PACRA Maintains the Stability Rating of ABL Money Market Fund

ABL Money Market Fund ("ABL-MMF" or "the Fund") is categorized under a low-risk profile, with the objective of providing competitive returns to its investors while preserving capital to the greatest possible extent through investment primarily in bank deposits and money market instruments. The Fund's strategy prioritizes capital preservation and liquidity management, making it suitable for investors seeking minimal exposure to interest rate movements while maintaining ready access to funds. As of Jun'26, the Fund's Assets Under Management (AUM) stood at PKR 7,963mln, compared to PKR 8,275mln as of the last review,reflecting a modest contraction in fund size during the review period, primarily attributable to an overall reduction in the money market fund category size. In terms of asset allocation, approximately 50% of the portfolio was invested in cash, 43% in Treasury Bills, ~4% in TFCs/Sukuk, and ~3% in commercial paper, reflecting a well-diversified yet highly liquid portfolio positioning consistent with the Fund's low-risk money market mandate. From a credit quality perspective, approximately 93% of the Fund's assets were invested in Government Securities and AAA rated instruments, ~4% in A1+ rated instruments, ~4% in A1 rated instruments, and ~0.4% in unrated exposures. The overall credit profile is considered very strong and fully compliant with the assigned rating criteria, well within the prescribed thresholds under the rating methodology. The Fund's Weighted Average Maturity (WAM) stood at 56 days as of Jun'26, reflecting limited sensitivity to interest rate movements and reinforcing its very strong liquidity position. Meanwhile, the unit holding pattern indicates a low degree of concentration, with the top 10 investors accounting for ~33% of the Fund's total holdings, diversified across corporates and welfare funds, all of which are typically stable and long-term in nature, providing a resilient and well-anchored investor base. This diversified and institutionally supported composition, combined with the Fund's highly liquid asset allocation and short WAM profile, provides very strong comfort regarding the Fund's ability to meet any potential redemption requirements swiftly. In terms of performance, the Fund delivered a one-year return of 9.79% as of Jun'26, against a benchmark return of 10.73%, reflecting an underperformance of approximately 94 basis points.
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
Incorporated in 2007, ABL AMC is a wholly owned subsidiary of Allied Bank Limited (ABL). ABL operates with 1,400 plus branches including 117 Islamic banking branches, 8 Digital/ Self Service branches & 2 overseas branches. ABL AMC possesses licenses for asset management, pension management and investment advisory services. As the leading private sector asset management and investment advisory Company in Pakistan, offerings include a comprehensive range of both Conventional and Shariah Compliant investment solutions across all major asset classes. Assets under management of the Company stood at ~PKR 306bln at the end of Jun'26.