PACRA Maintains Asset Manager Rating of NBP Fullerton Asset Management Limited
|Rating Type||Asset Manager|
The rating emanates from the company’s competitive positioning as one of the key players in the asset management industry. The diversification of fund slate, along with management’s plan to further expand it, bodes well in the competitive positioning. The exceptional business profile provides it with the capacity to bring sophistication in the operating infrastructure. The rating is benefitted by its innovative technology and sound operating environment. It incorporates the company’s association with a renowned bank - National Bank of Pakistan. The AUMs witnessed considerable growth which resulted in an increase in the system share (Dec-17: PKR 90 billion, Dec-16: PKR 84.4 billion). The rating also takes support from the increasing retail penetration which helps to diversify the AUMs base and strengthening the company’s profile among the peers. The company has an established risk management department which is fully integrated with the investment decision making process.
The rating is dependent on the management’s ability to hold its position in the increasingly challenging industry. Upholding existing organization structure along with retention of key personnel and consistent superior fund performance remains imperative for the company.
NBP Fund Management Limited (Formerly: NBP Fullerton Asset Management Limited), established in 2005, is licensed by Securities and Exchange Commission (SECP) to carry out asset management and investment advisory business. NBP is the largest shareholder of the AMC with a stake of ~54%, followed by Alexandra Fund Management Pte. Ltd ~36% stake. The CEO of NBP Fund, Dr. Amjad Waheed, also holds a stake of 10% in the company.
Company nine-member Board of Directors comprise the company’s CEO, three representatives of NBP, two representatives of FFMG and three independent directors. During the year Mr. Mudassir Husain Khan and Mr. Tariq Jamali joined the company’s board as a Non-Executive directors, both are the representatives of the bank. The company is currently managing a diversified fund slate of twenty funds in the categories of asset allocation, income, equity and money market.