Pak Qatar Asset Management Company Limited ("PQAMC" or the "AMC") was incorporated in September 2021 as a public unlisted company. It is licensed by the Securities and Exchange Commission of Pakistan ("SECP") to operate as an Asset Management Company and an Investment Advisor. PQAMC has further broadened its scope within the pension fund management space by providing investment advisory services to Pak Qatar Family Takaful Limited ("PQFTL"). The AMC is focused on providing 100% Shariah-compliant investment solutions, with its products and operations overseen and certified by qualified Shariah scholars.

PQAMC is part of the Pak-Qatar Group. The AMC was previously a part of PQFTL; however, it now operates as a separate legal entity within the Group, with a distinct focus on asset management. While operating as a separate entity, PQAMC continues to leverage PQFTL's established distribution network for investor outreach and fund distribution. The AMC's registered office is located at Suite # G-8/9, Ground Floor, Business Arcade, Block-6, P.E.C.H.S., Shahrah-e-Faisal, Karachi. The AMC's distribution runs on two complementary streams. The first is the PQFTL policyholder channel, which is the core retail engine and converts funds allocated or invested by Takaful policyholders into AMC AUM through the branch network. The second is the direct AMC platform, which serves open-market investors, corporates, retirement funds, and HNWIs. Although smaller in AUM terms (HNWIs contribute ~4% of AUM), this stream is considered strategically important for margin mix, digital adoption and brand visibility outside the Group ecosystem.

At the end of Jun'26, the market share of the AMC increased to ~1.9% (Jun'25: 1.7%), reflecting a sustained strengthening in market position alongside growth in AUMs over the corresponding period. The AMC's Islamic AUM market share also improved to ~4.15% (Jun'25: ~3.82%). These gains came in an industry that expanded to ~PKR 4.3trln in FY26 from ~PKR 3.7trln in FY25, with growth concentrated in money market funds (~46% of industry AUM) and equity funds (~16%), while income funds contracted by ~23%.

The AMC offers an adequate fund mix comprising four open-ended funds. Except for the Pak Qatar Islamic Stock Fund, the remaining three Pak Qatar Islamic Cash Fund, Pak Qatar Islamic Income Fund, and Pak Qatar Islamic Asset Allocation Fund have been launched under plan structures to cater to distinct segments of clientele. The AMC's management has indicated that a Fixed Term Fund has been launched to accommodate clients with specific liquidity needs, while an Exchange Traded Fund is under approval stage to broaden the AMC's equity footprint. The AMC also plans to expand its money market and asset allocation plan suite going forward.

As of end-Jun'26, the Share of Top 10 Investors, including PQFTL, reflected investor concentration of ~79.1% (Jun'25: 94%). Excluding PQFTL, the Share of Top 10 Investors stood at ~14%. PQFTL’s placement represents funds invested on behalf of its policyholders and is considered relatively sticky in nature, reducing the likelihood of discretionary outflows. Related-party holdings stood at ~73.7% (Jun'25: 85%) of the AMC’s total AUM. The concentration risk is partly mitigated by the underlying maturity profile of the respective participants, which provides granularity to the overall investor base.

The major shareholder of PQAMC is its holding company, Pak-Qatar Investment (Pvt.) Ltd. (PQIL), which holds 76% of the stake. The remaining shareholding is held by PQFTL (7%), Mr. M. Kamran Saleem (10%), Mr. Zahid Hussain (5%), and Mr. Farhan Shaukat and Mr. Meraj Uddin Mazhar (1% each).

The sponsors of PQAMC are celebrated businessmen with many profitable ventures in their portfolio, whose success is a testimony to the excellent business acumen of the sponsors and their ability to form and execute business strategies

The sponsors of PQAMC possess strong financial capacity and willingness to support the AMC, if required, as reflected in their ownership.

The AMC’s Board of Directors (Board) currently consists of four members, including three non-executive directors and one independent director.

The Board members have strong educational backgrounds and carry extensive diversified experience. Mr. M. Kamran Saleem – Non-Executive Director is a Fellow Member of ICAP and holds multiple professional qualifications, including ACA, ICMAP, and PGD in Islamic Finance, along with M.Com, LL.B, and LL.M degrees. He has over two decades of experience in finance, audit, corporate, and legal functions. He has been associated with the Pak-Qatar Group since 2007 and currently serves as CEO of PQIL and Director & Company Secretary of PQFTL and PQGTL. Mr. Said Gul – Non-Executive Director is a prominent businessman with extensive experience in the oil & gas and industrial sectors in Qatar. He has been associated with the Pak-Qatar Group since 2007 and currently serves as Director of PQFTL and PQGTL. He has also served in senior roles at Eurotec Projects Development, Al-Muftah Projects & Industry Services, and Qatar Petrochemical Co. Mr. Farrukh Viqaruddin Junaidy – Independent Director is a Fellow Member of ICAP with over 40 years of diversified experience in financial and business management, strategic planning, risk management, and corporate governance. He served with KPMG Pakistan for 15 years, including six years as Partner, and also served on the ICAP Council. He currently serves as Senior Partner at Junaidy Shoaib Asad, Chartered Accountants, and has held various independent directorships. Mrs. Sameera Said – Non-Executive Director holds a Master’s degree in English and has around two decades of experience across local and foreign organizations. She currently serves as Marketing Director at PQIL and has previously held senior roles at Eurotech Projects and Al Jazeera Travels. She has also served on the Boards of PQFTL and PQGTL and currently serves on the Board of PQAMC.

The Board has constituted three committees to support effective oversight and governance, namely the (i) Audit Committee, (ii) Human Resource & Remuneration Committee, and (iii) Risk Management Committee, with satisfactory attendance by the respective members.

The external auditors of the AMC are Yousaf Adil & Co, have a satisfactory QCR rating from the ICAP. The auditors are classified in the ‘A’ category of the State Bank of Pakistan panel of Auditors.

The organizational structure aligns with the operational needs of the PQAMC. The AMC operates through fourteen key functions/departments, which fall under the purview of the CEO.

The AMC’s management team comprises qualified professionals with an average industry experience of ~18 years, bringing diverse expertise across key financial and operational functions. Mr. M. Farhan Shaukat - Chief Executive Officer, is an ACA and holds a PGD in Islamic Finance, with 26 years of overall experience, including ~4 years with the AMC. He oversees the overall management of the AMC. Mr. Umair Karim, CFO & Company Secretary, is an FCCA with around 16.5 years of professional experience, including approximately 4 years with the AMC. He has extensive experience in financial management, reporting, budgeting, and corporate governance. In his current role, he oversees the AMC’s finance and accounting functions, while also managing company secretarial and regulatory matters. Mr. Muhammad Asif Anwar, Director Investment Advisory, holds a B.Com degree and is a CFA Level-II candidate. He has over 25 years of professional experience, with extensive exposure to equity markets and investment advisory, and has been associated with AMC for over four years. He currently oversees the AMC’s investment advisory function, including investment advisory agreements, prescribed investment parameters, and benchmark returns. Mr. Kashan Rafiq, Head of Information Technology, holds an MBA degree and has around 24 years of professional experience, including over 3 years with AMC. He is responsible for overseeing the AMC’s IT infrastructure and systems, supporting technology-driven operations and business processes. The remaining senior management team is further supported by experienced professionals heading research, operations, compliance, and internal audit functions.

The PQAMC had outsourced its back-office functions such as unit management, settlement, and fund accounting to IT Minds Limited and has an in-house system as well. Currently, around 60% of the Unit Management System is managed by the in-house IT team and the remaining 40% is supported by IT Minds, with management working to build in-house technical capability to eventually manage the system fully. Integration with National Clearing Company of Pakistan Limited (NCCPL) has been completed to facilitate reporting of investor investment in/out information. For digital payments, Blinq serves as the primary payment gateway, with Switch integrated as a backup to ensure channel availability. Raast integration is being implemented with Central Depository Company (CDC), and a Web Application Firewall (WAF) is planned for the next financial year to strengthen protection of web-based applications.

Internal Audit plan, approved by Audit Committee, encompasses the review of the internal control system, which includes policies/procedures, physical safeguards, and monitoring of compliance function pertaining to NBFC regulations. The compliance and risk functions are segregated and are overseen by dedicated resources. Risk governance is formalised through the Risk Management & Compliance Policy, Framework & Procedures. The Board holds ultimate responsibility for risk strategy and has constituted a Board Risk Management Committee (BRMC) of at least three directors, ideally chaired by a non-executive director, to oversee the risk framework. An independent Risk Management Department (RMD), headed by the Head of Risk, reports functionally to the CEO and to the BRMC on implementation of risk policies. The RMD's mandate includes independent review of limit-change proposals before BRMC approval, maintenance of records of limit breaches, corrective actions and resolution dates, and pre-investment compliance checks to ensure fund managers operate within limits. Key risk indicators are monitored daily and breaches are reported to the relevant authorities. The policy is reviewed annually by the BRMC and the CEO.

Internal assessment modules are used with a combination of qualitative and quantitative analysis. Excel based credit risk scorecards are in place which provide statistical estimates for counter party credit risk. The fund managers ensure the credit portfolio of the fund exposed to credit risk is broadly diversified.

The risk management department vigilantly monitors the liquidity profile of funds under management. Sufficient liquidity is maintained by investing a significant portion of funds’ assets in liquid investment avenues. The RMD prepares quarterly Liquidity Risk Reports analysing the demand and supply gap of liquid assets, quarterly Investor Concentration Reports monitoring individual and group holdings in the CIS, and free-float, Weighted Average Maturity and trade reports for debt instruments. Quarterly liquidity stress tests assess the liquidity position of the funds and availability of credit lines, with any discrepancies reported to the Investment Committee.

For managing market risk, various techniques such as VaR analysis, beta analysis and stress testing are being used. The exposure limits are clearly communicated to portfolio managers along with a periodic review of the appropriateness of limit structure. The RMD produces quarterly risk-adjusted performance and attribution analysis reports, and reports CIS beta against peers. VaR is calculated quarterly and validated through VaR stress tests and quarterly back-testing reports, while economic and capital market scenario analysis is conducted to identify vulnerabilities

The Investment Committee (IC) comprises the CEO, CIO, Fund Manager, and the Head of Research. Mr. Meraj Uddin Mazhar - Chief Investment Officer, has extensive experience of 14 years overall and with the PQAMC experience of 4 years managing Equity, Fixed Income, discretionary, and nondiscretionary portfolios.

The IC comprises of qualified and experienced professionals to review the investment strategy of each fund and its performance to incorporate impact of market circumstances on funds’ performance. The IC for equity and fixed income is performed independently on monthly basis.

The Head of Research, Mr. Farhan Javaid, ACMA, brings 16 years of professional experience. He plays a pivotal role in strengthening research capabilities and supporting informed investment decisions, with research structured across three tiers: (i) Economic, (ii) Sector, and (iii) Entity. The department applies fundamental and financial analysis, along with broker research, to identify attractive investment opportunities. The Research Team conducts in-depth sector analysis and produces reports that support investment decisions. The team contributes insights and recommendations in Investment Committee (IC) meetings and ensures that all research and recommendations adhere to Shariah guidelines. It supports investment advisory across both equity and debt markets (including fixed income and Sukuk) and assists in shaping the AMC's strategic outlook and optimizing portfolios under a Shariah-compliant framework. The Research Team comprises five members, led by Mr. Farhan Javaid, ACMA, and supported by Ms. Zartaj Hameed (MBA Finance, ~9.5 years of experience) as Senior Research Analyst, along with three Research Analysts.

The Investor Services Department provides investor education, personalized solutions, and client reporting. Retail customer outreach is expected to be enhanced by allowing investments in PQAMC’s mutual funds through the CDC. The AMC also developed its Mobile App "Pak-Qatar AMC" to facilitate the retail customers and a web portal integrated through a common secured API layer. It supports digital onboarding (OTP verification, CNIC/KYC capture, risk profiling, FATCA/CRS declarations) and servicing features such as portfolio dashboards, additional investments through the Blinq gateway, online redemption, fund-to-fund conversion, transaction tracking, bank account management and multi-folio support

In addition to publishing fund manager reports monthly, the PQAMC also disseminates unit holder statements every month through email, which include net asset value and month-end closing values.

PQAMC operates via "Phygital" distribution model, combining physical branch network with a digital platform. On the physical side, the AMC leverages the branch network of PQFTL, which has a presence in over 75 cities across Pakistan. Approximately 85% of the investor base comprises retail investors, supported by 3 dedicated PQAMC branches with a sales force of 20 and 75 PQFTL branches with a sales force of over 1,000. The AMC has segregated its Marketing & Distribution function into two segments: the retail segment is managed through PQFTL's distribution network, while the corporate segment is managed directly by PQAMC through its corporate sales team. On the digital side, the AMC's Android app and web portal allow customers to open accounts, invest, redeem and manage portfolios without visiting a branch. In FY26, digital channels recorded 241 transactions valued at ~PKR 142.5mln, representing ~8% of total transactions, with 44 accounts opened digitally. Managemnt has furtehr planned enhancements include biometric and facial recognition with Unikrew, NADRA verification through the Nishan portal, Raast payments, WhatsApp-based self-service (account opening, top-ups, redemptions and statements), and deeper app and website functionality such as goal-based investing and digital KYC. Under the phygital approach, digitally originated leads will be routed to the nearest PQFTL branch or AMC relationship desk for conversion, so that digital lowers the cost of the first interaction while the branch network retains the human touch.

As of Jun'26, total AUMs of PQAMC stood at PKR 80.9bln, reflecting a 26.9% increase from PKR 63.8bln at Jun'25, reflecting continued growth in the AMC's managed CIS portfolio. The majority of funds performed in line with or above their respective benchmarks, with notable AUM growth recorded in Pak Qatar Cash Plan (97%), Pak Qatar Asset Allocation Plan II (58%) and Pak Qatar Islamic Stock Fund (31%). Equity and asset allocation-oriented funds delivered the adequate returns, led by Pak Qatar Islamic Stock Fund at 29.7% (benchmark: 39.2%), followed by Pak Qatar Asset Allocation Plan III at 29.4% (benchmark: 35.7%) — though both trailed their respective benchmarks given their equity-heavy allocation. Money market and income funds generated relatively stable returns in the 9–11% range, broadly in line with or ahead of their respective benchmarks, with Pak Qatar Cash Plan, Income Plan, Daily Dividend Plan, Monthly Income Plan, Asan Munafa Plan and Asset Allocation Plan II all outperforming their benchmarks. The AMC has also increased its strategic focus on the Separately Managed Accounts (SMA) business with aggregate AUMs of approximately PKR 73bln as of Jun'26, up from PKR 59bln in FY25 (+23.6%). In addition to its existing offerings, PQAMC has expanded its presence in the pension fund management space by providing investment advisory services to PQFTL. As part of the group’s broader pension initiatives, PQFTL has also successfully launched the GoKP Islamic Pension Fund on Dec 12, 2025, the GoPB Islamic Pension Fund on Jan 9, 2026, and the GoB Islamic Pension Fund on Jul 13, 2026, further strengthening the group’s presence in government pension schemes. As of Jun'26 the Pension Fund managed by PQFTL has grown to around PKR 420mln (Jun'25: PKR 145mln). These developments are expected to support PQAMC’s portfolio diversification and enhance its revenue base.

During FY26, the AMC's total revenue stood at PKR 540mln, compared with PKR 386mln in FY25, with fee and commission income – net contributing PKR 472.7mln (FY25: PKR 313.3mln), driven primarily by growth in management fee income to PKR 337.8mln (FY25: PKR 146.5mln) on the back of rising AUMs while the investment advisory fee income declined to PKR 134.9mln (FY25: PKR 166.8mln). The AMC reported a profit after tax of PKR 170mln (FY25: PKR 133.5mln), reflecting continued growth in the fee-based business. The AMC maintains a strong equity base of PKR 700.8mln (FY25: PKR 590.7mln), well above the regulatory requirements.