Press Release
JCR-VIS Reaffirms Management Quality Rating of Al Meezan Investment Management Limited at AM2
Karachi, May 14, 2013: JCR-VIS Credit Rating Company Ltd. (JCR-VIS) has reaffirmed the Management Quality Rating of Al Meezan Investment Management Limited (Al Meezan) at ‘AM2’ (AM-Two). Outlook on the assigned rating is ‘Stable’.
Al Meezan has established sound performance history which has been tested through market cycle, further supporting the strong franchise of the institution. Profiles of funds under management are aligned with their investment mandates and allow investors to take exposure in equity and fixed income asset classes, in addition to balanced and capital protected product structures. The company is also managing a voluntary pension fund. Some investment advisory mandates have also been secured by the company, though amounts involved are small in context of the company’s overall AUMs.
Key management team of Al Meezan exhibits substantial industry experience in addition to having relevant academic qualifications. The company has been able to maintain stability among key staff. Al Meezan has recently set up an independent risk function; effectiveness of this function will be evaluated as and when policy manuals in this area are developed and implemented.
The company has capitalized on its strong brand name reflected by higher growth in its AUMs vis-a-vis the industry. Al Meezan has tapped a niche market and unit-holder profile of funds under management compares favorably to peers. There is nevertheless room for further improvement in the same. The company has also benefited from the support of its parent company, Meezan Bank Limited, the largest Islamic bank in the country.
Al Meezan follows an active top-down investment process. Portfolio is constructed/modified keeping in view research input and deliberations at the Investment Committee level. There exists integration between research and portfolio management teams. Overall investment management process is well structured. The company is in the process of implementing asset management solution of Temenos; integration among various modules is expected with the deployment of T-24. Moreover, an independent service quality department has been established in order to strengthen customer services.
For further information on this rating announcement, please contact Mr. Javed Callea (Ext: 501) or Ms. Sobia Maqbool, CFA (Ext: 604) at 35311861-70 or fax to 35311872-3.
Jamal Abbas Zaidi
Deputy CEO
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