⚡ Flash Summary
JS Investments Limited presents the unaudited Financial Statements of JS Fixed Term Munafa Fund for the year ended June 30, 2025. The fund primarily invests in government securities across various plans, aiming for higher yields by focusing on floating and fixed-rate PIBs. Monetary policy witnessed recalibration with the State Bank of Pakistan (SBP) implementing cumulative rate cuts of 950 basis points, bringing the policy rate down to 11%. The Board also thanks the employees of the Management Company for their dedication and hard work and the unit holders for their confidence in the Management.
📌 Key Takeaways
- 🎉 Inflation sharply decreased to 4.49% from 23.41% the previous year.
- 💹 Foreign exchange reserves reached USD 14.51 billion by year-end.
- 📈 FBR tax collections rose 26.13% year-on-year to PKR 11.74 trillion.
- 📉 SBP implemented cumulative rate cuts of 950 bps, bringing the policy rate down to 11%.
- 📊 3M, 6M, and 12M tenors closed at 11.01%, 10.89%, and 10.85%, down 896bps, 902bps, and 783bps, respectively.
- 🤝 Pakistan issued its first 15-year zero-coupon bond, raising PKR 288 billion at a 12.70% cut-off.
- ⭐ JS Fixed Term Munafa Fund invested in government securities across plans with varying maturities.
- 🛡️ Strong risk management mitigated interest rate volatility.
- ✨ Management Company has an asset manager rating of ‘AM2++’ with a ‘Stable Outlook’ from PACRA.
- 🔍 Messrs Grant Thornton Anjum Rahman Chartered Accountants will continue as Fund’s auditors for the next year.
- 🤝 Directors expressed gratitude to Securities and Exchange Commission of Pakistan and Digital Custodian Company Limited
🎯 Investment Thesis
A HOLD recommendation is appropriate given the fund’s focus on government securities and stable manager rating. While showing decent returns, factors such as inflationary pressure, interest rate risks, and sector dynamics should be considered. Price target to stay within NAV of 100.80, for stability in 12 months.
Disclaimer: AI-generated analysis. Not financial advice.