The Pakistan Credit Rating Agency Limited
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Wajeeha Asghar

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PACRA Maintains Stability Rating of Pak Oman Daily Dividend Fund

Rating Type Stability Rating
(27-Jun-23 )
(30-Dec-22 )
Action Maintain Maintain
Long Term AA(f) AA(f)
Short Term - -
Outlook Stable Stable
Rating Watch - -

Pak Oman Daily Dividend Fund (or the "Fund") reflects the low risk profile Fund. The assigned rating reflects the Fund's low credit risk profile emanating from the Fund's investment strategy to invest in strong credit quality investment avenues with sound liquidity. Currently, the Fund had allocated ~82.7% cash in bank majority in AA, ~9.25% in Corporate Sukuks rated AA whereas ~8.1% in others at the end Mar’23. The duration and the WAM of the Fund stood at 5 days, limiting the exposure to interest rate and credit risk. The top 10 investors concentration of the Fund, at the end Mar’23 was ~99.7% of which ~50.6% were related party investment, keeping redemption pressure at moderate level.
Going forward, the Fund intend to diversify their investment in Govt/AAA rated avenues and will ensure to meet the given criteria over the short horizon. Any material changes in the investment policy or the devised rating criteria for the assigned rating would have an impact on the rating.

About the Entity
Pak Oman Asset Management Company Limited was incorporated on July 28, 2006 as a public unlisted company. It is licensed by the Securities and Exchange Commission of Pakistan to carry out asset management and investment advisory services under the Non-Banking Finance Companies Regulations. The company is a majority owned subsidiary of Pak Oman Investment Company Limited (98%). The remaining shareholders include Oman International Development Company (0.84%) and Bank Muscat (0.43%). The company’s Board of Directors comprises six members including the managing director of Pak Oman Investment Company, Mr. Bahauddin Khan. The board’s chairman H.H Juland Jaifer Salim Al-Said has over 15 years of experience at the Oman Investment Authority (OIA) (Previously known as State General Reserve Fund). The company’s diverse product slate includes eight open end funds as at Feb'23 belonging to all major categories. The total AUMs of the Company stood at ~8.2bln at the end Mar'23

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