mcb fmr feb 2018 shariah - alhamrafunds.com · saad ahmed syed mohammad usama iqbal awais abdul...

BY PACRABY PACRA

MoneyMAT TERSFEBRUARY 2018Fund Manager’s Report

FUND PERFORMANCEFund Returns

Funds YTD (FY 18) (July 2016 to June 2017) (July 2015 to June 2016)

Islamic Income Scheme

Alhamra Islamic Income Fund (Formerly: MCB Islamic Income Fund) 4.72% 6.49% 5.05%

Shariah Compliant Fund of Funds

Alhamra Islamic Active Allocation Plan-I (Inception Date: 29-Dec-2016) -4.93% 0.81%* n/a

Alhamra Islamic Active Allocation Plan-II (Inception Date:16-Jun-2017) 1.31% 0.19%** n/a

Islamic Equity Scheme Alhamra Islamic Stock Fund (Formerly: MCB Pakistan Islamic Stock Fund) -8.24% 29.97% 3.90% Islamic Asset Allocation Scheme Alhamra Islamic Asset Allocation Fund (Formerly: Pakistan International Element Islamic Asset Allocation Fund) -1.84% 27.74% 5.09%

Islamic Voluntary Pension Scheme Alhamra Islamic Pension Fund-Debt (Formerly: Pakistan Islamic Pension Fund-Debt) 2.55% 4.46% 4.04%

Alhamra Islamic Pension Fund-Money Market (Formerly: Pakistan Islamic Pension Fund-Money Market) 3.08% 3.78% 2.36%

Alhamra Islamic Pension Fund-Equity (Formerly: Pakistan Islamic Pension Fund-Equity) -10.64% 33.21% 14.84%

* From December 29, 2016 to June 30, 2017** From June 16, 2017, to June 30, 2017

Returns are computed on the basis of NAV to NAV with dividends reinvested

Annualized Returns for: Islamic Income Schemes and Alhamra Islamic Pension Fund (Debt and Money Market).Absolute Returns for: Shariah Compliant Fund of Funds, Islamic Equity, Islamic Asset Allocation Schemes, Alhamra Islamic Pension Fund-Equity.

MCB-AH believes in providing best investment experience to our investors. Please feel free to forward your complaint/query/suggestion and we will do our best to redress the same to further improve our processes.For any complaint/query/suggestion, please email at [email protected]

MACRO-ENVIRONMENT REVIEW AND OUTLOOK Due to slow down in the prices of perishables' prices the inflation for the month of February remained muted at 3.8%, Non food inflation on the other hand continued its robust trajectory at 4.9% YoY lead by education and fuel index. Inflation for the 8MFY18 has averaged at . However, going forward, the direction of inflation depends on adjustment in currency and petroleum prices. With the expectation of increased inflation and deteriorating external account, we foresee monetary tightening to continue and expect an increase of 25 bps in the next Monetary Policy Committee (“MPC”) meeting. Despite governments continued effort to maintain/increase reserves; SBP import cover stands at 2.6x (months of imports) barely above the threshold of 2.2x which will trigger loan covenants for many of our multilateral lenders. We remain skeptical of Pakistan’s ability to avoid another IMF program in the near future. Nevertheless, the success of amnesty scheme can allay concerns toward external account for short run. OnOn the fiscal front, tax collection for 8MFY18 has recorded YoY growth of 17.7% (~ PKR 2.259 trillion as against ~PKR 1.920 trillion last year), falling only slightly behind the annual target requirement of 19%. While the tax collection is commendable, we still have concerns over the government's ability to achieve the target fiscal deficit, owing to record public and provincial expenditures in the election year.

MONEY MARKET REVIEW AND OUTLOOKWith an increase in discount rate in the last Monetary Policy, the bond yield curve shifted upward. GOP conducted regular OMO’s to keep liquidity intact however, overnight market in most of the period kept on trading in upper band which later eased off post Treasury bill auction. TheThe PIB auction held during the month further supported the fact that market is expecting another rate hike as total participation of mere PKR 33 billion was witnessed. 3 year PIB’s received majority bids worth PKR 31.9 billion. Insignificant amount of participation and that too at abnormal levels resulted in auction being rejected. Same sentiment prevailed in shorter tenor T-bills as well. Since the last monetary policy, no noteworthy participation has been witnessed in 6 and 12 months paper. Last Treasury bill auction witnessed a total participation of PKR 323 billion against a maturity of PKR 620 billionbillion and a target of PKR 650 billion. Majority bids once again were received in 3 months T-bill totaling PKR 298 billion, 6 months T-bills received a participation of PKR 25 billion and no interest came in 12 months paper. Despite low participation officials were compelled in increasing 3 months paper cut off to 6.2591% from previous level of 6.2144%, highlighting ministry’s desperateness. Going forward primary focus would be on addressing the external account concerns. The continuous decline in foreign exchange reserves is concerning and pose serious threat to the economic directionbeit devaluation of PKR is nothing but serious. The deficit would be financed primarily via external borrowing largely through issuance of dollar denominated Bonds/sukuk.

FEBRUARY 28, 2018FEBRUARY 28, 2018

PERSPECTIVE

EQUITY MARKET REVIEW AND OUTLOOKThe benchmark KSE100 index could not sustain its strong start to the year, losing 1.8% in Feb’18 to close at 43,239 points. Political bearings had the most profound impact on market sentiments this month with key developments including: 1) SC declaring Nawaz Sharif ineligible to continue as party head while dismissing all political actions taken by him since Jul 28'17 (Panama case verdict) and 2) inclusion of Pakistan in FATF's watch-list. Even the results season could not provide respite to subdued investor sentiment. Apart from this, macro vulnerabilities once again came on the forefront as burgeoningburgeoning current account deficit and higher debt servicing continued to exert pressure on SBP’s forex reserves. However, Pakistan still managed to outperform major global markets many of which were down more than 5% in Feb. Foreigners sold ~USD 32 mn worth of equities which was majorly absorbed by Insurance Companies (USD 38.1 mn). Average volume/value traded deteriorated by 15/21% respectively. Negative contribution to the index was contributed mainly by Cements (-6.2%), Pharmaceuticals (-5.3%) & Textiles (-3.5%). Chemical was the only sector that ended in the positive region (3.2%). Cement sector’ lackluster performance was because of concerns over future pricing discipline on upcoming capacity expansions of ~4.5 Mn tons in the next 7-8 months in the Southern region. GoingGoing forward, we expect market to remain volatile owing to emerging concerns on economy. We continue to track trends in economic indicators of the country and adjust our portfolio accordingly. While we reiterate our view of limited downside in stock market, in the interim; we believe the road to general elections scheduled next year may continue to test patience of equity investors. Elections & political activity, and CPEC would likely remain the key drivers.

Alhamra Islamic Income Fund 5

DISCLAIMERThis publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an o�er to buy or sell any fund. All investments in mutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors a�ecting the �nancial markets. These may go up or down based on market conditions. Past performance is not necessarily indicative of future results. Performance data does not include the cost incurred directly by an investor in the form of sales loads etc.

MUFAP’s Recommended Format

NAV per Unit (PKR)

Net Assets (PKR M)

Weighted average time to maturity (Days)

Net Assets excluding Fond of Funds (PKR M)

Sharpe Ratio

Correlation***

Standard Deviation

Total expense ratio with government levy**

104.2503

2,942

1,826

389

-0.01

10.3%

0.05

0.79%

0.61%Total expense ratio without government levy

**This includes 0.18% representing government levy, Sindh workers' welfare fund and SECP Fee.*** as against benchmark

Fund Facts / Technical Information

To generate risk adjusted returns by investing in short, medium and long-term Shariah Compliant Fixed Income instruments.

Investment Objective

MCBAH Shariah Supervisory Board Justice (Rtd.) Muhammad Taqi Usmani

Dr. Muhammad Zubair Usmani

Dr. Ejaz Ahmed Samdani

Chairman

Member

Member

Annualized

2016201520142013

Benchmark (%)

ALHIIF(%)

Particulars6.30 6.09 6.29 4.428.90 8.38 6.55 5.05

Asset Allocation (%age of Total Assets)

Feb-18

Cash 49.6%

1.8%

23.4%

10.8%

8.4%

1.1%

4.9%

0.0%

Jan-18

GoP Ijara Sukuks

Sukuk

Certi�cate of Musharakah

Certi�cate of Modaraba

Others including receivables

Shariah Compliant Commercial Papers

Shariah Compliant Bank Deposits

Note: Amount invested by Fund of funds is PKR 1,116 million (37.7% of Total Assets) as of February 28, 2018.

Particulars

OthersProvision against Sindh Workers' Welfare Fund's liabilityALHIIF has maintained provisions against Sindh Workers’ Welfare Fund's liability to the tune of Rs 3.67 million, if the same were not made the NAV per unit of ALHIIF would be higher by Rs 0.1301 and YTD return would be higher by 0.13%. For details investors are advised to read Note 7.1 of the latest Financial Statements for the half year ended December 31, 2017 of ALHIIF.

General Information

Asset Quality (%age of Total Assets)

NAV - PKR 104.2503

Muhammad Saqib SaleemMuhammad Asim, CFASaad AhmedSyed Mohammad Usama IqbalAwais Abdul Sattar, CFA

Chief Executive OfficerAsset Class Specialist - EquitiesAsset Class Specialist - Fixed IncomeFund Manager - Fixed Income FundsHead of Research

Members of the Investment Committee

Performance Information (%)ALHIIF Benchmark

Year to Date Return (Annualized) 4.72%

5.59%

5.11%

4.97%

7.32%

7.16

2.47%

2.50%

2.51%

2.51%

5.96%

-

Month to Date Return (Annualized)

180 Days Return (Annualized)

365 Days Return (Annualized)

Since inception (CAGR)

Average Annual Return (Geometric Mean)

Particulars

Manager’s CommentDuring the month the fund generated an annualized return of 5.59% as against its benchmark return of 2.5%. The fund decreased its exposure in Certi�cate of Musharaka to 10.8%. Exposure in cash decreased from 50.5% to 49.6%.

*Subject to government levies

Fund Type An Open End SchemeCategory Shariah Compliant (Islamic) Income SchemeAsset Manager Rating AM2++ (AM Two Double Plus) by PACRA (23-Jun-17)Stability Rating AA-(f ) by PACRA (12-Jul-17)

Launch Date 20-Jun-2011Fund Manager Syed Mohammad Usama IqbalTrustee Central Depository Company of Pakistan Limited Auditor A.F.Ferguson & Co. Chartered AccountantsManagement Fee 10% of Gross Earnings subject to minimum

Front / Back end Load*

Min. Subscription Growth & Bachat Units ----- PKR 500

Pricing Mechanism ForwardDealing Days Monday - FridayCut o� Timing Mon - Fri (9:00AM to 4:30 PM)Leverage Nil

Risk Pro�le Low

fee of 0.25% of average daily Net AssetsClass "A" Units:Individual ------------- 1.5%Corporate ------------- NilClass "B" Units ------- 0%Bachat Units ---------- Nil

Back end Load* Class "A" Units ----------- 0%Class "B" Units: 1.5% on redemption in the �rst (1st)year from the date of investment1.0% on redemption in the second (2nd) year from the date of investment0.0% on redemption after completion of two(2) years from the date of investmentBachat Units:3% if redeemed before completion of two years from the date of initial investment.0% if redemption after completion of twoyears from the date of initial investment

Income Units ------------------ PKR 100,000Listing Pakistan Stock Exchange

Six (6) months average deposits rates of three (3)BenchmarkA rated Scheduled Islamic Banks or Islamic windowsof Conventional Banks as selected by MUFAP

(Formerly:MCB Islamic Income Fund) - February 28, 2018

2017

3.31

6.49

International Brands Limited (Sukuk) 11.6%

6.8%

2.1%

2.8%

Aspin Pharma (Private) Limited (30-Nov-17)

Top Sukuk Holding (% of Total Assets)

Ghani Gases Limited (2-Feb-17)

Engro Fertilizer Limited (9-Jul-14)


Government Securities, 1.8%

AAA, 0.7%

AA+, 0.0%

AA, 22.4%

AA-, 10.6%

A+, 11.5%A, 14.7%

A-, 37.2%

Not Rated, 1.1%

50.5%

1.6%

20.9%

14.1%

7.5%

1.0%

4.4%

0.0%



Alhamra Islamic Asset Allocation Fund6 NAV - PKR 71.6704

Asset Allocation (%age of Total Assets)Feb-18

Cash 58.5%37.2%0.0%1.4%2.9%

Jan-18

-1.84%-0.15%4.00%-1.24%

297.96%

-5.51%-1.39%4.13%

-10.14%416.52%

Stock /EquitiesSukukOthers including receivablesShariah Compliant Bank Deposits

Particulars

Performance Information (%)ALHAA Benchmark

Year to Date Return

Month to Date Return180 Days Return365 Days ReturnSince inception

Particulars

OthersProvision against Sindh Workers' Welfare Fund's liabilityALHAA has maintained provisions against Sindh Workers’ Welfare Fund's liability to the tune of Rs 7.74 million, if the same were not made the NAV per unit of ALHAA would be higher by Rs. 0.1946 and YTD return would be higher by 0.27%. For details investors are advised to read Note 7.1 of the latest Financial Statements for the half year ended December 31, 2017 of ALHAA.

Hub Power Company Limited

Oil and Gas Development Company Limited

Engro Corporation Limited

Engro Fertilizers Limited

International Industires Limited

Pakistan Oil�elds Limited

Nishat Mills Limited

Lucky Cement Limited

Pakistan Petroleum Limited

AGP Limited

5.5%

3.5%

3.3%

2.9%

2.9%

2.8%

2.2%

2.1%

1.7%

1.7%

Top 10 Holdings (%age of Total Assets)Equity

Equity

Equity

Equity

Equity

Equity

Equity

Equity

Equity

Equity


ALHAA KMI-30 NAV per Unit (PKR)

Net Assets (PKR M)

Sharpe Ratio

Beta

Correlation***

Max draw up

Max draw Down

Standard Deviation


Total expense ratio without government levy

Particulars71.6704

2,849

0.04

0.66

84.1%

502.93%

-28.9%

0.75

2.31%

2.05%

2016210520142012 2013Benchmark (%)

ALHAA (%)

46.60 28.51 17.47 13.53

2013 2014 2015 2016

28.40 18.89 35.59 5.09

Sector Allocation (%age of Total Assets)

(Formerly:Pakistan International Element Islamic Asset Allocation Fund) - February 28, 2018

The objective of the fund is to provide medium to long term capital appreciation throughinvesting in Shariah compliant investments in Pakistan and Internationally.


Muhammad Saqib SaleemMuhammad Asim, CFASyed Abid AliSaad AhmedAwais Abdul Sattar, CFA

Chief Executive OfficerChief Investment OfficerAsset Class Specialist - Equities Asset Class Specialist - Fixed Income Head of Research

Mohammad Aitazaz Farooqui Research Analyst


Justice (Rtd.) Muhammad Taqi UsmaniDr. Muhammad Zubair UsmaniDr. Ejaz Ahmed Samdani

ChairmanMemberMember

MCBAH Shariah Supervisory Board

Manager’s CommentThe fund posted a return of -0.15% as against its benchmark return of -1.39% during the month. Exposure in equities was decreased to 37.2% as compared to 38.6% in the previous month while allocation in cash increased to 58.5% from 56.0%.

Asset Quality - Inclusive of equity portfolio(%age of Total Assets)

0.05

1.00

950.40%

-39.6%

0.96

General InformationFund Type An Open End SchemeCategory Shariah Compliant Islamic Asset Allocation SchemeAsset Manager Rating AM2++ (AM Two Double Plus) by PACRA (23-Jun-17)Stability Rating Not ApplicableRisk Pro�le Moderate to HighLaunch Date 2-May-2006Fund Manager Awais Abdul Sattar, CFATrustee Central Depository Company of Pakistan LimitedAuditor EY Ford Rhodes, Chartered AccountantsManagement Fee 2% per annum of the average daily Net Assets of the schemeFront end Load * Type A Units: Individual 3% Corporate Nil Type B Units: Nil Type C Units (Bachat Units) : NilBack end Load* Type A Units --- NIL Type B Units 3.0% for �rst year after investment 2.0% for second year after investment 1.0% for third year after investment NIL for redemptions after completion of 3 years from investment Type C-Bachat Units Bachat Units (Two Years): 3% if redeemed before completion of two years from the date of initial investment. 0% if redemption after completion of two years from the date of initial investment. Bachat Units (Three Years): 3% if redeemed before completion of three years from the date of initial investment. 0% if redemption after completion of three years from the date of initial investment.Min. Subscription PKR 500Listing Pakistan Stock ExchangeBenchmark KMI 30 Index and Six (6) months average deposit rates of three (3) A rated scheduled Islamic Banks or Islamic Windows of Conventional Banks as selected by MUFAP on the basis of actual proportion held by the SchemePricing Mechanism ForwardDealing Days Monday - FridayCut o� Timing Mon-Fri (9:00 AM to 4:30 PM)Leverage Nil*Subject to government levies

18.07

2017

27.74

Branch Renovation Expense Charged to the Fund (PKR)

823,319 5,557,400

MTD YTD


**This includes 0.26% representing government levy, Sindh Worker’s Welfare Fund and SECP fee***as against benchmark

* Prospective Earnings

Not Rated 38.6%

A-11.0%

A+14.0%

AA-15.7%

AAA17.7%

AA+2.9%

AA0.1%

Oil & Gas Exploration Companies,

11.4%

Fertilizer, 7.5% Textile Composite,

3.5%

Cement, 3.3%

Power Generation & Distribution,

2.8%Other Sectors, 8.7%Cash , 58.5%

, Other Assets4.3%

56.0%38.6%0.0%2.1%3.3%




Alhamra Islamic Stock Fund7 NAV - PKR 11.2400

The objective of the Fund is to provide investors long term capital appreciation from its investment in Shariah Compliant Equity Securities.


Manager’s CommentThe fund’s NAV dropped by 0.7% during February compared to 2.0% decline in its benchmark. During the month under review, we increased exposure in Oil & Gas by 2.3% mainly on account of healthy crude oil prices and depreciating PKR. In addition, we increased exposure in Fertilizer and Cement stocks due to improving price and demand dynamics. The fund at month end was 83.9% invested in equities, while remaining in cash and cash equivalent.

Muhammad Saqib SaleemMuhammad Asim, CFASaad AhmedSyed Abid AliAwais Abdul Sattar, CFAMohammad Aitazaz Farooqui

Chief Executive OfficerChief Investment OfficerAsset Class Specialist - Fixed IncomeAsset Class Specialist - EquitiesHead of ResearchResearch Analyst


Justice (Rtd.) Muhammad Taqi UsmaniDr. Muhammad Zubair UsmaniDr. Ejaz Ahmed Samdani

ChairmanMemberMember

MCBAH Shariah Supervisory Board


Feb-18Stock / Equities 83.9%

14.1%2.0%

Jan-18

Cash


Note: Amount invested by fund of funds is PKR 1,052 million (28.3% of Total Assets) as of February 28, 2018.

Particulars

Performance Information

ALHISF BenchmarkYear to Date Return -8.24%

-0.71%3.50%-9.34%23.30%

-6.99%-2.02%4.88%

-12.52%25.69%

Month to Date Return180 Days Return365 Days ReturnSince inception

Particulars

2016210520142012 2013Benchmark (%)

ALHISF(%)

52.20 41.16 16.01 15.53

2013 2014 2015 2016

32.30 31.38 19.20 3.90

OthersProvision against Sindh Workers' Welfare Fund's liabilityALHISF has maintained provisions against Sindh Workers' Welfare Funds' liability to the tune of Rs.9.95 million, if the same were not made the NAV per unit of ALHISF would be higher by Rs.0.0320 and YTD return would be higher by 0.26%. For details investors are advised to read Note 6.1 of the latest Financial Statements for half year ended December 31, 2017 of ALHISF.

General Information


Meezan Bank Limited



8.7%

6.5%

5.3%

4.7%

4.3%

4.3%

4.1%

3.9%

3.9%

3.3%

Nishat Mills Limited


Engro Polymer and Chemicals Limited

Pakistan Oil�elds Limited

Top 10 Equity Holdings (%age of Total Assets)

Sector Allocation (%age of Total Assets)

ALHISF KMI-30NAV per Unit (PKR) 11.24

3,492

2,440

10.28

4.84

50

138.06

0.02

0.60

94.8%

50.96%

-30.04%

0.92

2.48%

2.23%

Net Assets (PKR M)

Net Assets excluding fund of funds(PKR M)

Price to Earning (x)* 8.86

5.31

30

191.2

0.02

1.00

56.84%

-34.6%

1.10

Dividend Yield (%)

No. of Holdings

Weighted Avg. Market Cap. (PKR Bn)

Sharpe Ratio

Beta

Correlation***

Max draw up

Particulars

Max draw down

Standard Deviation


Total expense ratio without government levy*prospective earnings


Fund Type An Open End SchemeCategory Shariah Compliant Equity SchemeAsset Manager Rating AM2++ (AM Two Double Plus) by PACRA (23-Jun-17)Stability Rating Not Applicable

Launch Date 11-Sept-2004 (Converted into Shariah Compliant Islamic Fundwith e�ect from July 01,2015)

Fund Manager Awais Abdul Sattar CFATrustee Central Depository Company of Pakistan Limited Auditor EY Ford Rhodes, Chartered AccountantsManagement Fee 2.0% p.a.Front end Load*

Min. Subscription PKR 500

Pricing Mechanism ForwardDealing Days Monday - FridayCut o� Timing Mon - Fri (9:00AM to 4:30 PM)Leverage Nil

Risk Pro�le High

Type "B" Units:Individual 3%Corporate NilType "C" UnitsBachat Units(Two Years)--------Nil

Back end Load*Bachat Units(Three Years)------NilType "B" Units ---------- NilType "C" Units - Bachat Units(Two Years):3% if redeemed before completion of two (2) yearsfrom the date of intial investment.0% if redemption after completion of two (2) years from the date of initial investment.Type "C" Units - Bachat Units(Three Years):3% if redeemed before completion of three (3) yearsfrom the date of initial investment.0% if redemption after completion of three (3) yearsfrom the date of initial investment.

Listing Pakistan Stock ExchangeKMI-30 IndexBenchmark

(Formerly:MCB Pakistan Islamic Stock Fund) - February 28, 2018

Oil and Gas Development Company Limited

18.80

2017

29.97

Branch Renovation Expense Charged to the Fund (PKR)

987,938 8,048,387

MTD YTD


**This includes 0.25% representing government levy, Sindh Worker’s Welfare Fund and SECP fee*** as against benchmark


Oil & Gas Exploration Companies,

23.2%

Chemicals4.4%

Cement, 10.9%Fertilizer, 9.7%

Textile Composite,

5.8%

Other Equities, 29.9%

Cash & Other Assets, 16.1%

78.3%16.1%5.6%

Alhamra Islamic Active Allocation Plan-I 8



NAV per Unit (PKR)

Net Assets (PKR M)

Total expense ratio with government levy*


95.0877

1,443

0.38%

0.29%



Manager’s CommentDuring the month, the fund posted a return of 0.11% against its benchmark return of -1.89%. The exposure in cash increased to 5.7% and exposure in Alhamra Islamic Income Fund decreased to 48.9%.

Muhammad Saqib SaleemMuhammad Asim, CFASyed Abid AliSaad AhmedAwais Abdul Sattar, CFAMuhammad Aitazaz Farooqui

Chief Executive OfficerChief Investment OfficerAsset Class Specialist - EquitiesAsset Class Specialist - Fixed IncomeHead of ResearchResearch Analyst



Feb-18ParticularsCash 5.7%

45.2%

48.9%

0.2%

Jan-185.2%

29.9%

64.7%

0.2%

Alhamra Islamic Stock Fund

Alhamra Islamic Income Fund


OthersProvision against Sindh Workers' Welfare Fund's liabilityALHIAAP-I has maintained provisions against Sindh Workers’ Welfare Fund's liability to the tune of Rs 0.26 million, if the same were not made the NAV per unit of ALHIAAP-1 would be higher by Rs. 0.0174 and YTD return would be higher by 0.02%. For details investors are advised to read Note 8.1 of the latest Financial Statements for the half year ended December 31, 2017 of ALHIAAF.

General Information

*Subject to government levies Performance Information (%)

ALHIAAP- I BenchmarkParticularsYear to Date Return

Month to Date Return

180 Days Return

365 Days Return

Since inception


NAV - PKR 95.0877

-4.93%

0.11%

1.60%

-5.66%

-4.15%

-6.53%

-1.89%

4.62%

-8.62%

-7.79%

(An Allocation Plan of Alhamra Active Allocation Fund) - February 28, 2018

Plan Type An Open End SchemeCategory Shariah Compliant Islamic Asset Allocation PlanAsset Manager Rating AM2++ (AM Two Double Plus) by PACRA (23-Jun-17)Stability Rating Not ApplicableRisk Pro�le Moderate to HighLaunch Date 29-Dec-16Fund Manager Syed Abid AliTrustee MCB Financial Services LimitedAuditor A.F. Ferguson & Co. Chartered AccountantsManagement Fee 1% p.a. on average annual net assets on a portion not invested in mutual funds of MCB Arif Habib Savings and Investments Limited.Front end Load* Individuals 3% Corporate NilBack end Load* NilContingent Load* 3%Min. Subscription PKR 500Listing Pakistan Stock ExchangeBenchmark KMI-30 Index and six (6) months average deposit rates of three (3) “A” rated Scheduled Islamic Banks or Islamic Windows of Conventional Banks on the basis of actual proportion held by the schemePricing Mechanism ForwardDealing Days Monday - FridayCut o� Timing Mon-Thurs (9:00 AM to 4:30 PM)Leverage Nil

Alhamra Islamic Active Allocation Plan-I is a Shari'ah Compliant Islamic Asset Allocation Plan with an objective to earn a potentially high return through active asset allocation among Shari'ah Compliant Islamic Scheme based on the Fund Manager's outlook of the asset classes.


*This includes 0.09% representing government levy, Sindh Worker’s Welfare Fund and SECP fee

Absolute

Benchmark (%)

ALHIAAP-I (%)

*From December 29, 2016 to June 30, 2017.

Particulars 2017*

-1.35%

0.81%

Not Rated94.3%

A+5.5%

AAA0.2%

Alhamra Islamic Active Allocation Plan-II 9

DISCLAIMERThis publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an o�er to buy or sell any fund. All investments in mutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors a�ecting the �nancial markets. These may go up or down based on market conditions. Past performance is not necessarily indicative of future results. Performance data does not include the cost incurred directly by an investor in the form of sales loads etc


NAV per Unit (PKR)

Net Assets (PKR M)

Total expense ratio with government levy*



Alhamra Islamic Active Allocation Plan-II is a Shari’ah Compliant Islamic Asset Allocation Plan with an objective to earn a potentially high return through activeasset allocation among Shari'ah Compliant Islamic Scheme based on the Fund Manager's outlook of the asset classes.


Manager’s CommentDuring the month, the fund posted a return of 0.02% against its benchmark return of -1.88%. The fund was 5.6% invested in cash and 46.5% in Alhamra Islamic Stock Fund.






46.5%

47.9%

0.0%

Jan-18

Alhamra Islamic Stock Fund

Alhamra Islamic Income Fund


OthersProvision against Sindh Workers' Welfare Fund's liabilityALHIAAP-II has maintained provisions against Sindh Workers’ Welfare Fund's liability to the tune of Rs 0.46 million, if the same were not made the NAV per unit of ALHIAAP-II would be higher by Rs. 0.0544 and YTD return would be higher by 0.05%. For details investors are advised to read Note 8.1 of the latest Financial Statements for the half year ended December 31, 2017 of ALHIAAF.

General Information


Performance Information (%)

ALHIAAP- II BenchmarkParticularsYear to Date Return

Month to Date Return

180 Days Return

365 Days Return

Since inception


NAV - PKR 101.3119

1.31%

0.02%

3.91%

NA

1.49%

-6.57%

-1.88%

4.56%

NA

-6.48%

(An Allocation Plan of Alhamra Active Allocation Fund) - February 28, 2018

Plan Type An Open End SchemeCategory Shariah Compliant Islamic Asset Allocation PlanAsset Manager Rating AM2++ (AM Two Double Plus) by PACRA (23-Jun-17)Stability Rating Not ApplicableRisk Pro�le Moderate to HighLaunch Date 16-June-17Fund Manager Syed Abid AliTrustee MCB Financial Services LimitedAuditor A.F. Ferguson & Co. Chartered AccountantsManagement Fee 1% p.a. on average annual net assets on a portion not invested in mutual funds of MCB Arif Habib Savings and Investments LimitedFront end Load* Individuals 3% Corporate NilBack end Load* NilContingent Load* 3% if redeemed within twelve months from the date of Investment 1% if redeemed after twelve months and before twenty four months from the date of Investment.Min. Subscription PKR 500Listing Pakistan Stock ExchangeBenchmark KMI-30 Index and six (6) months average deposit rates of three (3) “A” rated Scheduled Islamic Banks or Islamic Windows of Conventional Banks on the basis of actual proportion held by the schemePricing Mechanism ForwardDealing Days Monday - FridayCut o� Timing Mon-Thurs (9:00 AM to 4:30 PM)Leverage Nil

101.3119

855

0.34%

0.19%


*This includes 0.15% representing government levy, Sindh Worker’s Welfare Fund and SECP fee

Absolute

Benchmark (%)

ALHIAAP-II (%)

*From June 16, 2017 to June 30, 2017.

Particulars 2017*

0.10%

0.19%

Not Rated94.4%

A+5.6%

5.6%

33.7%

60.6%

0.1%

Alhamra Islamic Pension Fund 10

DISCLAIMERThis publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an o�er to buy or sell any fund. All investments in Voluntary Pension Schemes are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors a�ecting the �nancial markets. These may go up or down based on market conditions. Past performance is not necessarily indicative of future results. Performance data does not include the cost incurred directly by an investor in the form of sales loads etc.






Oil & Gas Development Company Limited 9.3%

7.7%

7.5%

7.1%

6.8%

5.0%

4.5%

4.4%

4.2%

4.1%

Pakistan Oil Fields Limited

Mari Petroluem Company Limited

Meezan Bank Limited

International Industries Limited

Top 10 Equity Holdings (%age of Total Assets)-Equity Sub Fund

The investment objective of the fund is to seek steady returns with a moderate risk for investors by investing in a portfolio of equity, short medium term debt and money market instruments.


Manager’s Comment

Equity sub‐fund generated return of -0.66% during the month. Overall allocation in equity was increased.

Debt sub‐fund generated a return of 2.25% during the month. GOP Ijara Sukuk exposure was almost same.

Money Market sub‐fund generated a return of 2.28% during the month. The exposure in cash was increased.

MCBAH Shariah Supervisory BoardJustice (Rtd.) Muhammad Taqi Usmani

Dr. Muhammad Zubair Usmani

Dr. Ejaz Ahmed Samdani

Chairman

Member

Member




Performance Information & Net AssetsALHIPF-MM**ALHIPF-DT**ALHIPF-EQ*

Year to Date Return (%)

Month to Date Return (%)

Since inception (%)

Net Assets (PKR M)

NAV (Rs. Per unit)

ALHIPF - EQ*

ALHIPF - DT**

Particulars

ALHIPF - MM**

2013 2014 2015 2016

-10.64

-0.66

421.42

424.08

522.46

2.55

2.25

6.76

218.39

196.92

3.08

2.28

5.70

80.07

177.60

41.80 42.10 39.53 14.846.80 8.22 4.76 4.04

7.70 6.86 4.80 2.36

2017

33.21

4.46

3.78* Total Return ** Annualized return

ALHIPF -Equity (%age of Total Assets)

Feb-18

Cement

Oil & Gas Exploration Companies

Fertilizer

Other equity sectors

Cash


Particulars

ALHIPF -Debt (%age of Total Assets)


27.5%

1.6%

12.1%

15.0%

6.8%

2.2%

GoP Ijara Sukuk


TFCs



Commercial Paper

ALHIPF -Money Market (%age of Total Assets)

Feb-18ParticularsCash

GoP Ijara Sukuk




52.1%

11.1%

17.3%

1.0%

18.5%

OthersProvision against Sindh Workers' Welfare Fund's liabilityALHIPF-EQ has maintained provisions against Sindh Workers’ Welfare Fund's liability to the tune of Rs. 2.35 million, if the same were not made the NAV per unit would be higher by Rs. 2.8960 per unit and YTD return would be higher by 0.50%. For details investors are advised to read Note 9.2 of the latest Financial Statements for the half year ended December 31, 2017 of ALHIPF.

ALHIPF-DT has maintained provisions against Sindh Workers’ Welfare Fund's liability to the tune of Rs. 0.40 million, if the same were not made the NAV per unit would be higher by Rs. 0.3594 per unit and YTD return would be higher by 0.19%. For details investors are advised to read Note 9.2 of the latest Financial Statements for the half ended December 31, 2017 of ALHIPF.

ALHIPF-MM has maintained provisions against Sindh Workers’ Welfare Fund's liability to the tune of Rs. 0.13 million, if the same were not made the NAV per unit would be higher by Rs. 0.2813 and YTD return would be higher by 0.16%. For details investors are advised to read Note 9.2 of the latest Financial Statements for the half year ended December 31, 2017 of ALHIPF.

General Information


28.0%

12.7%

9.5%

5.0%

4.9%

34.6%

4.3%

1.0%

Jan-18

Jan-18

Jan-18

Fund Type An Open End SchemeCategory Islamic Voluntary Pension SchemeAsset Manager Rating AM2++ (AM Two Double Plus) by PACRA (23-Jun-17)Stability Rating Not ApplicableLaunch Date 15-Nov-07Fund Manager Awais Abdul Sattar, CFATrustee Central Depository Company of Pakistan LimitedAuditor Deloitte Yousuf Adil & Co., Chartered AccountantsManagement Fee 1.5% p.a.Front / Back end Load* 3% / 0%Min. Subscription PKR 500 Pricing Mechanism ForwardDealing Days Monday - FridayCut o� Timing Mon - Fri (9:00 AM to 5:00 PM)Leverage Nil


(Formerly: Pakistan Islamic Pension Fund) - February 28, 2018

34.5%

27.7%

1.5%

12.3%

15.0%

6.8%

2.2%

51.9%

11.2%

17.4%

0.9%

18.6%

22.1%

12.7%

8.0%

2.6%

2.3%

36.6%

9.7%

6.0%

Technology & Communication

Pharmaceuticals

mcb fmr feb 2018 shariah - alhamrafunds.com · saad ahmed syed mohammad usama iqbal awais abdul...

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