Muhammad Zain Ayaz
PACRA Maintains Stability Rating of Atlas Money Market Fund
|Rating Type||Stability Rating|
Atlas Money Market Fund (or the "Fund") reflects the fund's low risk profile, at Jun'21, the Fund had allocated ~98% of the funds’ investments in bank placements (rated ‘AA+’ and above). The duration of the fund stands at 1 day, at Jun'21. The portfolio duration of the Fund represents very low exposure towards interest rate volatility. The Fund's unit holding pattern remains moderately concentrated with the top 10 investors comprising ~78% of the Fund's net assets of which ~25% are related parties, keeping redemption pressure to a low level.
Going forward, the fund intends to increase its exposure in T-Bills whilst the remaining assets will be invested as cash placements. Material changes in the fund's asset allocation strategy, which could negatively impact the fund's credit quality and exposure to interest rate risk, remain critical for the rating.
Atlas Asset Management Limited, incorporated in August 2002 and a part of Atlas Group, is a wholly owned (100%) subsidiary of Shirazi Investments (Pvt.) Limited - the holding company of the Group. Atlas Group, established in 1962, is one of the well-known business groups of the Country with a presence in manufacturing, financial, and trading sectors.
AAML's seven-member board of directors comprises four representatives of Atlas Group, two independent directors and the CEO. The CEO of the Company, Mr. Muhammad Abdul Samad, has completed the Advanced Management Program from INSEAD and holds postgraduate qualifications from the University of Karachi and the Southeastern University, he also holds certification from IFMP. He has been associated with the Company for over fifteen years and held C-Suite positions for over a decade. He has a significant Board experience, where he has served as a director on the board of nineteen listed companies, including Atlas Battery Limited, Lucky Cement, Berger Paints, Mirpurkhas Sugar, amongst others along with vast experience of the mutual fund industry. The Company is currently managing four conventional and five shariah compliant funds, along with two in the VPS category. The assets under management stood at ~PKR 50.3bln at end Jun'21.