PACRA Maintains Stability Rating of Al Ameen Islamic Income Fund

Al Ameen Islamic Income Fund (“AA-IIF” or “the Fund”), a medium-risk profile fund, aims to provide investors with competitive returns through investments in high-quality, Shariah-compliant income avenues while ensuring capital preservation and liquidity. As of September 2025, the Fund’s assets under management (AUM) stood at PKR 1,102 million. The Fund maintained a conservative allocation, with approximately 56% invested in cash, 37% in GOP Ijarah Sukuk, 5% in TFCs/Sukuk, and the remaining portion deployed across other avenues. This allocation reflects the Fund’s strategy of maintaining liquidity while capturing stable income through exposure to government-backed and high-grade Islamic instruments. The credit quality profile of the Fund remained strong, with around 63% exposure in AAA-rated/government securities, 27% in AA-, 7% in AA, and the remainder in other rated avenues, highlighting the Fund’s preference for quality Shariah-compliant issuances. The Weighted Average Maturity (WAM) stood at 427 days, indicating a relatively long duration and elevated exposure to credit and interest rate risk. This extended WAM reflects the Fund’s higher allocation in long-term GOP Ijarah Sukuk and other fixed-rate Islamic instruments to enhance return potential. The unit holding structure of the Fund remained moderately concentrated, with the top 10 investors collectively accounting for ~56% of total holdings as of end-September 2025. While this level of concentration presents moderate redemption pressure, the Fund’s liquid profile and sizeable allocation in government-backed securities provide adequate capacity to manage withdrawals effectively.
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
UBL Fund Managers Limited, incorporated in 2001 as a public unlisted company, is one of Pakistan's leading Asset Management and Investment Advisory companies. It 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 ~98% owned by United Bank Limited, while the remaining stake belongs to individuals. The Company’s Board of Directors comprises seven members including the CEO. Mr. Asif Ali Qureshi, CFA, serves as the Chief Executive Officer (CEO) and Director of UBL Asset Management Company Limited. With over 25 years of experience in the financial sector, his expertise spans banking, economic and financial research, investment banking, consulting, teaching, training, and entrepreneurship. The Company’s diverse product slate includes 18 conventional funds and 10 Shariah-compliant funds belonging to all major categories. The assets under management (AUMs) stood at ~PKR 317.57bln at the end of Sep'25.