Muhammad Azmat Shaheen
PACRA Maintains Stability Rating of Alhamra Islamic Income Fund
|Rating Type||Stability Rating|
Alhamra Islamic Income Fund or the "Fund" is a medium-risk profile fund. The Fund allocated 33.4% of assets to banks, whereas 34% of the exposure was maintained with Government Securities and ~26% was allocated to corporate sukuk. Weighted average maturity stood at 3.7 years mainly due to investment in long term government securities and corporate bonds while, the duration of the fund stood at 57 days. The investor concentration is on lower side standing at 20% in Jun’22 showing low redemption risks.
Going forward, the Fund will invest as per its authorized investment policy, however, the allocations will be diversified appropriately. Material changes in the Fund's asset allocation strategy, impacting its credit quality and/or exposure to interest rate risk, would affect the rating.
MCB-Arif Habib Limited Savings and Investments Limited (MCB-AH or the "Company") is a Public Listed Company, regulated by the SECP. MCB-AH holds licenses for Asset Management, Investment Advisory, and Pension Fund Management. MCB-AH caters to both conventional and Shariah-compliant clientele and is currently managing a diverse product slate of eighteen open-end funds and two voluntary pension schemes. MCB-AH 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 MCB-AH are MCB Bank Limited ~51%, Arif Habib Corporation Limited ~30%, and Adamjee Insurance Company Limited ~8%. The general public holds the remaining ~11% of the shares. Mr. Saqib Saleem is the CEO of the company. MCB-AH'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 AUMs (CIS & VPS) of MCB-AH increased to PKR 122bln at end-Jun'22 (Dec'21: PKR 110bln).