PACRA Maintains Stability Rating of Atlas Money Market Fund
|Rating Type||Stability Rating|
Atlas Money Market Fund ( "AMMF" or the "Fund") is the low risk profile Fund. The investment objective of the Fund is to provide stable income stream with preservation of capital by investing in AA and above rated banks and short term Government Securities. The assigned rating reflects the Fund's strong credit and interest rate risk profile emanating from its investment strategy. The Fund remained compliant with the rating criteria for the assigned ratings. The Fund had allocated ~71.34% of the Funds’ investments in T Bills, mainly rated AAA, ~22.94% in Banks,~3.04% in CPs, ~1.47% in Short Term Sukuk while remaining was invested in Others. The WAM of the Fund stood at 24 days, limiting the exposure to credit risk. The duration of the Fund stood at 25 days at the end Dec'22, limiting the exposure to interest rate risk. The Fund's unit holding pattern of top 10 investors concentration were ~62.38%; giving rise to low level of redemption pressure.
Going forward, the material changes in the Fund's asset allocation strategy, which could impact the Fund's credit quality and exposure to interest rate risk, would remain critical for the rating.
Atlas Asset Management Limited, incorporated in August 2002 and a part of Atlas Group, is a wholly owned (100%) subsidiary of Shirazi Investments (Pvt.) Limited - the holding company of the Group. Atlas Group, established in 1962, is one of the well-known business groups of the Country with a presence in manufacturing, financial, and trading sectors.
AAML's seven-member board of directors comprises four representatives of Atlas Group, two independent directors and the CEO. The CEO of the Company, Mr. Muhammad Abdul Samad, has completed the Advanced Management Program from INSEAD and holds postgraduate qualifications from the University of Karachi and the Southeastern University, he also holds certification from IFMP. He has been associated with the Company for over seventeen years and held C-Suite positions for over a decade. He has a significant Board experience, where he has served as a director on the board of nineteen listed companies, including Atlas Battery Limited, Lucky Cement, Berger Paints, Mirpurkhas Sugar, amongst others along with vast experience of the mutual fund industry. The Company is currently managing five conventional and five shariah compliant funds, along with two in the VPS category. The assets under management stood at ~PKR 49bln at end Dec'22