Karachi, January 19, 2022 (PPI-OT):VIS Credit Rating Company Limited (VIS) has upgraded the Fund Stability Rating (FSR) of ABL Islamic Cash Fund (ABL ICF) from ‘AA (f)’ (Double A(f)) to ‘AA+ (f)’ (Double A Plus (f)). Previous rating action was announced on December 31, 2020. Launched in February’ 2020, ABL ICF operates as a Shariah compliant money market fund. Fund size increased significantly with net assets amounting to Rs. 7.5b (FY20: Rs. 1.5b) by end-FY21.

The assigned rating takes into account improved credit quality and fund’s performance during FY21. Asset allocation remained vested in ‘AAA’ and ‘AA’ rated exposures, largely in line with VIS criteria and the Investment Policy Statement (IPS), although minor deviations were noted. Liquidity profile of the fund also improved with an increase in the proportion of retail investors and sizeable portion of liquid asset composition. There was also no breach in duration of the fund during the review period. Fund performance also remained sound with the fund outperforming its peers and benchmark. Going forward, maintenance of credit quality and liquidity profile in line with VIS benchmark for the assigned rating will remain key rating drivers.

For more information, contact:
Director Compliance and Rating Analytics,
VIS Credit Rating Company Limited
VIS House, 128/C, 25th Lane off Khayaban-e-Ittehad,
Phase VII, DHA, Karachi, Pakistan
Tel: +92-21-35311861-72
Fax: +92-21-35311873
Email: bilal@jcrvis.com.pk
Website: https://www.vis.com.pk/