MCB Investment Management Limited ("MCB Funds" or the "AMC") is a Public Listed Company, regulated by the Security & Exchange Commission of Pakistan (SECP). The AMC holds multiple licenses, including Asset Management Services, Investment Advisory Services, and Pension Fund Manager.

MCB Investment Management Limited was incorporated on August 30, 2000 as Arif Habib Investment Management Limited (AHIML). In 2008, the AMC was listed on Pakistan Stock Exchange Limited and consequently was renamed as Arif Habib Investments Limited (AHIL). In January 19, 2011, a transfer agreement was signed between Arif Habib Corporation Limited (AHCL) and MCB Bank Limited (MCB Bank) for transfer of the entire business of MCB AMC to AHIL to achieve synergies in business and to have access to a wider distribution network. The amalgamation scheme was approved by shareholders of AHIL and MCB AMC. Pursuant to the scheme of amalgamation, the name of AHIL was changed to MCB-Arif Habib Savings and Investments Limited (MCB-AH) on May 23, 2013. On April 18, 2023, MCB Bank being the parent Company of MCB-AH, has acquired 30.09% shares of MCB-AH from AHCL. By virtue of this transaction, MCB Bank's shareholding in MCB-AH has increased from 51.33% to 81.42% and AHCL no longer holds any shares in MCB-AH. Resultantly, the AMC was renamed to MCB Investment Management Limited (MCBIM).

The market share of the AMC stood at 9% at the end of Jun'26 (Jun'25: 10%). Despite a marginal decline in market share, the AMC maintained its position among the leading asset management companies, supported by a diversified product portfolio and a strong institutional and retail presence.

The AMC caters to both conventional and Shariah-compliant clientele (Brand Name - Alhamra) and currently manages a diverse product slate comprising twenty-eight open-end funds, two voluntary pension schemes, two Khyber Pakhtunkhwa employees’ pension schemes, and two Punjab employees’ pension schemes.

The AMC maintains a well-diversified investor base, with concentration remaining at an adequate level. As at Jun'26, the top 10 investors represented 16.4% of total AUM. The customer base is predominantly retail, comprising 98.7% of investors, while institutional investors account for the remaining 1.4%.

The shareholding structure of the AMC comprising MCB Bank Limited 81.42%, Adamjee Insurance Company Limited 7.59%, and the general public holds the remaining 10.99% of the shares.

MCB Bank Limited, established in 1947, is one of Pakistan’s longstanding and prominent commercial banks. The Bank has an extensive nationwide branch and ATM network, supported by a sizeable customer base and established digital banking infrastructure. The majority stake in MCB Bank is held by the Nishat Group, one of Pakistan’s prominent business groups. The Bank’s established franchise, broad customer outreach, and strong presence across the financial services landscape provide a supportive platform for MCB Investments, particularly through its extensive retail and institutional reach.

MCB Bank Limited (rated 'AAA') has an asset base of -PKR 3.4trln at the end-Jun'26 accompanied by a profit after tax of -PKR 26.5bln. Comfort is derived from the strong financial profile of the sponsors and their demonstrated capacity to provide support, if required.

The AMC's control vests in an eight-member board of directors, including the CEO. There are four non-executive directors, while three directors are independent.

The Board comprises experienced professionals with diverse expertise spanning banking, investments, insurance, corporate management, technology, and business development. Mr. Haroun Rashid, Chairman, is a Fellow Member of the Institute of Chartered Accountants in England & Wales and brings extensive international and local experience in banking, investments, and industrial ventures, having held senior positions with ANZ Securities Asia Limited and Grindlays Brandts Limited, among others. Mr. Fahd Kamal Chinoy, Independent Director, holds an MBA from INSEAD and a BA in Economics and Political Science from the University of Pennsylvania, with experience in corporate management, banking, and investment banking, and currently serves as CEO of Pakistan Cables Limited. Mr. Ahmed Jahangir, Non-Executive Director, holds an MBA from LUMS and a BBA in Finance from Boston University, and has extensive experience across textiles, international marketing, and finance, currently serving as Executive Director and Head of Home Textile Business Unit at Nishat Mills Limited. Ms. Mavra Adil Khan, Independent Director, holds an MBA from INSEAD and is a LUMS graduate, with experience in marketing, digital transformation, brand strategy, and business transformation, including roles at Amazon UK and Uber. Mr. Manzar Mushtaq, Non-Executive Director, is an alumnus of Clark University and has over 19 years of experience in financial services, currently serving as CEO of Adamjee Life Assurance Company Limited, with prior leadership roles at Adamjee Insurance Company and Habib Metropolitan Financial Services Limited. Ms. Sadia Muzaffar, Independent Director, brings over 35 years of banking experience across corporate finance, restructuring, commercial and retail banking, Islamic banking, and investment banking, having held senior positions at HSBC, Habib Bank Limited, and Pakistan Kuwait Investment Company. Mr. Muhammad Nauman Chughtai, Non-Executive Director, is a CFA charterholder with an MBA from LUMS and a B.E. in Electronics Engineering from NED University, and brings over three decades of banking experience across consumer, retail, corporate, transaction banking, and risk management.

To strengthen governance and support effective decision-making, the Board has constituted specialized committees, including the Audit Committee, Human Resource & Remuneration Committee, Credit Committee, and IT & Digital Risk Management Committee. These committees facilitate oversight of financial reporting, human capital, credit risk, and technology and digital risk management, contributing to an effective control and governance framework.

MCB Funds has an in-house internal audit department to monitor internal controls. The external auditors of the AMC are A. F. Ferguson & Co. They have a satisfactory QCR rating and are classified in the 'A' category of the SBP Panel of Auditors.

MCB Funds maintains a well-defined organizational structure with independent reporting lines to MAN-COM members. The structure encompasses all core functions including IT, Compliance, Finance, Operations, Risk Management, Sales & Distribution, Investments, Quality Assurance & Customer Services, HR & Administration, and Digital Business & Marketing. Specialized sub-departments such as Product Development, Research, Corporate Affairs, Investor Services, and Training & Communications further enhance functional depth. Internal Audit operates independently with direct reporting to the CEO, reinforcing governance and control oversight.

The AMC’s management team comprises experienced and qualified professionals with diverse expertise across banking, investments, finance, operations, and digital marketing. Mr. Khawaja Khalil Shah, Chief Executive Officer & Director, is an MBA graduate from LUMS and brings over 30 years of banking experience across corporate banking and risk management, including senior roles at MCB Bank, MCB Islamic Bank, Al-Faysal Investment Bank, and Faysal Bank. Mr. Muhammad Asim, CFA, Chief Investment Officer, is an MBA in Finance and has nearly two decades of asset management experience, including over a decade as CIO of MCB Funds, with expertise across equity and fixed-income markets. Mr. Asif Mehdi Rizvi, Chief Operating Officer & Chief Financial Officer, is a Fellow Member of ICAP with over 12 years of post-qualification experience, including more than 11 years in asset management, and has previously served in senior compliance and fund accounting roles. Mr. Monis Usman, Chief Digital & Marketing Officer, is an MBA in International Marketing from the University of Cardiff and brings over 12 years of marketing experience across leading organizations, including British Gas, Pfizer, Daraz, and Kaymu, with expertise in digital marketing and business growth.

MCB Funds has continued to strengthen its digital infrastructure through iSave, its integrated mobile and web investment platform that enables a seamless end-to-end digital investment journey, including digital account opening, investments, redemptions, fund conversions, and real-time portfolio access. The AMC has also enhanced transaction capabilities through iPay, providing instant payment and settlement services via Raast, 1LINK, IBFT, and MCB Live integrations, alongside instant redemption of up to PKR1mln per day. A 24/7 WhatsApp self-service bot further improves investor servicing by providing instant access to balances, statements, tax certificates, and fund information. The AMC continues to invest in platform modernization, cybersecurity, AI-enabled verification, and digital VPS capabilities to enhance customer experience, security, and operational efficiency.

MCB Funds maintains a sound control environment, supported by separate Risk Management and Compliance functions with independent reporting lines. The Chief Compliance Officer, Mr. Syed Sohail Ahmed, brings over 17 years of experience in compliance, risk management, and internal audit, including a long-standing association with MCB Funds. The AMC has also developed its own digital platform, providing greater operational control and efficiency compared to peers that rely on third-party vendors. Well-defined policies, independent oversight, and internal checks further support effective risk management and regulatory compliance.

The AMC operates a disciplined credit risk framework whereby the Risk Management function evaluates the credit profile and financial strength of issuers and counterparties prior to investment, with exposures continuously monitored against internal limits and regulatory requirements. Credit risk is primarily concentrated in receivables from funds under management, which stood at PKR 839.19mln (2025: PKR 959.80mln) and are considered good with no significant past-due amounts, while bank balances are maintained with highly rated institutions and short-term investments of PKR 684.64mln are held in government-guaranteed Market Treasury Bills, carrying negligible credit risk. On the AUM side, the investor base is well-diversified at approximately 44% retail and 56% institutional, which mitigates the risk of sudden large-scale redemptions from any single segment, while the product suite spanning money market, income, equity, balanced, asset allocation, and Shariah-compliant funds ensures no single fund or asset class dominates, thereby reinforcing the overall quality and resilience of the credit profile.

The AMC sustains a strong liquidity profile through sizeable allocations to readily marketable instruments, primarily government securities and bank placements, with the Risk Management department closely monitoring redemption patterns against portfolio allocations to proactively manage potential mismatches. Liquidity remains robust, with cash and bank balances alongside short-term investments in Market Treasury Bills comfortably covering financial liabilities, including lease liabilities, trade and other payables, and unclaimed dividends. The maturity profile further reinforces this position, as the majority of payables falling due within three months are more than adequately matched by liquid assets, while a conservative gearing ratio reflects low reliance on debt and a strong equity base, providing sufficient flexibility to meet investor redemptions in a timely manner.

The AMC maintains a sound market risk management framework supported by in-house tools that monitor portfolio sensitivity to market movements, with the Risk Management function regularly assessing volatility and potential downside exposures across marketable securities to enable timely identification of emerging risks. The AMC's direct exposure is primarily through fixed income instruments and savings account balances, both of which are sensitive to interest rate movements, while there is no material foreign exchange or price risk exposure. This risk is further mitigated by a diversified product portfolio across money market, income, equity, balanced, asset allocation and Shariah-compliant funds, which reduces reliance on any single product or asset class, and by the portfolio's exposure to government-backed instruments that provide stability during periods of market volatility. Fund-level performance underscores this resilience, with the equity portion delivering strong returns and fixed income funds also performing well during the year, while Shariah-compliant investments add another layer of diversification, collectively supporting stability across varying market conditions.  

The Investment Committee comprises the CEO, CIO, Head of Equity, Head of Fixed Income, Portfolio Manager Equities, Head of Research, Fund Manager Fixed Income – Investment Advisory, and respective fund managers.

The Investment Committee reviews the investment strategy of each fund under management and its performance regularly to incorporate the impact of various factors on funds' performance.

The AMC have an in-house research department headed by Mr. Raza Inam, CFA. The research team follows a rigorous framework of top down approach with extensive coverage of macro economy, listed sectors and companies. This is achieved through detailed macro, sectors and companies financial models, which are linked with the research terminal to generate real-time comparisons within and across sectors.

Investor servicing has been strengthened through enhanced digital capabilities and multiple customer support channels. The AMC provides a centralized digital platform for monitoring investments and executing transactions. For stock funds, investors can redeem up to 70% of their eligible investment value through the digital channel. The AMC has also strengthened its VPS offering through a dedicated digital portal, enabling convenient access and management of pension investments. The VPS platform benefits from the AMC’s strong group affiliation and relationship with Adamjee Life Insurance, a key client, supporting institutional reach and service capabilities. These initiatives, along with accessible customer support, have enhanced convenience, responsiveness, and overall investor experience.

The AMC maintains a structured investor reporting framework, with timely distribution of unit holder statements and regular publication of Fund Manager Reports. These reports provide investors with relevant updates on portfolio performance, market developments, and key macroeconomic trends, supporting transparency and informed investment decisions.

MCB Investment Management Limited benefits from a diversified distribution network, combining direct presence in six major cities with the nationwide reach of MCB Bank Limited and MCB Islamic Bank Limited. This integrated structure supports broad geographic coverage, retail penetration, and scalable growth in AUM.

MCB Funds’ total AUM stood at approximately PKR397bln as at Jun’26 (Jun’25: PKR394bln), reflecting a broadly stable asset base. AUM peaked at approximately PKR429bln in Dec’25 before moderating towards year-end. The AMC maintains a diversified suite of conventional and Shariah-compliant products across fixed-rate return, aggressive fixed income, income, money market, asset allocation, balanced, and equity strategies. As at Jun’26, the conventional-to-Shariah AUM mix stood at 67:33, while money market funds accounted for approximately 38% of total AUM. The business profile is further supported by the SMA portfolio, which increased to approximately PKR150bln from PKR101bln, reflecting deeper institutional penetration. The overall fund performance remained satisfactory, with several funds performing above their respective benchmarks.

The AMC's total asset base witnessed a significant growth of 30.4%, increasing from PKR 5,023.6mln as at end-Jun'25 to PKR 6,549.1mln as at end-Jun'26. This growth was primarily driven by a substantial increase in investments, which rose to PKR 3,990.8mln (Jun'25: PKR 2,850.6mln), and a notable build-up in cash and bank balances, which stood at PKR 257.9mln (Jun'25: PKR 111.9mln). The AMC’s total revenue for Jun'26 stood at PKR 4,715.3mln (Jun'25: PKR 4,710.4mln), while the cost of providing services decreased to PKR 2,258.9mln (Jun'25: PKR 2,322.2mln). Consequently, gross profit improved to PKR 2,456.4mln in Jun'26 (Jun'25: PKR 2,388.2mln).