PACRA Assigns Stability Rating to BMA Money Market Fund

BMA Money Market Fund ("BMA-MMF" or "the Fund") is a low-risk profile Fund. The primary objective is to generate competitive returns with a high level of liquidity and minimal risk by investing primarily in short-term money market instruments and high-quality fixed income securities. The Fund is structured as a conventional money market fund with a strong focus on capital preservation and liquidity management. The credit profile is underpinned by a diversified allocation across government securities and high-grade instruments, including T-bills/ AAA-rated instruments (~60%), AA+ rated instruments (~20%), and A1-rated instruments (~20%), reflecting a balanced approach between sovereign exposure and high-quality private sector placements. Liquidity will be maintained through a combination of short-tenor T-bills, bank placements, and cash balances with top-tier financial institutions, with the WAM expected to remain within a maximum limit of 90 days (current targeted WAM ~60-75 days). The Fund will operate under a stringent diversification framework, capping exposure to a single bank or counterparty at 10% of net assets to ensure risk dispersion. The target investor base comprises corporates, employee benefit funds, insurance companies, private funds, AOPs, high net worth individuals, and retail investors, enabling the Fund to build a broad and stable investor mix over time. This rating reflects the Fund’s conservative investment philosophy and emphasis on high credit quality and liquidity. While a significant portion of assets will be allocated to bank deposits and short-term instruments to support liquidity, the Fund’s resilience to redemption pressures will depend on the evolution of its investor base and ongoing adherence to diversification and credit discipline. The Offering Document has been reviewed and approved by the SECP. The tentative launch date for the Fund is 29th April, 2026.
Going forward, the Fund intends to operate within broad money market stipulations, maintaining a balance between yield optimization and disciplined management of associated risks.

About the Entity
BMA Investment Advisors Limited was incorporated in April 2005 and obtained its licenses for investment advisory and asset management in April and July 2005, respectively. The Company is a wholly owned subsidiary of BMA Capital Management Limited. Mr. Mian Qasim Saeed Ahmed presently serves as the President of the Company, whereas Mr. Haris Anwar assumed charge as Chief Executive Officer in June 2025. The Company has a three-member board, two of whom are non-executive and one is independent. Mr. Salim Khan has been serving as the Chairman of the Board since October 2017.