Karachi: The Pakistan Credit Rating Agency Limited (PACRA) has maintained its ‘AA+(f)’ stability rating for the ABL Money Market Fund, citing its continued low-risk profile and solid investment strategy aimed at preserving capital and generating competitive returns.

According to The Pakistan Credit Rating Agency Limited, the ABL Money Market Fund focuses on capital preservation by investing primarily in high-quality bank deposits and money market instruments. These include Treasury Bills, commercial papers, and certificates of deposits, noted for their low credit risk. The fund’s investment policy is designed to cater to investors seeking stable returns and safety of capital. As of the end of June 2024, the fund’s investments were heavily weighted towards AAA/Government Securities, constituting about 99.1% of its portfolio, with the remainder dispersed among other categories. Notably, the majority of the fund’s assets were held in T-bills, comprising approximately 85.5%, followed by Pakistan Investment Bonds at 6.1%, and Term Finance Certificates at 4.9%.

The fund’s Weighted Average Maturity (WAM) stood at 62 days as of the end of June 2024, indicating a robust position with low exposure to credit risk. PACRA notes that the fund’s asset quality aligns well with the rating criteria and underscores its stable financial outlook.

PACRA emphasizes that any significant changes in the fund’s investment policy or its adherence to the established rating criteria could influence future ratings. The agency’s current affirmation reflects confidence in the fund’s management and strategic direction, ensuring a stable outlook for its investors.