AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Karachi: Al Meezan Mutual Fund (AMMF) has reported a significant performance uptick in fiscal year 2024, with a return of 74.84% to its investors, surpassing the KSE Meezan Index benchmark growth of 78.70%. The fund, operating under the management of Al Meezan Investment Management Limited, continues to attract attention with its strategic asset allocations and robust investment results, particularly in sectors like technology and electric vehicles.
According to information available from the Pakistan Stock Exchange (PSX), AMMF has successfully adjusted its portfolio to navigate the volatile market conditions of 2024. The fund commenced the year with a 97.55% allocation in equities, maintaining an average exposure of around 98.08% throughout the year. Notably, the fund reduced its stakes in Oil and Gas Exploration Companies due to non-compliance and falling international oil prices.
The fund’s strategic increase in allocations to The Hub Power Company Limited (HUBC), which has recently ventured into the electric vehicle market through a partnership with China’s BYD, was a highlight. HUBC’s share in the fund’s portfolio rose to 13.36%, reflecting its added presence in the KMI 30 Index at the fiscal year’s start.
AMMF’s net asset value (NAV) saw a substantial rise from Rs. 15.68 per unit at the end of June 2023 to Rs. 24.40 by June 2024. This financial strength translated into a net income of Rs. 2,261 million, up from Rs. 1,357 million the previous year—an impressive 55% increase. The fund also declared a cash dividend of Rs. 3.00 per unit, marking a total distribution of Rs. 487 million.
Furthermore, the fund has committed Rs. 8.95 million to charitable activities during FY24, aligning with its Shariah-compliant investment mandate that excludes earnings from prohibited sources in its income calculations. This dedication to ethical investing continues to set AMMF apart in the financial sector.