Press Release

VIS Reaffirms Fund Stability Rating of UBL Income Opportunity Fund

Karachi, December 31, 2025: VIS Credit Ratings Company Ltd. (VIS) has reaffirmed Fund Stability Rating (FSR) at ‘AA-(f)’ (Double A Minus (f)). The medium to long-term fund 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 January 09, 2025.
Launched in March 2013, UBL Income Opportunity Fund (UIOF) is an open-end income fund managed by UBL Fund Managers Limited. The investment objective of the Fund is to provide a competitive rate of return to its investors by investing in quality TFCs / Sukuks, Government Securities, Bank Deposits, and short and long-term debt instruments.
During FY25, the Fund recorded strong growth in Assets Under Management, expanding by approximately 359% year-on-year to Rs. 9.1 billion as of June 2025, reflecting increased investor traction. Portfolio allocation remained fully compliant with the offering document, with investments primarily concentrated in Government Securities, led by PIBs (fixed and floating) at around 46%, followed by T-bills (~23%) and cash balances (~19%). Credit quality strengthened during the period, with AAA-rated exposures increasing to approximately 80% of the portfolio, underscoring a conservative risk profile. Market risk was effectively managed, while a short average duration further limited sensitivity to interest rate movements. However, the investor profile shifted toward corporate clients, resulting in higher AUM concentration, with the top ten investors accounting for about 73% of total assets as of June 2025. The Fund outperformed both its benchmark and peer average during FY25, and was ranked in the second 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

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 31, 2025 VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to VIS.