contentsjs pension savings fund for the period ended march 31, 2011. market review the equity market...

CONTENTS

01

Vision and Mission Statement.....................................................................................02

Organization...............................................................................................................03

Directors’ Report to the Participants..........................................................................04

Condensed Interim Statement of Assets and Liabilities...................................................05

Condensed Interim Income Statement.........................................................................06

Condensed Interim Statement of Comprehensive Income.............................................08

Condensed Interim Statement of Cash Flows....................................................................10

Condensed Interim Statement of Movement in Participants’ Sub-Funds...................................11

Notes to the Condensed Interim Financial Statements...................................................12

JS Pension Savings Fund

02

VISIONTo be recognized as a responsible asset manager respected for continuinglyrealizing goals of its investors.

MISSIONTo build JS Investments into a top ranking Asset Management Company;founded on sound values; powered by refined knowhow; supported bya committed team operating within an accountable framework of social,ethical and corporate responsibility - a strong and reliable institution forits shareholders to own; an efficient service provider and value creatorfor clients; an exciting and fulfilling work place for employees; and aparticipant worth reckoning for competitors.

BROAD POLICY OBJECTIVESValue creation for clients on a sustainable basisMaintain high standards of ethical behaviors and fiduciary responsibilityManage Investments with Prudence and with the aim of providingconsistent returns better than that of peersTake Products and Services to the People; Create awareness onunderstanding financial goals, risks and rewardsProfessional Excellence - Adapt, Evolve and Continuously ImproveMaintain highly effective controls through strong compliance and riskmanagementA talented, diligent and diverse HR


ORGANIZATION

03

Pension Fund Manager JS Investments Limited7th Floor, The Forum, G-20Khayaban-e-Jami, Block-9, CliftonKarachi-75600Tel: (92-21) 111-222-626Fax: (92-21) 35361724E-mail: [email protected]: www.jsil.com

Board of Directors Munawar Alam Siddiqui ChairmanRashid Mansur Chief Executive OfficerSuleman Lalani Executive DirectorNazar Mohammad ShaikhLt. General (R) Masood ParwaizSadeq SayeedMazharul Haq Siddiqui

Audit Committee Nazar Mohammad Shaikh ChairmanMunawar Alam Siddiqui Member

Lt. General (R) Masood Parwaiz Member

Chief Financial Officer& Company Secretary Suleman Lalani

Trustee Central Depository Company of Pakistan LimitedCDC House, 99-B, Block 'B', S.M.C.H.S.,Main Sharah-e-Faisal,Karachi-74400 Pakistan.Tel: (92-21) 111-111-500Fax: (92-21) 34326040

Auditors Ernst & Young Ford Rhodes Sidat HyderChartered Accountants

Legal Adviser Bawaney & Partners

Transfer Agent Technology Trade (Private) Limited241-C, Block 2, P.E.C.H.S, KarachiTel: (92-21) 34391316-7Fax: (92-21) 34391318

The fund has 144 participants as on March 31, 2011.

Acknowledgement

We wish to express our gratitude to the employees of the Pension Fund Manager and the Trustee for their dedicationand hard work and the participants for their confidence in the Management.

04

The Board of Directors of JS Investments Limited are pleased to present to you the un-audited financial statements ofJS Pension Savings Fund for the period ended March 31, 2011.

Market Review

The equity market showed robust performance during the nine months period ended March 31, 2011 represented bya significant rise of 21% in the KSE-30 index. Heavy discount to regional markets coupled with relative exchange ratestability have been key reasons behind a USD 302mn foreign inflow which led to this significant improvement. Howevermuch of the rise was brought about by impressive returns during 2QFY11 whereas 1QFY11 and 3QFY11 remainedvirtually flat. During the latter quarter, political disturbance in the MENA region and the subsequent surge in oil pricesalong with domestic political noise muted sentiments and caused a sharp decline of 64% QoQ in foreign portfolioinvestments.

The calendar year started on a positive note with the SBP maintaining its policy rate constant at 14% in the backdropof an improved external accounts position along with discipline showed by Government with respect to borrowings fromthe central bank. However the month of February witnessed political tensions in the MENA region which pushed upcommodity prices raising concerns over the country's macro economic health. Furthermore, Pak US relations suffereda set back over the diplomatic immunity of a US national. This boded negatively for the potential aid and sovereigninflows expected in the upcoming months.

However the country's current account situation continues to show strength with an overall surplus of USD 99mn duringJul'10-Mar.'11 as against a deficit of USD 3.1bn in the corresponding period last year. The Government also took thedifficult decisions of announcing revenue generation measures including a 15% flood tax surcharge and removal ofgeneral sales tax (GST) exemption on a number of items. Moreover with Pakistan's relations with US resurrected to anextent, probabilities of receipt of sovereign inflows and the remaining IMF tranches appear to have enhanced whichaugurs well for the economy. Meanwhile the much awaited leverage product has yet to show any real signs of providingimpetus to proceedings as volumes have remained bland since i ts reintroduction in March.

Review of Fund Performance

JS Pension Savings Fund provides an opportunity to the eligible participants to plan for their retirement through regularcontributions in their Pension account. The Fund presently has three sub funds namely Equity Sub-Fund, Debt Sub-Fundand Money Market Sub-Fund. Profit for the period ended March 31, 2011 of each sub fund and the net assets as onMarch 31, 2011 are provided below:-

On behalf of the Board

Rashid MansurChief Executive OfficerKarachi: April 21, 2011

EquitySub-Fund

DebtSub-Fund

Money MarketSub-Fund

Profit for the period (Rs. in million) 6.273 4.245 4.677Net Assets (Rs. in million) 30.202 76.415 65.146NAV per unit (Rupees) 93.25 141.17 117.51NAV appreciation during the period (%) 26.56% 8.44% 8.29%

05

Assets

Bank balances 4 1,751,766 388,206 524,169 2,664,141 2,106,218 1,605,853 1,582,314 5,294,385Investments 5 27,954,895 76,369,699 64,939,844 169,264,438 21,498,931 74,998,418 62,390,550 158,887,899Dividend receivable 460,990 - - 460,990 99,000 - - 99,000Profit receivable on investments - 27,834 - 27,834 - 286,850 - 286,850Deposit and other receivables 6 120,863 105,058 104,904 330,825 102,191 100,311 100,215 302,717Total assets 30,288,514 76,890,797 65,568,917 172,748,228 23,806,340 76,991,432 64,073,079 164,870,851

Liabilities

Remuneration payable to the Pension Fund Manager 37,820 96,621 82,404 216,845 2,902 9,412 7,866 20,180Remuneration payable to the Trustee 4,444 11,353 9,683 25,480 3,533 11,309 9,816 24,658Annual fee payable to Securities and Exchange Commission of Pakistan 6,710 17,848 15,073 39,631 8,110 23,279 22,361 53,750Accrued expenses and other liabilities 7 37,197 349,838 315,691 702,726 114,733 377,097 114,292 606,122Total liabilities 86,171 475,660 422,851 984,682 129,278 421,097 154,335 704,710

Contingency 8

Net assets 30,202,343 76,415,137 65,146,066 171,763,546 23,677,062 76,570,335 63,918,744 164,166,141

Participants' Sub-Funds 30,202,343 76,415,137 65,146,066 171,763,546 23,677,062 76,570,335 63,918,744 164,166,141

Number of units in issue 10 323,876 541,284 554,403 321,352 588,193 589,084

Net assets value per unit 93.25 141.17 117.51 73.68 130.18 108.51

The annexed notes from 1 to 13 form an integral part of these condensed interim financial statements.

Note EquitySub-Fund

DebtSub-Fund


Total31 March 2011 (Un-audited)

----------------Rupees----------------

EquitySub-Fund

DebtSub-Fund


Total 30 June 2010 (Audited)

----------------Rupees----------------

For JS Investments Limited(Pension Fund Manager)

ChairmanMunawar Alam Siddiqui

Chief Executive OfficerRashid Mansur

06

Income

Profit / mark-up on debt securities - 6,520,089 5,379,721 11,899,810 - 5,367,427 5,616,759 10,984,186Unrealised gain on remeasurement of held for trading investments - net 3,785,351 - - 3,785,351 3,190,435 - - 3,190,435Gain / (loss) on sale of investments - net 1,336,606 (562,763) (2,620) 771,223 2,352,861 30,390 (51,435) 2,331,816Dividend income 1,422,378 - - 1,422,378 1,029,589 - - 1,029,589Mark-up on bank balances / deposits 165,174 221,806 214,754 601,734 136,981 996,057 1,014,726 2,147,764Element of (loss) / income and capital (loss) / gain in prices of units issued less those in units redeemed - net (45,299) (1,255,099) (119,921) (1,420,319) (79,101) 6,285,073 4,803,267 11,009,239Total income 6,664,210 4,924,033 5,471,934 17,060,177 6,630,765 12,678,947 11,383,317 30,693,029

Expenses

Remuneration to the Pension Fund Manager 302,241 803,947 678,974 1,785,162 270,420 764,612 741,492 1,776,524Remuneration to the Trustee 38,115 101,440 85,651 225,206 34,334 96,924 93,948 225,206Annual fee to Securities and Exchange Commission of Pakistan 6,710 17,848 15,073 39,631 6,003 16,974 16,461 39,438Reversal of Workers' Welfare Fund 8 (76,315) (334,719) (69,852) (480,886) - - - -Auditors' remuneration 46,813 46,814 46,813 140,440 52,709 52,710 52,711 158,130Securities' transaction cost 42,489 - - 42,489 70,696 - - 70,696Printing, stationary & postage 22,597 22,599 22,597 67,793 - - - -Custody & settlement charges 5,356 4,500 4,500 14,356 5,600 4,500 4,500 14,600Bank charges 3,290 16,170 11,443 30,903 10,877 24,115 23,027 58,019Amortisation of formation cost - - - - 37,500 37,500 37,500 112,500Total expenses 391,296 678,599 795,199 1,865,094 488,139 997,335 969,639 2,455,113

Income for the period 6,272,914 4,245,434 4,676,735 15,195,083 6,142,626 11,681,612 10,413,678 28,237,916

Earnings per unit 19.37 7.84 8.44 19.13 20.82 18.39





Note EquitySub-Fund

DebtSub-Fund


TotalNine months ended 31 March 2011

----------------Rupees----------------

EquitySub-Fund

DebtSub-Fund


Total

----------------Rupees----------------

07




Three months ended 31 March 2011Equity

Sub-FundDebt

Sub-FundMoney Market

Sub-Fund Total----------------Rupees----------------

EquitySub-Fund

DebtSub-Fund

Money MarketSub-Fund Total

----------------Rupees----------------

Three months ended 31 March 2010

IncomeProfit / mark-up on debt securities - 2,336,187 2,011,995 4,348,182 - 1,888,512 1,983,221 3,871,733Unrealised (loss) / gain on remeasurement of held for trading investments - net (163,681) - - (163,681) 725,239 - - 725,239Gain / (loss) on sale of investments - net 709,610 (92,148) 504 617,966 181,689 (847,096) (51,435) (716,842)Dividend income 574,065 - - 574,065 462,848 - - 462,848Mark-up on bank balances / deposits 57,677 75,425 39,340 172,442 27,637 279,209 158,353 465,199Element of (loss) / income and capital (loss) / gain in prices of units issued less those in units redeemed - net (7,548) 760,324 362,167 1,114,943 (35,440) 424,001 314,443 703,004Total income 1,170,123 3,079,788 2,414,006 6,663,917 1,361,973 1,744,626 2,404,582 5,511,181

ExpensesRemuneration to the Pension Fund Manager 109,321 274,364 233,522 617,207 94,318 268,427 261,396 624,141Remuneration to the Trustee 13,106 32,882 27,985 73,973 11,180 31,814 30,979 73,973Annual fee to Securities and Exchange Commission of Pakistan 2,427 6,091 5,184 13,702 2,094 5,959 5,803 13,856Reversal of Workers' Welfare Fund - - - - - - - -Auditors' remuneration 8,054 8,055 8,054 24,163 9,567 9,568 9,568 28,703Securities' transaction cost 9,136 - - 9,136 19,765 - - 19,765Printing, stationary & postage (264) (263) (264) (791) - - - Custody & settlement charges 1,727 1,500 1,500 4,727 1,709 1,500 1,500 4,709Bank charges 630 (573) (116) (59) 1,723 6,255 4,167 12,145Amortisation of formation cost - - - - 12,500 12,500 12,500 37,500Total expenses 144,137 322,056 275,865 742,058 152,856 336,023 325,913 814,792


Earnings per unit 3.17 5.09 3.86 3.77 2.51 3.67


CONDENSED INTERIM STATEMENT OF COMPREHENSIVEINCOME (UN-AUDITED)FOR THE NINE MONTHS PERIOD ENDED 31 MARCH 2011

08



Other comprehensive income for the period:Net unrealised gain / (loss) on revaluation of investment classified as available for sale. - 45,300 (2,249) 43,051 - (277,599) (204,256) (481,855)Deficit / (surplus) on revaluation of available-for-sale investments transferred to income on maturity/sale - 244,984 20,896 265,880 - (662,422) - (662,422)

- 290,284 18,647 308,931 - (940,021) (204,256) (1,144,277)Total comprehensive income for the period 6,272,914 4,535,718 4,695,382 15,504,014 6,142,626 10,741,591 10,209,422 27,093,639


EquitySub-Fund

DebtSub-Fund



----------------Rupees----------------




EquitySub-Fund

DebtSub-Fund


Total

----------------Rupees----------------

Nine months ended 31 March 2010

09

Income / (Loss) for the period 1,025,986 2,757,732 2,138,141 5,921,859 1,209,117 1,408,603 2,078,669 4,696,389

Other comprehensive income for the period Net unrealised gain / (loss) on revaluation of investment classified as available for sale. - 9,150 (3,761) 5,389 - 608,089 675 608,764Deficit revaluation of available- for-sale investments transferred to income on maturity/sale - 23,143 - 23,143 - 662,422 - 662,422

- 32,293 (3,761) 28,532 - 1,270,511 675 1,271,186Total comprehensive income for the period 1,025,986 2,790,025 2,134,380 5,950,391 1,209,117 2,679,114 2,079,344 5,967,575


EquitySub-Fund

DebtSub-Fund


Total

Three months ended 31 March 2011

----------------Rupees----------------




EquitySub-Fund

DebtSub-Fund


Total

----------------Rupees----------------

10

Cash Flows from Operating Activities Income for the period 6,272,914 4,245,434 4,676,735 15,195,083 6,142,626 11,681,612 10,413,678 28,237,916

Adjustments for:(Gain) / loss on sale of investments - net (1,336,606) 562,763 2,620 (771,223) (2,352,861) (30,390) 51,435 (2,331,816)Amortization of discount on investments - (6,124,113) (5,379,721) (11,503,834) - (1,655,247) (5,616,759) (7,272,006)Amortization of formation cost - - - - 37,500 37,500 37,500 112,500Unrealized gain on investment in held for trading securities - net (3,785,351) - - (3,785,351) (3,190,435) - - (3,190,435)Element of loss / (income) and capital gains / (losses) included in prices of units issued less those in units redeemed - net 45,299 1,255,099 119,921 1,420,319 79,101 (6,285,073) (4,803,267) (11,009,239)

1,196,256 (60,817) (580,445) 554,994 715,931 3,748,402 82,587 4,546,920

Operating AssetsDividend receivable (361,990) - - (361,990) (298,975) - - (298,975)Profit receivable - 259,016 - 259,016 - 534,124 - 534,124Deposits and other receivables (18,672) (4,747) (4,689) (28,108) 1,080 (33,956 (8,321) (41,197)

(380,662) 254,269 (4,689) (131,082) (297,895) 500,168 (8,321 193,952Operating LiabilitiesRemuneration payable to the Pension Fund Manager 34,918 87,209 74,538 196,665 (20,830) (36,329) (34,233) (91,392)Remuneration payable to the Trustee 911 44 (133) 822 (1,445) 1,012 1,255 822Annual fee payable to Securities and Exchange Commission of Pakistan (1,400) (5,431) (7,288) (14,119) (807) 5,639 5,403 10,235Advance against sale of units - - - - - (28,817,385) (28,817,385) (57,634,770)Accrued expenses and other liabilities (77,536) (27,259) 201,399 96,604 (4,141) 23,102 7,099 26,060

(43,107) 54,563 268,516 279,972 (27,223) (28,823,961) (28,837,861) (57,689,045) 772,487 248,015 (316,618) 703,884 390,813 (24,575,391) (28,763,595) (52,948,173)

Sale of investments 15,229,378 384,360,386 240,384,443 639,974,207 15,592,733 88,678,313 18,764,547 123,035,593Purchase of investments (16,563,385) (379,880,033) (237,537,989) (633,981,407) (15,251,362) (122,076,265) (62,094,781) (199,422,408)Cash (used in) inflows from operating activities - net (1,334,007) 4,480,353 2,846,454 5,992,800 341,371 (33,397,952) (43,330,234) (76,386,815)

Cash Flows from Financing Activities - netCash received on issue of unit 238,363 11,352,635 10,996,678 22,587,676 357,527 35,830,324 35,261,931 71,449,782Cash paid on redemption of units (31,295) (17,298,650) (14,584,659) (31,914,604) (66,777) (3,823,501) (3,853,437) (7,743,715)Cash Flows from Financing Activities - net 207,068 (5,946,015) (3,587,981) (9,326,928) 290,750 32,006,823 31,408,494 63,706,067

Increase / (decrease) in cash and cash equivalents - net (354,452) (1,217,647) (1,058,145) (2,630,244) 1,022,934 (25,966,520) (40,685,335) (65,628,921)Cash and cash equivalents at beginning of the period 2,106,218 1,605,853 1,582,314 5,294,385 1,225,014 32,172,603 41,420,429 74,818,046Cash and cash equivalents at end of the period 1,751,766 388,206 524,169 2,664,141 2,247,948 6,206,083 735,094 9,189,125





11

Net assets at beginning of the year 23,677,062 76,570,335 63,918,744 164,166,141 19,541,340 37,349,291 35,136,528 92,027,159

Amount received on issue of units 238,363 11,352,635 10,996,678 22,587,676 357,527 35,830,324 35,261,931 71,449,782Amount paid on redemption of units (31,295) (17,298,650) (14,584,659) (31,914,604) (66,777) (3,823,501) (3,853,437) (7,743,715)Element of loss / (income) and capital loss / (gain) in prices of units issued less those in units redeemed - net 45,299 1,255,099 119,921 1,420,319 79,101 (6,285,073) (4,803,267) (11,009,239)

Income for the period 6,272,914 4,245,434 4,676,735 15,195,083 6,142,626 11,681,612 10,413,678 28,237,916Other comprehensive income / (loss) for the period - 290,284 18,647 308,931 - (940,021) (204,256 (1,144,277)Total comprehensive income for the period 6,272,914 4,535,718 4,695,382 15,504,014 6,142,626 10,741,591 10,209,422 27,093,639

Net assets at end of the period 30,202,343 76,415,137 65,146,066 171,763,546 26,053,817 73,812,632 71,951,177 171,817,626





EquitySub-Fund

DebtSub-Fund



----------------Rupees----------------

Nine months ended 31 March 2010Equity

Sub-FundDebt

Sub-FundMoney Market

Sub-Fund Total

----------------Rupees----------------

12

1. LEGAL STATUS AND NATURE OF BUSINESS

1.1 JS Pension Savings Fund ("the Fund") has been established under the Voluntary Pension System Rules, 2005 (VPSRules) and has been approved as a pension fund by the Securities and Exchange Commission of Pakistan (SECP)on 14 June 2007. It has been constituted under a Trust Deed, dated 6 June 2007, between JS Investments Limitedas the Pension Fund Manager, a company incorporated under the Companies Ordinance, 1984 and CentralDepository Company of Pakistan Limited as the Trustee, also incorporated under the Companies Ordinance 1984.Accordingly, title to the assets of the Fund is held in the name of the trustee. The registered office of JS InvestmentsLimited is situated at 7th Floor, The Forum, G-20 Khayaban-e-Jami, Block - 9, Clifton, Karachi, Pakistan.

1.2 The Fund is an open end mutual fund and offers units for public subscription on a continuous basis. The unitsare non-transferable except in the circumstances mentioned in Voluntary Pension System Rules, 2005 and canbe redeemed by surrendering to the Fund. Further as per the offering document the Fund shall not distribute anyincome from the Fund whether in cash or otherwise.

1.3 The Fund consists of three sub-funds namely, JS Pension Savings Fund Equity Sub-Fund ("Equity Sub-Fund"), JSPension Savings Fund Debt Sub-Fund ("Debt Sub-Fund") and JS Pension Savings Fund Money Market Sub-Fund("Money Market Sub-Fund") (collectively the "Sub-Funds"). The investment policy for each of the sub-funds are asfollows:

- The Equity Sub-Fund shall have a minimum investment in listed shares of ninety percent (90%) of its Net AssetValue. Investment in equity securities of a single company shall not exceed 5% of net assets value of the equitysub fund, provided that exposure in companies belonging to single sector as classified by Stock Exchange shallnot exceed 25% of net assets of equity sub fund or the index weight, whichever is higher. Any un invested surplusmay be invested in government treasury bills or Government securities having less than one year time to maturity.

- The Debt Sub-Fund shall invest atleast 25% of net assets of debt sub fund in debt securities issued by the FederalGovernment. The weighted average time to maturity of securities held in the portfolio of Debt Sub fund shall notexceed 5 years. Exposure to securities issued by companies in single sector shall not exceed 20% (30% in caseof banking sector) of the net assets of the debt sub fund.

- The weighted average time to maturity of net assets of the Money Market Sub-fund shall not exceed 90 days.provided that time to maturity of any asset in the portfolio of Money Market Sub-fund shall not exceed 6 months.

1.4 The Fund offers four types of allocation schemes, as prescribed by the SECP under VPS Rules 2005 vide its Circularno. 36 of 2009 dated 10 December 2009, to the participants of the Fund namely High Volatility, Medium Volatility,Low Volatility and Lower Volatility. The participant has the option to suggest a minimum percentage of allocationto the above allocation schemes (subject to the minimum percentages prescribed in the offering document). Basedon the minimum allocation, the funds are allocated to the above stated sub-funds. The allocation to the sub-funds has to be done at the date of opening of participant's pension account and on an anniversary date thereafter.The contribution amount may be paid by the participant on a periodic basis such as annual, semi annual, quarterlyor monthly basis within 5 days of the close of the period.

13

2. BASIS OF PREPARATION

2.1 These condensed interim financial statements have been prepared in accordance with International AccountingStandard - 34 " Interim Financial Reporting" as applicable in Pakistan.

2.2 These condensed interim financial statements do not include all the information and disclosures required in theannual financial statements and should be read in conjunction with the financial statements of the Fund for theyear ended 30 June 2010.

3. ACCOUNTING POLICIES

The accounting policies adopted for the preparation of these condensed interim financial statements are consistentwith those followed in the preparation of the Fund's annual financial statements for the year ended 30 June 2010.

Oil & GasAttock Petroleum Limited (a related party) 3,600 700 480 4,780 - - - - -Oil and Gas Development Company Limited - 3,200 - 3,200 - - - - -Pakistan Oilfields Limited - 6,350 - 1,850 4,500 1,078,397 1,462,905 4.84 0.00Pakistan Petroleum Limited 6,062 800 1,112 1,174 6,800 969,455 1,437,588 4.76 0.00Pakistan State Oil Company Limited 3,900 - - 3,900 - - - - -Shell Pakistan Limited 4,640 1,200 - 5,840 - - - - -

2,047,852 2,900,493 9.60 ChemicalsICI Pakistan Limited 8,300 1,500 - 1,300 8,500 976,908 1,404,030 4.65 0.01Engro Polymer and Chemicals Limited 30,000 15,010 - 15,000 30,010 537,348 391,030 1.29 0.00Fauji Fertilizer Bin Qasim Limited - 48,000 - 13,050 34,950 1,030,227 1,447,629 4.79 0.00Fauji Fertilizer Company Limited 9,000 3,400 2,362 3,762 11,000 948,470 1,516,680 5.02 0.00

3,492,953 4,759,369 15.76Construction & MaterialsAttock Cement Pakistan Limited 17,000 10,000 - - 27,000 1,706,955 1,415,880 4.69 0.03D.G Khan Cement Company Limited - 28,500 - - 28,500 796,316 733,305 2.43 0.01Lucky Cement Limited (a related party) 11,300 9,100 - 20,400 - - - - -

2,503,271 2,149,185 7.12

14

In profit and loss sharing accounts 4.1 1,751,766 388,206 524,169 2,664,141 2,106,218 1,605,853 1,582,314 5,294,385 1,751,766 388,206 524,169 2,664,141 2,106,218 1,605,853 1,582,314 5,294,385

4.1 This includes bank balances of Rs.0.176 million (2010: 0.923 million) with JS Bank Limited (a related party) which carries profit at 11.9% (2010: 9%) per annum. Other accountscarry profit rates ranging from 5% to 11.90% (2010: 5% to 12.75%) per annum.

5. INVESTMENTS

Investments by category

At fair value through income statement - held for trading Quoted equity securities 5.1 27,922,234 - - 27,922,234 21,498,931 - - 21,498,931Right share option 5.1.1 32,661 - - 32,661 - - - -

27,954,895 - - 27,954,895 21,498,931 - - 21,498,931Available for sale investments 5.2Unlisted debt securities (quoted ) - - - - - 630,100 - 630,100Listed debt securities (quoted ) - 1,478,198 - 1,478,198 - 1,762,798 - 1,762,798Government securities / Government guaranteed - 74,891,501 64,939,844 139,831,345 - 72,605,520 62,390,550 134,996,070

Investments at fair value 27,954,895 76,369,699 64,939,844 169,264,438 21,498,931 74,998,418 62,390,550 158,887,899

EquitySub-Fund

DebtSub-Fund


Total

31 March 2011 (Un-audited)

----------------Rupees----------------

EquitySub-Fund

DebtSub-Fund


Total

30 June 2010 (Audited)

----------------Rupees----------------Note

EquitySub-Fund

DebtSub-Fund


Total


----------------Rupees----------------

EquitySub-Fund

DebtSub-Fund


Total


----------------Rupees----------------

5.1 Quoted equity securities -held by Equity Sub-Fund

Sectors / companies(Ordinary shares have a face value of Rs 10 each unless otherwise stated)

% of paid upcapital of investee company

% of net assets

of the Sub-Fund

Carryingvalue as at31 March

2011

Cost of holding

as at 31 March2011

Holding at end of the period

Disposed during the

period

Bonus received

during the period

Acquired during the

period

Holdingat

beginning of the period

------------------------------Number of shares------------------------------------ --------------Rupees--------------

15

General IndustrialsGhani Glass Limited 20,900 5,100 1,950 1,500 26,450 1,309,962 1,369,052 4.53 0.02

Industrial EngineeringAl-Ghazi Tractors Limited 5,000 1,700 - - 6,700 995,125 1,376,850 4.56 0.02

Industrial Transportation Pakistan International Container Terminal Limited - 17,932 - 17,932 - - - - -

Automobile & PartsAgriauto Industries Limited 12,420 6,580 - - 19,000 1,635,240 1,349,190 4.47 0.07 (Face value of Rs. 5 each)Baluchistan Wheels Limited 27,530 12,540 - 70 40,000 2,113,800 1,460,000 4.83 0.30

3,749,040 2,809,190 9.30 BeveragesMurree Brewery Limited 10,406 3,770 2,183 2,109 14,250 1,636,737 1,411,605 4.67 0.08

Food and ProducersRafhan Maize Products Limited 850 - - 345 505 917,533 1,152,471 3.82 0.01

Pharma & Bio TechGlaxo Smithkline Pakistan Limited 11,850 - - 11,850 - - - - -

Fixed Line TelecommunicationPakistan Telecommunication Company Limited 61,000 36,000 - 12,000 85,000 1,599,672 1,445,000 4.78 0.00

ElectricityHub Power Company Limited 35,700 49,000 - 46,700 38,000 1,253,151 1,430,320 4.74 0.00

BanksBank Alfalah Limited 90,000 2,900 - 92,900 - - - - -Bank Al-Habib Limited 28,000 18,000 7,800 5,000 48,800 1,375,292 1,416,664 4.69 0.01Habib Metropolitan Bank Limited 40,600 19,390 11,998 - 71,988 1,947,374 1,418,164 4.70 0.01Meezan Bank Limited 69,300 23,000 11,745 19,045 85,000 1,631,501 1,445,000 4.78 0.01MCB Bank Limited - 8,600 610 2,500 6,710 1,295,514 1,392,593 4.61 0.00

6,249,681 5,672,421 18.78 Life InsuranceNew Jubilee Life Insurance Company Limited 16,000 17,179 - 2,979 30,200 1,314,340 1,446,278 4.79 0.05

27,069,317 27,922,234 92.45

Listed debt securities (quoted)Term finance certificates - face value of Rs. 5,000 eachUnited Bank Limited 300 - - 300 1,498,200 1,478,198 1.93 AAEngro Corporation Limited 69 - 69 - - - -

1,498,200 1,478,198 1.93 Government securities / Government guaranteedKarachi Shipyard & Engineering Works Limited -Sukuk certificates (face value of Rs. 5,000) 2,000 - 2,000 - - - - Treasury Bills - 3 - Month (face value of Rs. 100,000 each) 350 2,839 2,442 747 73,931,511 73,928,278 96.75 Treasury Bills - 6 - Month (face value of Rs. 100,000 each) - 695 695 - - - - Treasury Bills - 1 - Year (face value of Rs. 100,000 each) 300 390 680 10 968,579 963,223 1.26

74,900,090 74,891,501 98.01

Unquoted debt securitiesAzgard Nine Limited - PPTFCs (face value Rs. 5,000 each) (See note 5.2.2.1) (related party) - 2,500 - 2,500 - - -

- - -Government securitiesTreasury Bills - 3 Months (face value of Rs. 100,000 each) 600 1,376 1,319 657 64,942,094 64,939,844 99.68Treasury Bills - 6 Months (face value of Rs. 100,000 each) 35 - 35 - - - - Treasury Bills - 1 - Year (face value of Rs. 100,000 each) - 460 460 - - - -

64,942,094 64,939,844 99.68

Construction & MaterialsD.G Khan Cement Company Limited - LOR 5,700 - 32,661 0.11 0.00

- 32,661 0.115.2 Available-for-sale investments 5.2.1 Available-for-sale investments - held by Debt Sub-Fund

16

% of net assets

of the Sub-Fund

Carrying value as at31 March

2011

Cost of holding

as at 31 March2011


Matured / disposed

during the period

Acquired during the

period

Holding at the


--------------------Number of certificates-------------------------- -------------Rupees-------------

Number of right shares

Cost of holding as at

31 March2011

Carrying Value as at31 March

2011

% of Net Assets

% of paid upcapital ofinvesteecompany

---------(Rupees)------------

Unlisted debt securities (quoted)Pak Elektron Limited - privately placedSukuk certificates (face vale Rs. 5,000 each) 200 - 200 - - - -

Azgard Nine Limited - PPTFCs (face value Rs. 5,000 each) note 5.2.1.1 (a related party) - 500 - 500 - -

- - -

The commercial paper amounting Rs.2.5 million of Azgard Nine Limited has been settled through issuance of 500 PPTFCs of an equivalent amount in the name of the Fund.However, the management as a matter of prudence has maintained the provision against the said commercial paper.

5.2.2 Available-for-sale investments - held by Money Market Sub-Fund

5.2.1.1

% of net assets

of the Sub-Fund


2011

Cost of holding

as at 31 March2011


Matured / disposed

during the period

Acquired during the

period

Holding at


----------------Number of certificates----------------

CreditRating

% of net assets

of the Sub-Fund


2011

Cost of holding

as at 31 March2011


Matured / disposed

during the period

Acquired during the

period

Holding at


----------------Number of certificates---------------- -------------Rupees-------------

-------------Rupees-------------

17

6. DEPOSIT AND OTHER RECEIVABLES

EquitySub-Fund

DebtSub-Fund

MoneyMarket

Sub-Fund


Total ----------------- Rupees -----------------

Security deposit with Central Depository Company of Pakistan Limited 100,000 100,000 100,000 300,000

Profit receivable on deposit accounts with banks 20,863 5,058 4,904 30,825 120,863 105,058 104,904 330,825

EquitySub-Fund

DebtSub-Fund

MoneyMarket

Sub-Fund


Total ----------------- Rupees -----------------

Security deposit with Central Depository Company of Pakistan Limited 100,000 100,000 100,000 300,000Profit receivable on deposit accounts with banks 2,191 311 215 2,717

102,191 100,311 100,215 302,717

7. ACCRUED EXPENSES AND OTHER LIABILITIES

EquitySub-Fund

DebtSub-Fund

MoneyMarket

Sub-Fund


Total ----------------- Rupees -----------------

Front end fee payable 46 1,403 1,402 2,851Settlement fee payable to Central

Depository Company of Pakistan Limited 500 500 500 1,500Audit fee payable 28,448 28,448 28,448 85,344Printing & stationery expenses payable 8,203 8,203 8,203 24,609Zakat payable - 1,110 1,175 2,285Payable against redemption of unites - 309,849 275,313 585,162Payable against transactions in government securities - 325 650 975Payable to Workers' Welfare Fund 8 - - - -

37,197 349,838 315,691 702,726

EquitySub-Fund

DebtSub-Fund

MoneyMarket

Sub-Fund


Total ----------------- Rupees -----------------

Front end fee payable 35 1,448 1,365 2,848Settlement fee payable to Central Depository Company of Pakistan Limited 500 500 500 1,500Audit fee payable 37,883 37,883 37,883 113,649Printing & stationary expenses payable - - - -Zakat payable - - - -Payable against redemption of unites - - - -Payable against transactions in government securities - 2,547 4,692 7,239Payable to Workers Welfare Fund 8 76,315 334,719 69,852 480,886

114,733 377,097 114,292 606,122

18

8. CONTINGENCY

The Finance Act 2008 introduced an amendment to the Workers' Welfare Fund Ordinance, 1971 (WWF Ordinance).As a result of this amendment it is alleged that all Collective Investment Schemes / mutual funds (CISs) whose incomeexceeds Rs.0.5 million in a tax year, have been brought within the scope of the WWF Ordinance, thus rendering themliable to pay contribution to WWF at the rate of two percent of their accounting or taxable income, whichever is higher.In this regard, a constitutional petition has been filed by certain CISs through their trustees in the Honorable High Courtof Sindh, challenging the applicability of WWF to the CISs, which is pending adjudication. However, without prejudiceto the above, the Management Company made a provision for WWF contribution in the annual financial statements for the year ended 30 June 2010.

Subsequent to the year ended 30 June 2010, a clarification was issued by the Ministry of Labour and Manpower (the Ministry) which stated that mutual funds are not liable to contribute to WWF on the basis of their income. This clarificationwas forwarded by Federal Board of Revenue (FBR) (being the collecting agency of WWF on behalf of the Ministry) videits letter dated 06 October 2010 to its members for necessary action. Based on this clarification, the FBR also withdrewnotice of demand which it had earlier issued to one of the mutual funds for collection of WWF. However, the FBR videits letter dated 04 January 2011 have cancelled its earlier letter dated 06 October 2010 ab initio and issued show cause notices to certain mutual funds for collecting WWF. In respect of such show cause notices, one of the mutual fund has been granted stay by Honorable High Court of Sindh vide its order dated 10 February 2011 on the basis of the pending constitutional petition in the said court as referred above and the remaining mutual funds are in the processof filing petitions for stay of proceedings in this case.

In view of the afore mentioned favourable developments during the period, the Management Company now believes that there is no compelling reason to retain provision on account of WWF contribution in the financial statements. Further, the Management Company also expects that the constitutional petition pending in the Honourable High Courtof Sindh on the subject as referred above will be decided in favour of the mutual funds. Accordingly, the managementhas reversed the provision recognised as at June 30, 2010 amounting to Rs.0.48 million during the current period. The aggregate unrecognised amount of WWF as at March 31, 2011 amounted to Rs.0.78 million.

EquitySub-Fund

DebtSub-Fund


TotalNine months ended 31 March 2011 (Un-audited)

Units (Rupees) Units (Rupees) Units (Rupees) (Rupees)

9. CONTRIBUTION TABLE

Contributions (net of front end fee) received during the period.

From:Individuals 2,953 238,363 84,063 11,352,635 97,751 10,996,678 22,587,676

Total 2,953 238,363 84,063 11,352,635 97,751 10,996,678 22,587,676

EquitySub-Fund

DebtSub-Fund


TotalNine months ended 31 March 2010 (Un-audited)

Units (Rupees) Units (Rupees) Units (Rupees) (Rupees)

From:Individuals 4,603 357,527 287,071 35,830,324 297,373 35,261,931 71,449,782

Tota 4,603 357,527 287,071 35,830,324 297,373 35,261,931 71,449,782

19


EquitySub-Fund

DebtSub-Fund

MoneyMarket

Sub-FundEquity

Sub-FundDebt

Sub-Fund

MoneyMarket

Sub-Fund


--------------------------- (Number) ------------------------------------------------------ Un-audited---------------------------NUMBER OF UNITS IN ISSUE

Total units outstanding at beginning of the year 321,352 588,193 589,084 317,389 303,786 300,360

Units issued during the period 2,953 84,063 97,751 4,603 287,071 297,373

Units redeemed during the period (429) (130,972) (132,431) (905) (29,854) (31,321)

Total units in issue at end of the period 323,876 541,284 554,403 321,088 561,003 566,413

TRANSACTIONS WITH RELATED PARTIES / CONNECTED PERSONS

Related parties / connected persons include JS Investments Limited being the Pension Fund Manager, Central DepositoryCompany of Pakistan Limited being the Trustee, Jahangir Siddiqui and Company Limited being the holding companyof the Pension Fund Manager, associates of the Pension Fund Manager and its holding company, other funds beingmanaged by the Pension Fund Manager and Key Management Personnel.

11.1 Details of balances of the Fund held with related parties / connected person:


EquitySub-Fund

DebtSub-Fund

MoneyMarket

Sub-FundEquity

Sub-FundDebt

Sub-Fund

MoneyMarket

Sub-Fund


Total Total

--------------------Rupees--------------------

JS Investments Limited Units held 300,000 200,000 200,000 700,000 300,000 300,000 300,000 900,000Amount held 27,975,000 28,234,000 23,502,000 79,711,000 22,104,000 39,054,000 32,553,000 93,711,000

Key management personnelUnits held 2,625 4,676 1,741 9,042 1,274 2,375 820 4,469Amount held 244,779 660,108 204,538 1,109,426 93,857 309,164 89,019 492,040

JS Investments Limited (Pension Fund Manager)

Front end fee payable 13 600 580 1,193 25 520 453 998Remuneration payable 37,820 96,621 82,404 216,845 2,902 9,412 7,866 20,180

Central Depository Companyof Pakistan Limited (trustee)

Remuneration payable 4,444 11,353 9,683 25,480 3,533 11,309 9,816 24,658Settlement charges payable 500 500 500 1,500 500 500 500 1,500Security deposit 100,000 100,000 100,000 300,000 100,000 100,000 100,000 300,000

JS Bank Limited Bank Balances 176,469 - - 176,469 914,158 5,126 3,747 923,031Profit Receivable 1,033 - - 1,033 2,178 24 30 2,232

11.

10.

--------------------Rupees--------------------

20




11.2 Details of transactions with related parties during the period are as follows:


EquitySub-Fund

DebtSub-Fund

MoneyMarket

Sub-FundEquity

Sub-FundDebt

Sub-Fund

MoneyMarket

Sub-FundTotal Total

---------------Rupees-------------------- ---------------Rupees--------------------JS Investments Limited (Pension Fund Manager)Front end fee for the period 50 2,359 2,285 4,693 1,337 257,706 254,581 513,624 Remuneration for the period 302,241 803,947 678,974 1,785,162 270,420 764,612 741,492 1,776,524 Units redeemed - 100,000 100,000 200,000 - - - -Amount Redeemed - 13,108,000 10,929,000 24,037,000 - - - -

Central Depository Company of Pakistan Limited (trustee)Remuneration for the period 38,115 101,440 85,651 225,206 34,334 96,924 93,948 225,206Settlement charges 5,356 4,500 4,500 14,356 5,600 4,500 4,500 14,600

JS Bank Limited Return on Bank Balances 42,941 15,651 28,385 86,977 61,875 82,768 190,618 335,261

Lucky Cement Limited Dividend income 68,000 - - 68,000 40,000 - - 40,000

Attock Petroleum LimitedDividend income 48,000 - - 48,000 81,000 - - 81,000

JS Global Capital LimitedBrokerage expense 11.2.1 1,950 2,348 975 5,273 3,142 4,123 1,649 8,914

Key management personnelUnits issued 1,351 2,301 920 4,572 1,279 2,368 824 4,471Amount issued 100,000 300,000 100,000 500,000 100000 300,000 100,000 500,000

11.2.1The amount disclosed represents the amount of brokerage paid to related party and not the purchase or sale value of securities transacted through them. The purchase or sale value have not been treated as transactions with related party as ultimate counter- parties are not known.

11.3 The transactions with related parties / connected persons are in the normal course of business at contracted rates and terms.

12. GENERAL

Figures have been rounded off to the nearest rupee.

13. DATE OF AUTHORIZATION FOR ISSUE

These condensed interim financial statements were authorized for issue by the Board of Directors of the Pension Fund Manager on April 21, 2011.


Note

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