PACRA Maintains Stability Rating of AL Habib Income Fund

AL Habib Income Fund ('AHIF' or 'the Fund') is a medium risk profile fund. The investment objective of the AHIF and Allocation Plan(s) is to provide competitive risk adjusted returns to its investors by investing in a diversified portfolio of long, medium- and short-term debt instruments while taking into account liquidity considerations. As of Jun’26, the Fund’s AUM stood at ~PKR 22.857bln, down from PKR 25.237bln as of Dec’25, reflecting a moderate contraction in fund size during the period while maintaining the Fund’s investment strategy. In terms of asset allocation, approximately 40.95% of the portfolio was invested in Cash, 33.75% in T-Bills, 24.41% in PIBs, and ~0.24% in GoP Ijarah Sukuk, with the remaining ~0.65% allocated to other instruments. The allocation reflects a diversified portfolio with significant exposure to sovereign securities while maintaining a meaningful liquidity buffer. From a credit quality perspective, ~58.40% of the Fund’s assets were invested in Government Securities, ~40.95% in AAA rated avenues, and the remaining ~0.65% in other exposures, indicating a strong credit quality profile with minimal credit risk exposure. The Fund’s WAM stood at 176 days as of Jun’26, while duration stood at 66 days, reflecting moderate sensitivity to interest rate movements. The unit holding pattern remained relatively well diversified, with the top 10 investors accounting for ~37.60% of total holdings, indicating lower redemption risk. In terms of performance, the Fund reported an annualized return of 14.91% as of Jun’26, compared to a benchmark return of 11.39% and peer average return of 13.02%, indicating outperformance relative to both its benchmark and comparable funds.
Going forward, any material changes, in the investment policy, and/ or compliance with rating criteria for the assigned rating would have impact on the ratings.

About the Entity
AL Habib Asset Management Limited ('AHAML') incorporated in September 2005 as an unlisted public company, is the fastest-growing Asset Management and Investment Advisory Company in Pakistan. The company is licensed by the Securities and Exchange Commission of Pakistan (SECP) to carry out these services under the Non-Banking Finance Companies Regulations. The Company is a wholly-owned subsidiary of Bank AL Habib Limited. The Board of Directors comprises six members. The CEO, Mr. Kashif Rafi, has vast experience expanding over 22 years in the field of Investments and Fund Management. The Company’s diverse product slate includes 8 conventional funds and 5 Shariah-compliant in open-ended schemes. As of Jun '26, the total AUMs of AHAML stood at PKR 290.561bln.