⚡ Flash Summary

NBP Sarmaya Izafa Fund (NSIF) reported an increase in fund size from Rs. 759 million to Rs. 981 million during the quarter ended September 30, 2025, representing a growth of 29.0%. The unit price increased by 30.4%, outperforming its benchmark by 0.1%. Since its inception, the fund has shown an impressive increase of 1208.3%, significantly outperforming its benchmark by 316%. The fund’s total income was reported as Rs. 237.77 million, with a net income of Rs. 228.82 million after deducting expenses.

📌 Key Takeaways

• 📈 Fund size increased by 29.0%, reaching Rs. 981 million.
• 💰 Unit price rose by 30.4%, from Rs. 29.7753 to Rs. 38.8307.
• 🥇 Outperformed benchmark by 0.1% during the quarter.
• 🚀 Since inception, the fund’s NAV increased by 1208.3%.
• 💹 Outperformed benchmark by 316% since inception.
• 📊 Stock market delivered a strong 32% return in 1QFY26.
• 📉 Inflation averaged 4.2% during the quarter, down from 9.2% a year earlier.
• 🌍 Current account deficit widened to USD 624 million during 2MFY26.
• 💸 Remittances grew by 8.4% YoY during 1QFY26.
• 🏦 FX reserves remained stable at USD 14.4 billion as of September 26, 2025.
• 🤝 IMF Staff-Level Agreement will unlock around USD 1.2 billion in financial assistance.
• 🌱 Government revised FY25 GDP growth upward to 3.04%.
• 🏦 Commercial Banks, Cement, Oil & Gas Exploration sectors led market gains.
• 💼 Mutual Funds, Individuals, and Companies emerged as the largest net buyers.

🎯 Investment Thesis

Based on the fund’s strong performance, outperformance of its benchmark, and alignment with high-performing sectors, a BUY recommendation is warranted. The fund’s ability to generate consistent returns and manage expenses effectively makes it an attractive investment option. The positive outlook for GDP growth and potential for further financial assistance from the IMF further support a bullish outlook. However, investors should carefully consider the risks associated with macroeconomic factors and sector-specific challenges.