PACRA Maintains Stability Rating of JS Government Securities Fund

JS Government Securities Fund ("JSGSF" or "the Fund") is a low-risk fixed income Fund designed to provide investors with capital preservation and stable returns through a concentrated portfolio of high-quality government securities. The Fund's investment strategy emphasizes liquidity and income generation while maintaining minimal credit risk exposure, positioning it as a core fixed income solution for conservative investors. As of December 2024, the Fund reported Assets Under Management (AUM) of PKR 9.1 billion, demonstrating its established presence in Pakistan's government securities market. The Fund maintains a strong asset class composition, with 56% allocated to Treasury Bills, 41% to Pakistan Investment Bonds, and the remaining 3% invested in other approved instruments. This allocation demonstrates the Fund's disciplined approach to capital preservation through direct exposure to government credit. The Fund demonstrates exceptional credit quality, with approximately 99% of assets invested in Government Securities and AAA rated instruments, complemented by minimal exposure to AA+ rated avenues. This near-exclusive sovereign concentration provides substantial protection against credit risk while offering competitive yields relative to conventional bank deposits. With a Weighted Average Maturity (WAM) of 759 days and duration of 157 days as of December 2024, the Fund maintains measured exposure to interest rate risk. The extended WAM reflects strategic positioning along Pakistan's yield curve, while the more moderate duration indicates limited sensitivity to near-term rate fluctuations. This balanced maturity profile enables the Fund to capture longer-term yields while maintaining liquidity through its substantial T-Bill allocation.
Going forward, any material changes in the investment policy or the devised rating criteria for the assigned rating would have an impact on rating.

About the Entity
JS Investments Limited is the oldest private-sector Asset Management Company in Pakistan. The company was established in 1995 and is listed on the Pakistan Stock Exchange. The Company is part of the Jahangir Siddiqui (JS) Group. JS Bank Limited holds ~85% shareholding in the Company. JS Group has a strong presence in the financial sector with entities operating in the banking, insurance, brokerage, and asset management sectors. The group has recently ventured into energy infrastructure and OMC segments. JS Investments possesses licenses for Asset Management Services, Investment Advisory, Private Equity, Venture Capital services, and REIT management. In addition, the Company also acts as Pension Fund Manager under the Voluntary Pension System Rules, 2005. Ms. Iffat Zehra Mankani is the Chief Executive Officer of JS Investments Limited. She comes with a globally diversified experience of over two decades in both public and private markets across multiple asset classes. The Company’s board of directors comprises eight members including the Chief Executive Officer. The board is dominated by representatives of JS Bank Limited and Jahangir Siddiqui & Company Limited. The board has three independent directors while all the other directors are non-executive directors. The board members possess strong profiles and skills suited to the financial services industry. Assets under management of the Company stood at ~PKR 128.17mln at the end of Dec'24.