Press Release

VIS Reaffirms Fund Stability Rating of UBL Government Securities Fund

Karachi, January 13, 2022: VIS Credit Rating Company Limited (VIS) has reaffirmed the Fund Stability Rating (FSR) of UBL Government Securities Fund (UGSF) at ‘AA (f)’ (Double A (f)). Previous rating action was announced on January 6, 2021.

UGSF aims towards achieving the objective to earn competitive returns by investing primarily in sovereign instruments and government paper. The fund’s offering document (OD) points to a conservative credit risk profile suggesting that it restricts and limits its primary exposure in sovereign instruments and cash holdings in order to preserve a liquid asset mix.

The fund complied with the credit quality requisites for the assigned ratings with sizeable investments in ‘AAA’ rated instruments. Weighted average maturity of the portfolio also remained compliant with the Offering Document and the benchmark for assigned rating. Liquidity remained sound with investments majorly in liquid securities which also provided comfort against higher market risk exposure. Retail proportion in the fund remains high while top 10 investor concentration is moderate.

For further information on this rating announcement, please contact Ms. Sara Ahmed (Ext: 207) or the undersigned (Ext: 306) at 35311861-70 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

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 2022 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .