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Karachi: The Pakistan Credit Rating Agency Limited (PACRA) has reaffirmed the stability rating of the ABL Money Market Fund (ABL MMF), underscoring its commitment to preserving capital while delivering competitive returns. The Fund, characterized by its low-risk profile, focuses on liquidity and stability through investments in high-quality money market instruments and bank deposits.
As of June 2025, the ABL MMF’s assets under management (AUM) totaled PKR 27.5 billion. The Fund has maintained a conservative allocation, with approximately 69% held in cash, 27% in Government of Pakistan Treasury Bills (T-Bills), and 1% in Sukuks and Term Finance Certificates (TFCs). The remaining portion is invested in other short-term avenues, allowing the Fund operational flexibility.
The Fund’s credit quality is predominantly high, with about 96% invested in government securities and AAA-rated avenues, and 1% in A1-rated instruments. This allocation aligns with the Fund’s low-risk profile and capital preservation mandate. As of June 2025, the Fund’s Weighted Average Maturity (WAM) stood at 23 days, indicating its short-duration nature and limited exposure to interest rate and credit risks.
The unit holding structure revealed moderate concentration, with the top ten investors accounting for approximately 51% of outstanding units by the end of June 2025. Despite potential redemption pressures, the Fund’s focus on liquid investments ensures the ability to accommodate withdrawals without affecting portfolio stability.
PACRA noted that any significant changes in the Fund’s investment policy or the rating criteria could influence the Fund’s stability rating in the future.