PACRA Maintains Stability Rating of AKD Islamic Income Fund

AKD Islamic Income Fund ('AKDISIF' or 'the Fund') is a medium risk profile fund. The objective of AKD Islamic Income Fund (AKDISIF) is to provide investors with an investment vehicle that strives to enhance capital coupled with regular halal income by investing in Shariah Compliant income investments. As of Dec’25, the Fund’s AUM stood at ~PKR 2,032mln. In terms of asset allocation, the Fund maintained ~35.07% in Cash holdings, followed by ~15.70% in GOP Ijarah Sukuk, ~14.20% in Sukuk, ~11.08% in Short-Term Sukuk, and ~10.99% placed with Banks, NBFCs, and DFIs, while ~7.86% was allocated to Spread Transactions and the remaining ~5.11% in other instruments including receivables. The allocation reflects a balanced investment strategy combining liquidity management with diversified exposure across sovereign and corporate Shariah-compliant instruments. From a credit quality perspective, ~16% of the portfolio was invested in Government Securities and ~2% in Government-Guaranteed instruments, while ~30% was allocated to AA+/A1+ rated avenues, ~20% in AA/A1, ~9% in AA-, and ~10% in A+ rated instruments, with the remaining ~13% invested in unrated avenues. This composition indicates moderate credit risk exposure supported by a meaningful allocation to high-quality rated instruments. As of end-Dec’25, the Fund’s WAM (Weighted Average Maturity) stood at 313 days, reflecting relatively higher exposure to longer-tenor instruments and increased sensitivity to interest rate movements. In terms of performance, the Fund reported an annualized return of 10.37% as of Dec’25, which remained above the benchmark return of 9.3% and the peer average return of 10.0%, indicating outperformance relative to comparable funds.
Going forward, any material changes in the investment policy and compliance with the rating criteria for the assigned rating would have an impact on the ratings.

About the Entity
AKD Investment Management Limited commenced its operations in September 2004. The Company is registered as an Asset Management Company under the Non-Banking Finance Companies Rules, 2003. The Company is sponsored by AKD Group Holdings (Private) Limited [Formerly: Aqeel Karim Dhedhi Securities(Private) Limited] (99.97% ownership). The Board of Directors of the Company comprises seven members, including the CEO Mr. Imran Motiwala, who has been serving as the Chief Executive Officer of AKD Investment Management Limited since 2009. The Company is currently managing eight open-end funds with assets under management of ~PKR 13,010mln at the end of Dec '25.