Press Release

VIS Reaffirms Fund Stability Rating of Al Ameen Islamic Cash Fund

Karachi, December 29, 2023: VIS Credit Ratings Company Ltd. (VIS) has reaffirmed Fund Stability Rating (FSR) at ‘AA+(f)’ (Double A Plus (f)). The medium to long-term rating of ‘AA+’ denotes high degree of stability in Net Asset Value. Risk is modest but may vary slightly from time to time because of changing economic conditions. The previous rating action was announced on December 29, 2022.

Launched in September 2012, Al Ameen Islamic Cash Fund (AICF) is an open-ended, Shariah compliant money market fund, managed by UBL Fund Managers Limited. The objective of the scheme is to provide high liquidity and competitive returns while seeking the maximum possible preservation of capital by investing in low-risk and liquid Shariah compliant instruments.

The Fund has exhibited strong growth in its Asset under Management (AUMs) reaching Rs. 17.2b as of June’23 (June’22: Rs. 7.8b). The Fund remained aligned with the asset allocation parameters and minimum credit quality rating outlined in the offering document (OD). The Fund also remained compliant with the stipulated Weighted Average Maturity (WAM) of 90 days as per the OD.

The retail proportion of unit holders has decreased yet remains high at 60% as of June’23 (June’22: 71%), consequently, the top 10 unit holder concentration increased from 33% as of June’22 to 41% as of June’23. However, the liquidity profile remains strong given the majority of asset allocation is parked in cash. Relative to peers, the fund is placed in the fourth quartile and underperformed its peer on average return, though outpaced its benchmark return.

For further information on this ratings announcement, please contact Mr. Muhammad Amin Hamdani (Ext: 217) or the undersigned (Ext: 208) on 021-35311861-64 or email at info@vis.com.pk.





Syed Asif Ali
Executive Director


Applicable Rating Criteria: Fund Stability
https://docs.vis.com.pk/docs/FundstabilityRating.pdf

VIS Issue/Issuer Rating Scale
https://docs.vis.com.pk/docs/VISRatingScales.pdf

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 December 29, 2023 VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to VIS.