PACRA Maintains Stability Rating of Alhamra Cash Management Optimizer

Alhamra Cash Management Optimizer ("ALH CMOP" or the "Fund") is a low-risk profile Fund. The objective is to provide a competitive rate of return by investing primarily in liquid Shariah-compliant money market avenues. The ratings reflect the Fund's low credit quality and high liquidity profile. As per the investment policy, the Fund can invest only in AA and above-rated avenues with maximum maturities up to 6 months. However, the weighted average time to maturity of the net assets shall not exceed 90 days. As of Sep'23, the size of the Fund is PKR ~6,605mln. At the end of Sep'23, the Fund had allocated ~97.8% to AA rated Islamic banks and ~0.2% to AAA-rated Islamic bank; having strong liquidity profile. The current asset allocation of the Fund depicts a weighted average time to maturity and duration of 01 day displaying very low credit risk and interest rate risk. The top ten investor concentration stood at ~54.08% as of Sep'23, representing a very low redemption pressure. As of Sep'23, the Fund's performance remained in line with the peers and gave a return of 20.01% against its benchmark return of 8.34%, generating an alpha of 11.67%.
Going forward, in accordance with the investment policy and assigned ratings, the Fund will invest in Government securities, AAA or AA rated avenues according to its authorized investments. Any material changes in the investment policy or the devised rating criteria for the assigned rating would have an impact on the ratings. Risk may vary slightly from time to time considering the volatility of economic conditions.

About the Entity
MCB Investment Management Limited (MCBIM or the "Company") is a Public Listed Company, regulated by the SECP. MCBIM holds licenses for Asset Management, Investment Advisory, and Pension Fund Management. MCBIM caters to both conventional and Shariah-compliant clientele and is currently managing a diverse product slate of nineteen open-end funds and two voluntary pension schemes. MCBIM is also managing one of the largest AUMs under the SMA segment and holds a significant position in the investment advisory domain.
The major shareholders of MCBIM are MCB Bank Limited ~81.42%, and Adamjee Insurance Company Limited ~7.59%. The general public holds the remaining ~11% of the shares. Mr. Khawaja Khalil Shah is the CEO of the company. There are four non-executive directors, three directors are independent and one executive director (CEO). The AUMs of MCBIM stood at PKR 153bln at end-Sep'23.