Al-Ameen Funds’ Assets under Management Surged By 530% in the Last Three Years

Islamabad, February 03, 2016 (PPI-OT): The Islamic Division of UBL Fund Managers Limited (UBL Funds), Al-Ameen Funds, has posted a remarkable growth of 530% in the last three calendar years. Al-Ameen Funds now stands as comprising the second highest market share on a cumulative basis in the Islamic Funds category in Pakistan, showing particularly impressive growth in equity funds.

Leaping from Rs. 5.1bn to Rs. 32.5bn in just 36 months, Al-Ameen Funds served as the major contributor to UBL Funds’ overall growth.

The rapid increase was noted due to the common interest of majority of investors. Investors may draw comfort from the fact that Al-Ameen Funds falling under the realm of Shariah-compliant fixed income funds are generally superior to conventional fixed income funds because the underlying debt instruments are structurally less risky than conventional debt instrument. Furthermore, the borrowing levels are lower and dividend yields are higher with Shariah-compliance stocks, which may provide extra comfort to investors of Al-Ameen Funds that fall into the Shariah-compliant equity category. This is also one of the main reasons that Islamic financial institutions were in much better shape compared to the conventional financial institutions during the global financial crisis of 2008-09.

CEO UBL Funds, Mir Muhammad Ali, said “The Islamic funds industry has shown impressive growth in recent years especially in funds which invest in stocks. Growth in income funds has been less impressive mainly because of government’s failure to increase supply of Islamic debt instruments over the last few years. However, we expect that things will soon improve on that front as well. On the whole, we see a bright future for Islamic funds industry and we expect it to grow at a much higher rate compared with the conventional funds industry.” He added that, “the company strives to retain and grow its market share in Islamic Funds by delivering superior fund performance in existing funds and by introducing new funds that cater to investor needs which are yet unfulfilled.”

Al-Ameen Funds offers 12 Shariah Compliant Islamic Funds spanning fixed income, money market, asset allocation, equity, voluntary pension scheme and Fund of Funds schemes, Al-Ameen Funds has a total in assets under management of PKR 32.5bn (as of December 31st 2015).

For more information, contact:
Raeda Latif
Head of Marketing and Alternative Distribution Channels
UBL Fund Managers Limited
4th Floor, STSM Building,
Beaumont Road,
Karachi
Tell: +92-21-111-825-262 Ext. 161
Fax: +92-21-35622793
Cell: +92-300-8251222
Email: rlatif@ublfunds.com