PACRA Maintains the Stability Rating of MCB Investment Savings Fund

MCB Investment Savings Fund ("MCB-ISF" or "the Fund") is categorized under a medium-risk profile, with the objective of delivering returns through an aggressive investment strategy in the debt and fixed income market. Despite its medium-risk classification, the Fund's current portfolio positioning reflects a highly conservative and liquidity-oriented approach. As of Jun'26, the Fund's Assets Under Management (AUM) stood at PKR 77,298mln, compared to PKR 32,755mln as of the last review, representing more than a doubling of fund size over the review period, indicative of strong investor confidence in the Fund's investment proposition. In terms of asset allocation, approximately 98.3% of the portfolio was invested in cash, ~0.5% in TFCs/Sukuks, and ~1% in other receivables, reflecting a near-exclusively liquid portfolio positioning consistent with the Fund's emphasis on capital stability and flexibility. From a credit quality perspective, approximately 98.3% of the Fund's assets were invested in AAA rated instruments, with ~0.5% in A1 rated instruments and the remainder in other exposures. This near-pristine credit profile is considered a key credit strength of the Fund, providing the highest possible quality anchor to the portfolio and underscoring the Fund's very strong commitment to its conservative credit approach within its medium-risk mandate. The Fund's Weighted Average Maturity (WAM) stood at 0 days as of Jun'26, reflecting virtually zero sensitivity to interest rate movements and reinforcing the Fund's very strong liquidity position. Meanwhile, the unit holding pattern indicates moderate concentration, with the top 10 investors accounting for ~45% of the Fund's total holdings, thereby exposing the Fund to moderate redemption risk; however, the Fund's near-exclusively liquid asset allocation and zero-day WAM profile provide very strong comfort regarding its ability to meet any potential redemption requirements swiftly and in an orderly manner. In terms of performance, the Fund delivered an annualized one-year return of 12.04% as of Jun'26, against a benchmark return of 11.31%, reflecting a notable outperformance of approximately 73 basis points. This above-benchmark outcome is considered a commendable result, demonstrating the Fund's very strong capacity to generate competitive risk-adjusted returns while maintaining its conservative, liquidity-first investment discipline throughout the review period.
Going forward, any material changes in the investment policy and/or compliance with the rating criteria for the assigned rating would have an impact on the rating.

About the Entity
MCB Investment Management Limited (MCBIM) is a public listed company regulated by theSecurities and Exchange Commission of Pakistan (SECP). It holds licenses for asset management,investment advisory, and pension fund management, catering to both Conventional and Shariahinvestment solutions. As of Dec 2025, MCBIM manages a diversified portfolio, including 26Open-End Mutual Funds and 4 Voluntary Pension Schemes, while also maintaining a leadingposition in Separately Managed Accounts (SMA) and investment advisory services. MCBIM’smajor shareholders include MCB Bank Limited (~81.42%), Adamjee Insurance Company Limited(~7.59%), and the general public (~9.28%). Mr. Khawaja Khalil Shah serves as the ChiefExecutive Officer of the company. The Board comprises a balanced composition of 4 Non-Executive Directors and 3 Independent Directors, ensuring strong governance, objective decision-making, and alignment with regulatory best practices. The Company’s assets under management(AUM) have grown significantly, reaching ~PKR 387 Billion as of Jun'26.