Press Release

JCR-VIS reaffirms Fund Stability Rating of Askari Cash Fund

Karachi, July 5, 2018: JCR-VIS Credit Rating Company Ltd. (JCR-VIS) has reaffirmed Fund Stability Rating of Askari Cash Fund (ACF) at ‘AA+(f)’ (Double A Plus(f)). The previous rating action was announced on December 30, 2016.

During the period under review, the fund was renamed as Askari Cash Fund (ACF - formerly Askari Sovereign Cash Fund), post-acquisition of Askari Investment Limited (AIML) by Pak Oman Asset Management Limited (POAML). ACF is an open-end money market fund designed to invest in low risk portfolio while maintaining high liquidity. Net assets of the fund have depicted a declining trend from Rs. 2.1b at end-June 2016 to Rs. 341.1m at end-May 2018. In line with its mandate, the fund’s exposure to various sources of risks has been maintained at low end of the risk spectrum, both by policy and as also manifested in actual asset allocation. As per its Investment Policy Statement (IPS), the fund maintained majority of its assets in AA rated avenues with credit quality of the fund remaining sound. Over the review period, the fund adhered to the 90 days limit of duration with low market risk. With a lower fund size, top-10 investor concentration in the fund has showcased an increase. Proportion of retail investments also depicts room for improvement. The fund needs to ensure granularity in order to support its liquidity position.

For further information on this rating announcement, please contact the undersigned (Ext: 201) or Ms. Muniba Khan (Ext: 214) at 021-35311861-70 or fax to 021-35311873.

Javed Callea
Advisor

Applicable Rating Criteria: Methodology - Fund Stability Ratings (December 2017)
http://jcrvis.com.pk/docs/FSRMeth-201712.pdf

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