Lahore: The Pakistan Credit Rating Agency (PACRA) has sustained its stability rating for the Alhamra Islamic Money Market Fund, highlighting the fund's commitment to providing a steady return while preserving capital. The fund is known for its low-risk profile and strategic investments in liquid Shariah-compliant money market securities.

The Alhamra Islamic Money Market Fund, as of June 2025, reported Assets Under Management (AUM) of PKR 5.713 billion, showcasing its strong presence in Pakistan's Shariah-compliant financial market. The fund's asset allocation includes 50.3% in cash placements, 19.2% in Government of Pakistan Ijara Sukuks, 15.7% in Shariah-compliant placements with banks and Development Finance Institutions (DFIs), 13.5% in short-term sukuks, and 1.3% in other assets, including receivables.

From a credit quality perspective, the fund has allocated 47.1% of its assets to government securities and AAA-rated instruments. Additionally, 30.2% of the portfolio is invested in AA-rated avenues, 13.5% in A1-rated instruments, 7.9% in AA+ rated securities, and 1.3% in other categories.

With a weighted average maturity of 61 days, the fund maintains its low sensitivity to short-term interest rate fluctuations. This approach aligns with the fund's goal of balancing liquidity with yield opportunities in the Islamic money market sector.

PACRA notes that any significant changes in the fund's investment policy or compliance with rating criteria could influence the fund's stability rating in the future.