Press Release
JCR-VIS Reaffirms Fund Stability Rating of HBL Cash Fund
Karachi, December 26, 2018: JCR-VIS Credit Rating Company Limited (JCR-VIS) has reaffirmed the Fund Stability Rating (FSR) of HBL Cash Fund (HCF) at ‘AA (f)’ (Double A (f)). The previous rating action was announced on December 29, 2017.
HCF is an open-ended money market fund designed to offer competitive returns to investors through deploying resources primarily in government securities and cash & cash equivalents. Net assets of the fund increased substantially to Rs. 12.5b (FY18: Rs. 12b; FY17: Rs. 5.9b) at end-October’2018. In line with specified limits in Investment Policy Statement (IPS), the fund maintained its resources in highly-rated avenues depicting sound credit quality. Exposure to market risk has reduced with modified duration remaining well below the policy limit of 90 days as per the assigned ratings. Investor concentration in the fund has reduced on a timeline basis. Moreover, ability of the fund to meet redemptions in a timely manner is considered sound as majority of net assets are deployed in avenues having strong liquidity.
For further information on this rating announcement, please contact the undersigned (Ext: 207) or Mr. Javed Callea (Ext: 201) at 021-35311861-71 or fax to 021-35311872-3.
Jamal Abbas Zaidi
Advisor
Applicable Rating Criteria: Fund Stability Ratings (September 2018)
http://jcrvis.com.pk/docs/Fund%20stability%20Rating092018.pdf
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