Lahore, October 24, 2019 (PPI-OT): The rating reflects the fund’s very strong credit quality, robust liquidity and low exposure to interest rate volatility. At end-Jun’19, 99% of fund’s assets were placed with banks rated ‘AAA’ (~57%) and ‘AA+’ (~25%). The fund’s duration and weighted average maturity stands at 1 day as at end-Jun’19. On monthly average basis, the duration remained within the assigned parameters. The unit holding pattern of the fund is highly concentrated with top ten investors representing 89% of the fund’s assets.
Going forward, the rating remains dependent on maintaining strong credit profile and low duration. The assets of the fund must maintain minimum credit rating of ‘AA’ and above, while the duration should not exceed 45 days. Material changes in the fund’s asset allocation strategy, impacting its credit quality and/or exposure to interest rate risk, would affect the rating.
For more information, contact:
The Pakistan Credit Rating Agency Limited (PACRA)
Awami Complex, FB1, Usman Block New Garden Town,
Lahore – Pakistan
Tel: +9242 586 9504 -6
Fax: +9242 583 0425
Category: General Business News