the peer average. Within its peer group, the Fund ranked in the fourth quartile.
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