Press Release

VIS Reaffirms Fund Stability Rating of First Habib Cash Fund
 

Karachi, December 28, 2021: VIS Credit Rating Company Limited (VIS) has reaffirmed the Fund Stability Rating (FSR) of First Habib Cash Fund (FHCF) at ‘AA+ (f)’ (Double A Plus (f)). The previous rating action was announced on December 31, 2020:

FHCF is a money market fund with an objective to provide its investors competitive returns while maintaining high liquidity by deploying assets in short-term debt instruments. The fund’s exposure as per their Investment Policy Statement is limited to minimum ‘AA’ rated or higher debt issue/issuer exposures.

Assigned rating takes into account strong growth in fund size to Rs. 16.9b (FY20 3.6b) at end-FY21 along with fund’s liquid asset allocation plan and sound credit quality. In line with its mandate, the fund managed to preserve the assets allocation in allowable securities, with no deviations in the actual asset allocation. In terms of credit quality, 78% of the fund’s exposure remained concentrated in AAA rated issue/issuer. Market risk also remained low as WAM of the fund remained under the 90 day limit. Fund performance during the year witnessed some volatility with relative performance with respect to peers depicting a decline from last year, however, the fund managed to outperform its benchmark return on annual basis. With exposure of the fund primarily in liquid avenues and low risk profile, ability of the fund to meet redemptions is considered sound.

For further information on this rating announcement, please contact Ms. Sara Ahmed (Ext: 207) or the undersigned (Ext: 306) at (021) 35311861-66 or email at info@vis.com.pk.





Faryal Ahmad Faheem
Deputy CEO

Applicable Rating Criteria: Fund Stability Ratings
(December 2020 https://docs.vis.com.pk/docs/FundstabilityRating.pdf)

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Information herein was obtained from sources believed to be accurate and reliable; however, VIS Credit Rating Company Limited (VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information.VIS , the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report.VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright 2021 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .

VIS Credit Rating Company Limited