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The Pakistan Credit Rating Agency Limited
Press Release

Date
29-Aug-19

Analyst
Shahzaib Khalid
shahzaib.khalid@pacra.com
+92-42-35869504
www.pacra.com

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This press release is being transmitted for the sole purpose of dissemination through print/electronic media. The press release may be used in full or in part without changing the meaning or context thereof with due credit to PACRA

PACRA Maintains the Asset Manager Rating of Lakson Investments Limited

Rating Type Asset Manager
Current
(29-Aug-19)
Previous
(27-Feb-19)
Action Maintain Maintain
AM Rating AM2+ AM2+
Outlook Stable Stable
Rating Watch - -

The rating incorporates the company’s well defined strategy of catering to the investment needs of institutional and high net worth investors. The company's private equity and venture capital revenues are growing and a dedicated team of qualified individuals is built to lead both the business lines. Strong ownership and governance profile provides support to the rating. The company has clear organizational structure, strong risk management framework, seasoned management team, structured investment process and quality support systems. The company has a structured investment decision making process and the management team is focused on delivering sound and consistent fund performance results. The rating also incorporates the company’s high top ten investor concentration, in line with its focus on institutional investors.
The rating is dependent upon the company's ability to successfully execute its business strategy encompassing enhancement in system share while further diluting AUM concentration. Going forward, the management’s success in tapping the available potential, would be critical for the overall positioning of the company.

About the Entity
Lakson Investments Limited, the investment management company of the Lakson Group, was incorporated on January 02, 2009 as an un-listed public company. It is licensed to undertake asset management and investment advisory services. The company has launched private equity and venture capital funds. The company’s control vests in eight-member board, comprising four non-executives, one executive and three independent directors. The chairman of the Lakson Group, Mr. Iqbal Ali Lakhani, is the chairman of Lakson Investment’s board. The company is currently managing six open-end funds in diversified categories with an aggregate AUM base of ~PKR 15.6 billion at end June-19. The investment advisory portfolio has ~PKR 9.7bln assets under management at end Mar-19.

The primary function of PACRA is to evaluate the capacity and willingness of an entity to honor its obligations. Our ratings reflect an independent, professional and impartial assessment of the risks associated with a particular instrument or an entity. PACRA's comprehensive offerings include instrument and entity credit ratings, insurer financial strength ratings, fund ratings, asset manager ratings and real estate gradings. PACRA opinion is not a recommendation to purchase, sell or hold a security, in as much as it does not comment on the security's market price or suitability for a particular investor.