Press Release

VIS Reaffirms Fund Stability Rating of ABL Income Fund

Karachi, January 18, 2022: VIS Credit Rating Company Limited (VIS) has reaffirmed the Fund Stability Rating (FSR) of ABL Income Fund (ABL IF) at ‘A+ (f)’ (Single A plus (f)). The previous rating action was announced on December 31, 2020.

ABL-IF is an open-end income fund launched in September 2008. The fund’s objective is to earn a superior risk adjusted rate of return by investing in a blend of short-, medium- and long-term instruments, both within and outside Pakistan. Net assets of the fund increased significantly to Rs. 8.4b (FY20: Rs. 1.5b) by end-FY21.

As per the fund’s Investment Policy Statement (IPS), at least a quarter of the fund’s assets must be deployed in cash while other investment avenues comprise TFCs and sovereign instruments. The fund’s asset allocation plan primarily comprised of government securities and TFCs while more than a quarter of the fund’s portfolio consisted of cash. Credit quality exposures remained in line with the requisites of VIS’s criteria for the assigned ratings. WAM of the fund is capped at 4 years and target duration of the fund has been capped at 1 year for which the fund largely remained compliant during the year. Portfolio contribution by retail investors and associates decreased slightly by end-FY21 as compared to the preceding year. The fund underperformed its benchmark return during FY21.

For further information on this rating announcement, please contact Syed Fahim Haider at 042-35723411-13 (Ext: 8006) or the undersigned at021-35311861-70 (Ext: 306) or email at info@vis.com.pk







Faryal Ahmad Faheem
Deputy CEO


Applicable Rating Criteria: Fund Stability Ratings (December 2020)
https://docs.vis.com.pk/docs/FundstabilityRating.pdf

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