⏸️ NBP-FUNDS: HOLD Signal (6/10) – Financial Results of NBP Government Securities Fund- I for the quarter ended September 30, 2025

📌 Key Takeaways

• 📉 Fund size decreased by 12% from Rs. 9,439 million to Rs. 8,306 million.
• 📈 Unit price increased from Rs. 10.0718 to Rs. 10.3034.
• 🎯 Annualized return of 9.1% p.a., underperforming the 10.7% benchmark.
• 💰 Total income for the period was Rs. 249.84 million.
• ✅ Net income was Rs. 217.83 million after expenses.
• 🏦 Expenses totaled Rs. 32.01 million.
• ⭐ Stability rating by PACRA is ‘AA (f)’, indicating strong stability.
• 📊 Asset allocation: 52.42% in T-Bills (AAA), 52.04% in PIBs, and 4.46% in Cash Equivalents & Other Net Assets (AA+).
• 💼 Management fee is capped at 1.50% per annum of average daily net assets.
• 🇵🇰 The State Bank of Pakistan (SBP) maintained the policy rate at 11% to contain inflation.
• ⬆️ Headline inflation rose to 5.6% in September, but average Q1 inflation eased to 4.2%.
• 🌱 Real GDP growth for FY26 is projected between 3.0% and 3.5%.
• 💲 The current account deficit was USD 624 million for July-August.
• 💵 Foreign exchange reserves stood at USD 14.4 billion on September 26th and are projected to reach USD 17 billion by June-26.

🎯 Investment Thesis

HOLD. NBP Government Securities Fund-I has delivered moderate returns, but has underperformed its benchmark. Given the current macroeconomic environment and the fund’s conservative investment strategy, HOLD the fund and monitor its performance against its peers. Look for opportunities to rebalance the portfolio to take advantage of changing market conditions.