PACRA Maintains Stability Rating of ABL Cash Fund

ABL Cash Fund (“ABL CF” or “the Fund”), a low-risk profile fund, is positioned to provide capital preservation and liquidity through a conservative investment strategy. The Fund’s portfolio remains anchored in sovereign instruments and money market avenues, ensuring strong credit quality and maintaining sufficient capacity to meet redemptions on demand. As of June 2025, the Fund’s assets under management (AUM) stood at PKR 41 billion. The Fund’s asset allocation reflected its defensive positioning. Approximately ~72% of the portfolio was invested in Government of Pakistan Treasury Bills (T-Bills), ~12% was maintained in cash placements to ensure instant liquidity, while the remaining ~15% was deployed in other short-term avenues to enhance portfolio flexibility. This allocation structure supports the Fund’s mandate of maintaining liquidity while balancing return considerations. The credit quality of the Fund remained sound, with ~77% exposure in AAA-rated/government securities and ~7% in AA+ rated instruments. The remaining ~15% was allocated across other high-quality investment-grade avenues, ensuring adherence to a conservative credit profile. This composition underscores the Fund’s continued reliance on top-tier exposures in line with its low-risk positioning. The Weighted Average Maturity (WAM) of the Fund was reported at 136 days as of June 2025, indicating a moderate level of maturity exposure. This level of WAM reflects the Fund’s positioning in short-term instruments, limiting sensitivity to interest rate and credit risk. The unit holding structure of the Fund indicated moderate concentration, with the top 10 investors collectively accounting for ~53% of outstanding units at end-June 2025. While this concentration introduces a degree of redemption pressure, the Fund’s sizable allocation in Treasury Bills and cash placements ensures ample liquidity to comfortably meet withdrawal needs without disrupting portfolio stability.
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
Incorporated in 2007, ABL AMC is a wholly owned subsidiary of Allied Bank Limited (ABL). ABL operates with 1,400 plus branches including 117 Islamic banking branches, 8 Digital/ Self Service branches & 2 overseas branches. ABL AMC possesses licenses for asset management, pension management and investment advisory services. As the leading private sector asset management and investment advisory Company in Pakistan, offerings include a comprehensive range of both Conventional and Shariah Compliant investment solutions across all major asset classes. Assets under management of the Company stood at ~PKR 273bln at the end of Jun'25.