Press Release

VIS Reaffirms Fund Stability Rating of HBL Money Market Fund

Karachi, March 03, 2025: VIS Credit Rating Company Limited (VIS) has reaffirmed the Fund Stability Rating (FSR) of HBL Money Market Fund (HMMF) at ‘AA+ (f)’ (Double A plus (f)). The medium to long-term rating of ‘AA+ (f)’ denotes high degree of stability in Net Assets Value. Risk is modest but may vary slightly from time to time because of changing economic conditions. Previous rating action was announced on January 02, 2024.

Launched in July 14, 2010, HMMF is an open-end fund which offers high liquidity through investment in low-risk securities of shorter duration and maturity. During FY24, the Fund’s Assets Under Management (AUM) witnessed significant growth of ~70%. The Fund yielded an annualized return of 21.54%, outperforming its benchmark while underperforming the peer average.

Assigned rating takes into account the Fund’s asset allocation, which aligns with the parameters outlined in the offering document. The Fund’s investments were concentrated in T-Bills, Cash deposits, PIB-Floaters, and Placements with Banks and DFIs, with a minimal portion in TFCs/Sukuks. Assigned rating also considers the credit quality of the Fund, with credit exposures primarily in Government Securities and AAA rated assets, while the remaining were placed in AA+ rated securities. While the Fund’s credit exposures were above the minimum rating threshold of AA, minimal placements below the defined rating were observed in certain months during the review period. Going forward, maintenance of credit quality in line with the defined Benchmarks will be important for the assigned rating. Weighted average time to maturity (WAM) of the Fund has remained within the threshold stated in the offering document. Liquidity profile of the Fund is assessed as sound. Additionally, the client concentration is considered low.

For further information on this ratings announcement, please contact at 021-35311861-64 or email at info@vis.com.pk.




Applicable Rating Criteria: Fund Stability Ratings
https://docs.vis.com.pk/docs/-FundstabilityRating.pdf

VIS Issue/Issuer Rating Scale
https://docs.vis.com.pk/docs/VISRatingScales.pdf

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 2025 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .