Karachi: VIS Credit Rating Company Limited has reaffirmed the Fund Stability Rating of HBL Income Fund at 'A+ (f)', indicating a moderate degree of stability in its Net Asset Value. This rating comes as part of a regular review process, with the previous assessment made in January 2024.

According to a statement by VIS Credit Rating Company Limited, the rating reflects the fund's asset allocation strategy, which closely follows the guidelines outlined in its offering document. HBL Income Fund, established in March 2007, seeks to deliver a steady income stream while maintaining a moderate risk profile.

The fund's investments are primarily concentrated in cash, government-backed and guaranteed securities, TFCs/Sukuks, MTS spread transactions, T-bills, placements with banks and DFIs, and PIBs. The credit quality of the fund remains aligned with VIS benchmarks, with a significant portion of investments in government securities and AAA-rated avenues, supplemented by assets rated AA- and A+.

The duration of the fund's assets has seen an increase over time. Despite this, its liquidity profile is considered sound, and client concentration remains manageable. Looking ahead, maintaining both the credit quality and duration of the portfolio in line with VIS benchmarks will be crucial for the fund's continued stability.