Press Release

VIS Assigns Initial Fund Stability Rating to Alfalah Government Securities Fund Plan - II

Karachi, December 31, 2025: VIS Credit Rating Company Limited (VIS) has assigned the initial Fund Stability Rating (FSR) of ‘AA (f)’ (Double A (f)) to Alfalah Government Securities Fund Plan - II (‘AGSFP-II’ or ‘the Plan’) (issued under Alfalah Government Securities Fund). The medium to long-term rating of ‘AA (f)’ denotes high degree of stability in Net Assets Value. Risk is modest but may vary slightly from time to time because of changing economic conditions.

AGSFP-II was launched in November 12, 2024, with Assets Under Management (AUM) of PKR 4,274m and decreasing to PKR 1,167m in August 2025. The primary objective of the Fund is to seek maximum possible preservation of capital and a reasonable rate of return by investing primarily in Government Securities.

The assigned rating reflects the Plan’s asset allocation strategy, which were largely consistent with its stated mandate, though deviations were noted in certain months, with investments largely placed in Government Securities. Rating also takes into account the Plan’s credit quality. While the offering document allows for investments across broader spectrum of investment grade avenues, assigned rating will remain underpinned on management's operational plan to maintain their credit quality at AA+, going forward.

The Plan’s liquidity profile is considered sound, given its placements in liquid assets. Corporate investors dominate the AUM mix of the Plan. Client concentration risk is considered elevated. However, the placement in liquid assets mitigates redemption risk. In terms of performance, the Plan is positioned in the fourth quartile relative to peers.

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.