PACRA Maintains Stability Rating of JS Government Securities Fund

JS Government Securities Fund (“the Fund”) is characterized as a low-risk income scheme, designed to preserve investor’s capital while providing a regular stream of current income on an annual basis which is higher than that offered by commercial banks on deposits of a similar liquidity profile. The fund operates a diverse portfolio of investment-grade debt securities, government securities and money market instruments. As of June 30, 2025, the Fund reported Assets Under Management (AUM) of PKR 10,046 million. The Fund's asset class overwhelmingly allocated to sovereign and near-sovereign, with 45% invested in Pakistan Investment Bonds (PIBs) to capture long-term government yield, 31% in Treasury Bills (T-Bills) for short-term government liquidity, 24% held as bank placements and the remaining 1% in others. The Fund's credit quality shows a key rating strength, with 99% of assets held in direct Government securities or ‘AAA’ rated instruments, effectively eliminating material default risk. The remaining less than 1% is allocated to ‘AA+’ rated avenues, reinforcing the Fund’s high investment-grade profile and aligning with the Fund’s low-risk objective. The Weighted Average Maturity of 646 days reflects significant exposure to longer-tenor securities. This provides higher yields but increases credit rate risk. However, the risk is manageable due to highly invested in Government and AAA rated securities. The duration of 117 days shows moderate sensitivity to near-term rate movements. The investor base is highly concentrated, with the top ten investors holding 94% of units. This risk is partly mitigated by 31% liquidity in T-Bills and the sovereign nature of the Fund.
Going forward, any material changes in the investment policy or the devised rating criteria for the assigned rating would have an impact on rating.

About the Entity
JS Investments Limited holds the distinction of being Pakistan’s oldest private-sector Asset Management Company, established in 1995 and listed on the Pakistan Stock Exchange. As a key entity within the Jahangir Siddiqui (JS) Group, the Company benefits from a strong financial ecosystem, with JS Bank Limited maintaining a majority stake of approximately 85%. The JS Group has an extensive footprint across Pakistan’s financial sector, with operations spanning banking, insurance, brokerage, and asset management, while also expanding into energy infrastructure and the oil marketing sector. JS Investments Limited is a fully licensed financial institution, authorized to provide Asset Management Services, Investment Advisory, Private Equity, Venture Capital, and REIT Management. Additionally, the Company serves as a Pension Fund Manager under the Voluntary Pension System Rules, 2005, further solidifying its position as a diversified financial services leader. Under the leadership of Ms. Iffat Zehra Mankani (CEO), JS Investments leverages her extensive global expertise spanning over two decades in public and private markets across multiple asset classes. The Company’s governance structure is anchored by an eight-member Board of Directors, comprising a blend of independent and non-executive directors, with strong representation from JS Bank Limited and Jahangir Siddiqui & Company Limited. The Board is composed of highly accomplished professionals with deep expertise in financial services, ensuring strategic oversight and governance excellence. As of June 2025, JS Investments Limited reported Assets Under Management (AUM) of approximately PKR 124 billion, reflecting its sustained growth and leadership in Pakistan’s asset management industry.