PACRA Maintains Stability Rating of Alfalah Islamic Money Market Fund

Alfalah Islamic Money Market Fund ("A-IMMF" or "the Fund"), a low-risk Shariah-compliant offering under Alfalah Asset Management, sustained its track record of delivering regular and stable returns by investing in high-quality Islamic money market instruments. The Fund’s strategy remains aligned with its mandate of capital stability and adherence to Islamic investment principles. As of March 2025, A-IMMF maintained a well-diversified asset allocation, with approximately 38% of the portfolio in bank placements, 31% in Government-guaranteed Islamic instruments, 20% in cash, 7% in Term Finance Certificates (TFCs)/Sukuks, and the remaining 1% in other Shariah-compliant avenues. This allocation ensures ample liquidity while maintaining compliance with Islamic guidelines. From a credit quality perspective, the Fund demonstrated a conservative approach, with ~60% of holdings in Government and AAA-rated instruments, 18% in AA+, 11% in AA, 5% in A1+, 2% in A1, and 1% in other rated exposures. This reflects a strong emphasis on high-grade, short-term credit instruments.
At the close of March 2025, the Fund’s Weighted Average Maturity (WAM) stood at 71 days, signifying low sensitivity to interest rate and minimal credit risk.
Going forward, any material changes in the investment policy and/or compliance with the rating criteria for the assigned rating would have an impact on the ratings.

About the Entity
Alfalah Asset Management Limited (Formerly: Alfalah GHP Investment Management Limited) was incorporated on October 18, 2004 as an unlisted public limited company and is licensed by the Securities and Exchange Commission of Pakistan to manage open-ended mutual funds and offer investment advisory services. The Company was established as joint venture Non-Banking Finance Company by Bank Alfalah Limited and GHP Arbitrium. The Company provides a wide range of mutual funds and pension funds both in conventional and Shariah compliant category. The Company also provides investment advisory services to HNW individuals and corporate clients. The Company’s board of directors comprises eight members including the Chairman (Mr. Atif Aslam Bajwa) and the Chief Executive Officer (Mr. Khaldoon Bin Latif). The board is dominated by representatives of MAB Investments and Bank Alfalah Limited. The board has two independent and five non-executive directors. The board members possess strong profile and skills suited to the financial services industry. Assets under management of the Company stood at ~PKR 337bln at end Dec'24.