KARACHI: JCR-VIS Credit Rating Company Limited has reaffirmed the Fund Stability Rating (FSR) of HBL Income Fund at ‘A(f)’ (Single A (f)).
The previous rating actions was announced on January 14, 2016, said press release on Wednesday.
The assigned rating incorporates low credit risk on the back of conservative asset allocation; on average, over 90% of the investments were parked in ‘AA-‘ and above rated securities.
Rating draws comfort from revision in operational investment policy which has been made more restrictive by subjecting investments to a minimum credit quality limit of ‘A-.
During fiscal year 2015-16, the fund size double on account of investment from retail investors and thus granularity of fund improved. Moreover, ability of the fund to meet redemptions in a timely manner is considered sound as majority of net assets are deployed in avenues having strong liquidity.
On average basis, market risk, remained manageable and commensurate with assigned rating during the period under review.