PACRA Maintains Stability Rating of Alhamra Daily Dividend Fund

Alhamra Daily Dividend Fund (“ALHDDF” or “the Fund”) is classified under a medium-risk profile and is designed to meet investors’ short- to medium-term investment needs. The Fund aims to provide daily dividend income through investments in Shariah-compliant instruments, while maintaining an appropriate balance between liquidity and return generation. As of Dec’25, the Fund’s Assets Under Management (AUM) stood at PKR 1,971mln, compared to PKR 3,337mln as of Jun'25 (last review), reflecting a decline in the Fund’s size during the review period. In terms of asset allocation, the portfolio remained tilted towards liquidity, with ~69% invested in cash and ~28% in TFCs/Sukuks, while the remaining portion was placed in other eligible instruments. This allocation highlights the Fund’s emphasis on liquidity management while generating returns through Shariah-compliant fixed-income avenues. From a credit quality perspective, approximately ~68% of the assets were invested in AA-rated instruments, followed by ~19% in A1+ and ~9% in A1-rated securities, with the balance in other categories, reflecting a satisfactory credit profile. The Fund’s Weighted Average Maturity (WAM) stood at 39 days, indicating moderate exposure to interest rate movements while supporting liquidity. The unit holding pattern reflects relatively low investor concentration, with the top 10 investors accounting for ~23% of the Fund’s AUM, thereby suggesting limited redemption pressure and a relatively diversified investor base. In terms of performance, the Fund reported an annualized year-to-date return of 9.33% as of Dec’25, compared to the benchmark return of 9.39%, indicating performance broadly aligned with its benchmark and investment strategy.
Going forward, any material changes in the investment policy and/or compliance with the rating criteria for the assigned rating would have an impact on the rating.

About the Entity
MCB Investment Management Limited (MCBIM) is a public listed company regulated by the Securities and Exchange Commission of Pakistan (SECP). It holds licenses for asset management, investment advisory, and pension fund management, catering to both Conventional and Shariah investment solutions. As of Dec 2025, MCBIM manages a diversified portfolio, including 26 Open-End Mutual Funds and 4 Voluntary Pension Schemes, while also maintaining a leading position in Separately Managed Accounts (SMA) and investment advisory services. MCBIM’s major shareholders include MCB Bank Limited (~81.42%), Adamjee Insurance Company Limited (~7.59%), and the general public (~9.28%). Mr. Khawaja Khalil Shah serves as the Chief Executive Officer of the company. The Board comprises a balanced composition of 4 Non-Executive Directors and 3 Independent Directors, ensuring strong governance, objective decision-making, and alignment with regulatory best practices. The Company’s assets under management (AUM) have grown significantly, reaching approximately PKR 429 Billion as of December 2025, reflecting its strong market presence and consistent growth in Pakistan’s asset management industry.