PACRA Maintains Stability Rating of Lakson Income Fund

The Lakson Income Fund (“LIF” or “the Fund”) is characterized as a medium-risk fixed income collective investment scheme, engineered to deliver stable returns through an actively managed portfolio of Government of Pakistan (GoP) securities and high-quality fixed income instruments. The Fund’s strategic positioning along Pakistan's yield curve is designed to offer an optimal balance between income generation and capital preservation, in line with its stated investment objective. As of June 30, 2025, the Fund reported Assets Under Management (AUM) of PKR 14.83 billion, reflecting its established presence within Pakistan's fixed income market. The Fund maintains a diversified asset class with a pronounced liquidity focus: a 43.88% weighting in GoP Treasury Bills (T-Bills) provides substantial short-term liquidity, a 27.67% allocation to Pakistan Investment Bonds (PIBs) facilitates yield enhancement, and a 17.33% allocation to bank placements acts as a core liquidity buffer, with the remaining 10.20% held in other instruments. The Fund’s credit profile remains strong, with 72% of assets held in 'AAA' rated avenues, primarily direct government securities, complemented by a further 22% allocated to 'AA+' rated avenues. This combined 94% allocation to high investment-grade disciplined credit risk management and effectively minimizes default risk within the Fund's medium-risk mandate. The Fund demonstrates active yield curve positioning with a WAM of 565 days and a duration of 363 days. This reflects moderate sensitivity to interest rate movements while capturing yield curve premiums. The structure balances short-term liquidity needs with longer-term yield enhancement. Shorter-dated T-Bills and bank placements help temper the sensitivity from PIB exposure. The investor base is concentrated, with the top 10 investors holding 73% of AUM. This poses potential liquidity stress during correlated redemptions. However, a combined 70% liquidity buffer supports redemption needs.
Going forward, any material changes in the investment policy or the devised rating criteria for the assigned rating would have an impact on the rating.

About the Entity
Lakson Investments Limited (LIL), the premier investment management arm of the esteemed Lakson Group, was incorporated on January 02, 2009, as an unlisted public company. Licensed to provide Asset Management, Investment Advisory, and Private Fund Management services, LIL has distinguished itself as a forward-thinking financial institution with a diversified portfolio. A market pioneer, Lakson Investments is the only Asset Management Company (AMC) in Pakistan offering global market exposure through its Lakson Asset Allocation Developed Markets Fund. The company further strengthens its investment ecosystem by managing a private equity and venture capital fund, alongside a robust suite of mutual funds and separately managed accounts (SMAs). Under the leadership of Mr. Babar Ali Lakhani (CEO), a seasoned investment professional with over 23 years of experience in domestic and international equity and fixed income markets, LIL continues to drive strategic growth and portfolio excellence. The company is further guided by the visionary stewardship of Mr. Iqbal Ali Lakhani, Chairman of the Lakson Group, who also chairs Lakson Investments’ Board of Directors. As of June 2025, the company’s Assets Under Management (AUM) stood at an impressive ~PKR 187 billion, underscoring its strong market presence and investor confidence. Lakson Investments remains committed to innovation, prudent risk management, and value creation, reinforcing its position as a trusted leader in Pakistan’s asset management landscape.