Karachi: The Pakistan Credit Rating Agency Limited (PACRA) has maintained the stability rating of the ABL Income Fund, citing its adherence to a medium-risk profile while focusing on capital preservation and stability. The fund's strategic allocation in fixed income instruments is designed to offer a balanced mix of domestic and international assets, ensuring diversified exposure for investors.

As of December 31, 2024, the ABL Income Fund's portfolio allocation reflects a commitment to both diversification and risk management. With 44.12% of its assets held in bank deposits, the fund prioritizes liquidity and capital protection. Additionally, 25.16% is invested in Pakistan Investment Bonds, providing stability with sovereign-backed securities, while 21.43% is allocated to Term Finance Certificates and Sukuk, enhancing portfolio diversification. The allocation also includes 6.41% in Treasury Bills for short-term stability, with remaining investments spread across other permissible instruments.

The fund demonstrates a disciplined approach to credit quality, with 50.92% of its assets in AAA rated instruments and Government securities, forming the foundation of its risk management strategy. This is bolstered by 21.64% in A+ rated instruments, along with smaller percentages in AA-, AA, and A1 rated securities, all selected through rigorous credit analysis. The remaining 2.88% of the portfolio is managed with strict oversight to maintain quality.

The fund's weighted average maturity stands at 544 days, reflecting its balanced approach aimed at navigating varying interest rate environments while maintaining portfolio stability. Any significant changes in the fund’s investment policy or rating criteria compliance may impact the assigned ratings, according to PACRA’s report.