Faysal Sharia Capital Preservation Plan-IV · 2020. 8. 12. · FUND MANAGER’S REPORT JUNE Risk Disclosure: Rating by VISAll investments in mutual fund are subject to market risks

FUND MANAGER’S REPORTJUNE

Risk Disclosure: All investments in mutual fund are subject to market risks. Investors are advised in their own interest to carefully read the contents of Offering Document in particular the investment policies mentioned in clause (02) Risk Factors mentioned in clause (2.9) and warnings in clause (09) before making any investmentdecision. Capital preservation only applies to unit holders who hold their investments untill maturity date.

Faysal Sharia CapitalPreservation Plan-IV(Under Faysal Islamic Financial Planning Fund)

(Very Good Management Quality)

Rating by VIS

AM2

Benefits:

SMS: “CPPI”to “9182”

Also available on social mediaCall: 021-111 329 725, 021-38657869-72Email: [email protected]: www.faysalfunds.com

100% Capital Preservation

Halal and Attractive Returns

Up to 50% Exposure in Shariah Compliant Equities

Tax Benefit**As per Section 62 of ITO 2001

Plan is open for limited time only


Rating by VIS

AM2Disclaimer: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments inmutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependent on forces and factors affecting the capital markets. These may goup or down based on market conditions. Past performance is not necessarily indicative of future results. Please read the Offering Document to understand the Investment policies and therisks involved.

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Disclaimer: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments inmutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependent on forces and factors affecting the capital markets. These may goup or down based on market conditions. Past performance is not necessarily indicative of future results. Please read the Offering Document to understand the Investment policies and therisks involved.

Pakistan is facing unprecedented health and economic shocks from the rapid spread of the Covid-19. The headline inflation for June 2020 slightly increased to 8.6% vs. 8.2% in May 2020; however, the declining aggregate demand is softening outlook for inflation. Although, energy prices are volatile but economic deteri-oration will keep inflation range bound. Therefore, we expect inflation momentum to trim further in short term and to remain below 10% by FY21. In response, State Bank of Pakistan has further cut policy rate by 100bps to 7.0% based on moderation in 1) inflation expectations and 2) external accounts. As low real rates can provide some further against demand and supply shocks. We believe that Central Bank has undertaken the required monetary easing to balance declining economic growth. However, medium term policy rate can hover in range of 9%-10%.

Meanwhile, current account deficit for May 2020 was recorded at USD -13mn compared to USD 1.0bn in May 2019 with 11MFY20 CAD of USD 3.2bn vs. USD 12.4bn in same period last year. The improvement is largely driven by decline in imports and past growth in remittances. Going forward, we believe that external accounts to remain beneficiary of current macro environment as the decline in imports will compensate for exports and remittances. PKR/USD is currently hovering at 166.7, with REER at 97 and FX reserves of USD 11.2bn.

TTM fiscal deficit for March 2020 has clocked in at 7.2% vs. 5.0% of GDP in March 2019 as Ministry of Finance underperformed on revenue targets and privatization process. Going forward, we expect deficits to remain on higher side as Government shall face difficulties in revenue mobilization. The situation on ground remains bleak as the COVID-19, marginal conversion rate of 15%, is spreading in masses. The Government, in line with other economies, has eased the lockdown. As a result, our economic outlook is challenged with low real GDP growth in 2021.

Securities Market:

The Month in Review

1W 2W 1M 2M 3M 4M 6M 9M 1Y 2Y 3Y 4Y 5Y 6Y 7Y 8Y 9Y 10Y

15Y

20Y

6.00%

7.00%

8.00%

9.00%

10.00%

11.00% Yield Curve

State bank of Pakistan has further reduced policy rate to 7.0% to provide monetary stimulus to declining economic growth due to pandemic. Pakistan total domestic debt stands at PKR 25trn (61% of GDP) vs. PKR 20trn in March 2019 with TTM fiscal deficit of PKR 3trn. The total debt to GDP currently stands at more than 90% vs. 87% in same period last year. Going forward we expect yields to improve further as some clarity is emerging over inflation and economic outlook. Recently, Ministry of Finance also auctioned floating rate instruments in an attempt to further lengthen the maturity profile of Sovereign debt by converting some short term treasury bills to floating rate papers.

During Jun 2020, the government borrowed PKR 238bn in Treasury Bills at weighted average yields of 7.68% for three months, 7.47% for six months & 7.28% for twelve months. It also borrowed PKR 118bn in Pakistan Investment Bonds at weighted average yields of 7.82% for three years, 8.35% for five years, 8.87% for ten years, 9.86% for fifteen years and 10.51% for twenty years.


The Month in Review

Equity Market:

As of Jun 2020, KSE100 has gained 1.4% MOM & -1.7% YOY to close at 34,421. The index touched 1) highest level of 35,128 on 11th June as Paris Club of creditors nations agreed to suspend debt service payments of Pakistan and 2) lowest level of 33,434 on 19th June as coordinated blasts kill four in Country.

During TTM foreign investors have sold equities worth USD 45mn while individuals and mutual funds have bought equities worth USD 17mn & USD 10mn respectively. Given the global health epidemic is tackled with and defeated, over medium term, Pakistan equity market is geared to show upward momentum as 1) business cycles is expected to improve, 2) inflation will normalize, 3) domes-tic consumption will improve, 4) technology transfer will take place, 5) demographics will pay dividend, 6) public spending will improve and 7) credit cycle will recover.

Stock market is currently trading at a TTM P/B, P/S and P/E of 1.0x, 0.6x & 8.4x respectively with return on equity of 13%. As the returns on money market and fixed have are coming down, the investors opting for equities will generate better returns. It is trading at medium term forward P/E of 6.0x.

FAML believes that market is still trading at cheap valuations as its 1) P/E can further rerate, 2) three year forward annualized rolling return is at least % 20 and 3) discount with frontier and emerging markets is above average and 4) market cap to GDP is at low levels. Therefore, valuations remain extremely attractive from medium term perspec-tive even though near term corporate profitability will remain challenging due to COVID-19. We suggests investors to look slightly longer into future as equities

Jun-

08N

ov-0

8Ap

r-09

Sep-

09Fe

b-10

Jul-1

0D

ec-1

0M

ay-1

1O

ct-1

1M

ar-1

2Au

g-12

Jan-

13Ju

n-13

Nov

-13

Apr-

14Se

p-14

Feb-

15Ju

l-15

Dec

-15

May

-16

Oct

-16

Mar

-17

Aug-

17Ja

n-18

Jun-

18N

ov-1

8Ap

r-19

Sep-

19Fe

b-20

6%

8%

10%

12%

14%

16%

18%

KSE100 EY 10Yr PIBs

Jun-

12O

ct-1

2Fe

b-13

Jun-

13O

ct-1

3Fe

b-14

Jun-

14O

ct-1

4Fe

b-15

Jun-

15O

ct-1

5Fe

b-16

Jun-

16O

ct-1

6Fe

b-17

Jun-

17O

ct-1

7Fe

b-18

Jun-

18O

ct-1

8Fe

b-19

Jun-

19O

ct-1

9Fe

b-20

Jun-

20

0%

5%

10%

15%

20%

25%

30%

35%

Mkt Cap to GDP

Jun-

04M

ar-0

5D

ec-0

5Se

p-06

Jun-

07M

ar-0

8D

ec-0

8Se

p-09

Jun-

10M

ar-1

1D

ec-1

1Se

p-12

Jun-

13M

ar-1

4D

ec-1

4Se

p-15

Jun-

16M

ar-1

7D

ec-1

7Se

p-18

Jun-

19M

ar-2

0

-20%-10%

0%10%20%30%40%50%60%70%

KSE100 TTM Return

S.No Fund/Plan Name Funds Category Risk Profile Risk of Principal Erosion1 Faysal Money Market Fund Money Market Scheme Very Low Principal at very low risk2 Faysal Halal Amdani Fund Shariah Compliant Money Market Very Low Principal at very low risk3 Faysal Financial Sector Opportunity Fund Income Low Principal at low risk4 Faysal MTS Fund Income Low Principal at low risk5 Faysal Government Securi�es Fund Income Low Principal at low risk6 Faysal Savings Growth Fund Income Medium Principal at medium risk7 Faysal Islamic Saving Growth Fund Islamic Income Medium Principal at medium risk8 Faysal Income & Growth Fund Aggressive Fixed Income Medium Principal at medium risk9 Faysal Financial Value Fund Asset Alloca�on Medium Principal at medium risk

10 Faysal Asset Alloca�on Fund Asset Alloca�on High Principal at high risk11 Faysal Islamic Asset Alloca�on Fund Shariah Compliant Asset Alloca�on High Principal at medium risk12 Faysal Stock Fund Equity High Principal at high risk13 Faysal Islamic Dedicated Equity Fund Islamic Dedicated Equity Scheme High Principal at high risk14 Faysal Ac�ve Principal Preserva�on Plan Fund of Funds Scheme Medium Principal at medium risk15 Faysal Sharia Capital Preserva�on Plan I Shariah Compliant Fund of Funds - CPPI Medium Principal at medium risk16 Faysal Sharia Capital Preserva�on Plan II Shariah Compliant Fund of Funds - CPPI Medium Principal at medium risk17 Faysal Sharia Capital Preserva�on Plan III Shariah Compliant Fund of Funds - CPPI Medium Principal at medium risk

Risk Profile Of Collective Investment Schemes/Plans

Faysal Money Market Fund (FMMF) yielded an annualized return of 12.57% on YTD basis relative to its benchmark of 11.65%. During the month, your manager converted the T-Bill exposure in Cash and places the fund in higher yielding DP accounts. Going forward, fund management is in negotiations with commercial banks for a better daily product rate.

The Scheme has maintained provisions against Sindh Workers' Welfare Fund liability to the tune of Rs. 18,184,808 as at June 30, 2020. If the same were not made the NAV per unit / return of the Scheme would have been higher by Rs. 0.35 (0.35%). For details investors are advised to read the Note 9.1 of the latest financial statements for the quarter ended March 31, 2020.

Faysal Money Market Fund

FY20 to Date

Month on Month

1 year Trailing

Returns (%)FMMFBenchmark

101.89355,253.455,244.96

AM2

00.00%89.44%0.11%10.00%0.45%

Government SecuritiesAAAAA+AANR (include receivables against sale of Government Securities)

FMMF Benchmark(Annualized % p.a) Holding Period

AA (f) (PACRA)

PKR 5,000

0.20%

Management Fee*

A.F. Ferguson & Co.

Very Low

70% Three months PKRV rates + 30%three months average deposit rates ofthree AA rated scheduled Banks

Min Subscription

Weighted Average Maturity

Net Assets(PKR mn) excluding FoF

7 days


12.57%

8.15%

12.57%

11.65%

7.84%

11.65%

Faysal Money Market Fund (FMMF) seeks to provide stable and competitive returns in line with the money markets exhibiting low volatilty consistent with capital preservation by constructing a liquid portfolio oflow risk short term investments yielding competitive returns.

*E�ective from April 04, 2020

Note : Funds returns computed on Simple annualized basis / NAV to NAV Returns with dividend re-invested. • Performance data does not include cost incurred by investor in the form of sales load.

5.23%5.35%

8.87%8.72%

7.14%5.25%

5.67%5.34%

Total Expense Ratio (Annualized) 1.24%1.24%Total Expense Ratio (Absolute)

FY16FY17FY18FY1912.57%11.65%

FY20

TER includes 0.36% representing government levy,SECP fee and Sindh worker welfare Fund excluding reversal of WWF.


Selling and Marketing Expenses

Management Company shall be entitled to an accrued remuneration equal to an amount not exceeding 1% of Average Annual Net Assets, within allowed expense ratio limit. (Actual Rate of Management Fee Charged is 0.50%)

June’20

Othersincluding

Receivables,0.45%Commercial

Paper,9.75%

Cash89.80%

Mr. Khaldoon Bin LatifMr. Ayub KhuhroMr. Faisal Ali KhanSyed Shahid IqbalMr. Mustajab AlamMr. Muhammad Akbar Latif KhanMr. Khurram SalmanMr. Mohammad Qasim

Chief Executive OfficerChief Investment OfficerCFO and Company SecretarySr. Fund Specialist - Fixed IncomeFund ManagerHead of ResearchHead of Compliance and Internal AuditHead of Risk

INVESTMENT COMMITTEE

May’20

Othersincluding

Receivables,0.32%

Commercial Paper,8.87%

LOP/Placements with Banks and DFIs,

8.41%

T-Bills,35.38%

Cash47.03%

Jun-1

9Ju

l-19

Aug-19

Sep-19

Oct-19

Nov-19

Dec-19

Jan-2

0

Feb-20

Mar-20

Apr-20

May-20

Jun-2

00.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

11.6

6%

12.2

0%

12.7

7%

12.8

8%

12.7

4%

12.7

2%

12.7

5%

12.7

2%

12.7

2%

12.0

4%

9.82

%

8.57

%

7.84

%

11.9

2%

12.2

7%

12.4

2%

12.9

5%

13.0

0%

11.0

9% 13.0

6%

12.6

8%

12.2

0%

13.1

6%

14.0

8%

7.67

%

8.15

%

Fund TypeCategory

Launch DateRisk Profile

Custodian/TrusteeAuditor

Management Fee*

Front / Back End LoadMinimum InvestmentPricing Mechanism

Benchmark

Dealing DaysCut-Off TimingAMC RatingNAV per Unit (PKR)Net Assets (PKR mn)

LeverageWeighted Average Maturity

Open EndedShariah Compliant Money Market SchemeVery LowOctober 10, 2019

CDC

FEL up to 2% of NAV & BEL 0%

PKR. 5,000/-Forward

Monday-Friday9:00 am - 5:00 pmAM2100.15086,592.41

6,592.41Net Assets(PKR mn) excluding FoF

Nil48 days

FUND INFORMATION

FY20 to Date

Month on Month

1 year trailing

Returns (%)FHAFBenchmark

FUND RETURNS

Investment Objective

FHAF Benchmark(Annualized % p.a) Holding Period

ASSET ALLOCATION (% OF TOTAL ASSETS)

--

--

--

--

Faysal Halal Amdani Fund

11.75%8.00%

N/A

5.36%4.45%

N/A

Faysal Halal Amdani Fund (FHAF) yielded an annualized return of 11.75% on year to date basis. During the month, cash allocations stood at 73.30% whereas exposures in short term sukuk and Islamic commercial paper stood at 5.89% and 20.32% respectively. Going forward, fund management is in negotiations with commercial banks for a better daily product rate.


The objective of Faysal Halal Amdani Fund is to provide competitive rate of return with maximum possible preservation of capital by investing in liquid and low risk Shariah Compliant bank deposits, money market & debt securities.


A.F. Ferguson & Co.

MUFAP’s recommended formatDisclaimer: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments inmutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependent on forces and factors affecting the capital markets. These may goup or down based on market conditions. Past performance is not necessarily indicative of future results. Please read the Offering Document to understand the Investment policies and therisks involved.

FY16FY17FY18FY1911.75%5.36%

FY20

Three (3) months average deposit rates of three AA rated Islamic Banks or Islamic windows of Conventional Banks as selected by MUFAP.

Total Expense Ratio (Annualized)

Total Expense Ratio (Absolute)

1.15%0.83%



5.89%93.62%0.48%

AA+AANR Benchmark

FHAF

Hub Power Company Limited - ST Sukuk (6M) 19-May-20 5.89%

Top Portfolio Holdings (% of Total Assets)

Selling and Marketing Expenses 0.20%

Upto 1% of Average Annual N.A.(Actual Rate of Management Fee Charged is 0.30%)

Non-Compliance Disclaimer: Faysal Halal Amdani Fund holds below mentioned non-compliant investment. Before making any investment decision, investors should review this document and latest Financial Statements.

Name of non-compliant investment/Investment Limit Exposure Limit Range Exposure as % of Net Assets

15.00% 20.40%Islamic Commercial Paper - K Electric

*Effective from March 07, 2020.

Cash

June’20

73.30%Islamic

CommercialPaper,20.32%

Short TermSukuk,5.89%

Othersincluding

Receivables0.48%




Cash

May’20

78.55%Islamic


Short TermSukuk,6.48%

Othersincluding

Receivables0.45%

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

5.80

%

5.72

%

5.19

%

5.45

%

5.52

%

5.58

%

5.46

%

5.06

%

4.45

%

11.2

0%

11.5

9%

14.2

1%

12.7

5%

12.5

1%

12.3

9%

10.3

4%

8.89

%

8.00

%

May’20

Cash79.51%T-Bills,

5.74%

Othersincluding

Receivables,5.18%

TFCs/Sukuk,1.57%


Government SecuritiesAAAAA+AAAA-A+NR (include receivables against sale of investments)


101.981,082.00

0.30%

AM2

Up to 2% of NAV

FY20 to DateMonth on Month

1 year Trailing

FFSOF Benchmark

AA-(f) (PACRA)Low

(Annualized % p.a) Holding Period

Faysal Financial Sector Opportunity Fund

Six months KIBOR rates

Weighted Average Maturity 0.11 Yr

00.00%83.50%1.35%11.10%2.10%0.35%1.60%

12.91%

8.46%

12.91%

12.22%

7.75%

12.22%

Jahangir Siddiqui & Company Ltd - TFCBank Of Punjab - TFCJS Bank Ltd. - TFC

0.89%0.79%0.35%

6-Mar-1823-Dec-1614-Dec-16


Faysal Financial Sector Opportunity Fund (FFSOF) yielded an annualized return of 12.91% on year-to-date basis relative to its benchmark of 12.22%. At the end of the month, cash allocations with banks increased to 85.94% by offloading T-bills however maintained exposure in commercial paper and TFC’s. Given current allocation susceptibility of the portfolio is significantly reduced, making it more suitable for long term investors with requiring a sustainable income.

Faysal Financial Sector Opportunity Fund (FFSOF) seeks to provide a competitive rate of returns to its investors by investing in money market and debt instruments with major exposure in financial sector instruments.


A.F. Ferguson & Co. 7.08%5.88%

5.27%6.10%

4.85%6.35%

8.81%10.21%



1.09%1.09%

FY16FY17FY18FY1912.91%12.22%

FY20




Upto 1% of Average Annual N.A. (Actual Rate of Management Fee Charged is 0.20%)

*

*Effective from March 07, 2020.

June’20

Cash85.94%

Othersincluding

Receivables,1.60%

TFCs/Sukuk,2.04%




Jun-1

9Ju

l-19

Aug-19

Sep-19

Oct-19

Nov-19

Dec-19

Jan-2

0

Feb-20

Mar-20

Apr-20

May-20

Jun-2

00.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

18.00%

13.0

5%

13.5

5%

14.0

7%

13.9

6%

13.6

1%

13.4

9%

13.5

0%

13.4

8%

13.4

8%

12.3

6%

9.40

%

7.94

%

7.75

%

11.5

6%

12.0

3% 13.0

5%

13.9

3%

13.6

6%

12.4

7% 13.6

9%

12.2

4%

11.7

4% 13.0

1%

15.6

3%

6.53

% 8.46

%


Fund TypeCategoryRatingRisk ProfileLaunch DateCustodian/TrusteeAuditor

Management Fee*

Front/Back end LoadMin SubscriptionBenchmarkPricing MechanismDealing DaysCut-Off TimingAMC RatingNAV per Unit (PKR)Net Assets (PKR mn)Leverage

Open EndedIncome SchemeAA - (f) (PACRA)LowApril 8, 2016CDC


PKR. 5,000Six months KIBOR ratesForwardMonday-Friday9:00 am - 5:00 pmAM2101.001,000.64

0.30%

Nil

FUND INFORMATION

FY20 to Date

Month on Month

1 year trailing

Returns (%)FMTSFBenchmark

FUND RETURNS


FMTSF Benchmark(Annualized % p.a) Holding Period


5.96%5.51%

6.14%6.10%

5.63%6.35%

9.04%10.21%

Faysal MTS Fund


13.04%8.23%

13.04%

12.22%7.75%

12.22%

ASSET QUALITY (% OF TOTAL ASSETS)9.70%0.14%0.47%2.15%5.93%79.81%1.79%

Government SecuritiesAAAAA+AAAA-MTS (Unrated)NR

Faysal MTS Fund (FMTSF) yielded an annualized return of 13.04% on YTD basis relative to its benchmark of 12.22%. During the month, MTS exposure increased to 79.81% by month end due to improvement in stock market sentiments and MTS market as well. In near future, investors’ confidence will primarily derive the yield of your fund.


The objective of Faysal MTS Fund (FMTSF) is to provide competitive returns primarily through investment to MTS market.


A.F. Ferguson & Co.




2.08%2.08%

BenchmarkFMTSF

FY16FY17FY18FY1913.04%12.22%

FY20

Non-Compliance Disclaimer: Faysal MTS Fund holds below mentioned non-compliant investment. Before making any investment decision, investors should review this document and latest Financial Statements.

TER includes 0.39% representing government levy,SECP fee and Sindh worker welfare Fund.


Selling and Marketing Expenses:

*E�ective from January 13, 2020

NON COMPLIANCEName of non-compliant investment/Investment Limit Exposure Limit Range Actual Holding

70%-90% 26.00%Margin Trading System** Minimum 70% has to be maintained based on quarterly average investment calculated on daily basis.





MarginTradingSystem(MTS)

79.81%

June’20

Cash,8.70%

Othersincluding

Receivables1.79%

T-Bills9.70%

MarginTradingSystem(MTS)

26.16%

May’20

Cash,52.51%

Othersincluding

Receivables5.72%

T-Bills7.91%


Jun-1

9Ju

l-19

Aug-19

Sep-19

Oct-19

Nov-19

Dec-19

Jan-2

0

Feb-20

Mar-20

Apr-20

May-20

Jun-2

00.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

18.00%

20.00%

13.0

5%

13.5

5%

14.0

7%

13.9

6%

13.6

1%

13.4

9%

13.5

0%

13.4

8%

13.4

8%

12.3

6%

9.40

%

7.94

%

7.75

%

11.0

2%

11.4

5% 12.8

4% 14.0

7%

13.4

6%

9.82

%

15.6

4%

13.8

0%

12.2

6% 13.5

1%

17.4

1%

5.33

%

8.23

%

May’20

Othersincluding

Receivables,2.24%

T-Bills,46.60%

Cash,33.54%

LOP/Placementswith Banks and DFIs,17.61%

NON COMPLIANCEName of non-compliant investment/Investment Limit Exposure Limit Range Actual Holding

0%-30% 63.00%Cash at bank* Cash at bank has to be maintained between 0-30% as per the requirements of constitutive document.

Faysal Government Securities Fund

The objective of the Scheme is to provide competitive returns by investing primarily in Government Securities.Investment Objective


100.132,914.372,753.26

-

AM2

FY20 to Date

Month on Month

1 year Trailing

FGSF Benchmark(Annualized % p.a) Holding Period

-

LowMarch 16, 2020

Six Month PKRV Rate

Faysal Government Securities Fund (FGSF) yielded an annualized return of 10.90% on year to date basis relative to its benchmark of 8.73%. At the end of the month, placements stood at 8.91% whereas exposure in T-bills converted into cash. Going forward, the fund will continue to build exposure in approved investment avenues and enhance yields with a proactive investment strategy.

Weighted Average Maturity

Net Assets(PKR mn) excluding FoF

2 days

10.90%

8.01%

N/A

8.73%

7.63%

0.00%


Non-Compliance Disclaimer: Faysal Govt Securities Fund holds below mentioned non-compli-ant cash and cash equivalent and investments. Before making any investment decision, investors should review this document and latest Financial Statements.


A.F. Ferguson & Co.


-

-

-

-

-

-

-

-



0.51%0.15%

FY16FY17FY18FY19

10.90%

8.73%

FY20

AAAAA+AAAA-NR

90.30%8.91%0.10%0.02%0.68%





June’20

Othersincluding

Receivables,0.68% Cash,

90.41%

LOP/Placementswith Banks and DFIs,

8.91%



INVESTMENT COMMITTEE ASSET QUALITY (% OF TOTAL ASSETS)

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

18.00%

11.7

1%

9.18

%

7.82

%

7.63

%

13.3

9% 16.1

1%

3.36

%

8.01

%

Name of non-compliant investment/Investment Limit Exposure Limit Range Actual Holding

70%-100% 24.00%Investment in Government SecuritiesAt least 70% of net assets shall remain invested in Government Securities on monthly average basis calculated at the end of each month

Othersincluding

Receivables,4.94%

Cash,52.82%

May’20

TFC/Sukuk,35.06%


PIBs,2.17%

Faysal Savings Growth Fund

To generate competitive returns by investing primarily in debt and fixed income instruments having investment grade credit rating.Investment Objective


102.522,610.85

0.69%

AM2

FY20 to Date

Month on Month

1 year Trailing

FSGF Benchmark(Annualized % p.a) Holding Period

AA- (f) (PACRA)

Medium

Six months KIBOR rates

Faysal Savings Growth Fund (FSGF) yielded an annualized return of 9.49% on monthly basis relative to its benchmark of 7.75%. As a measure of our consolidation strategy, cash exposure maintained at 65.61%, while exposure in TFC reduced to 30.86%. Going forward, the fund will continue to build exposure in lucrative investment avenues and enhance yields with a proactive investment strategy.


Government SecuritiesAAAAA+AAAA-A+ANR (include receivables against sale of investments)

1.87%27.04%12.29%7.88%33.53%5.91%9.83%1.65%

JS Bank Ltd. - TFCBank Of Punjab - TFCInternational Brands Ltd. (IBLHL) - SukukHub Power Company LimitedJahangir Siddiqui & Company Ltd. - TFCJahangir Siddiqui & Company Ltd. - TFCHub Power Company LimitedDawood Hercules Corporation Ltd. - SukukAskari Bank Ltd. - TFCDawood Hercules Corporation Ltd. - Sukuk

14-Dec-1623-Dec-1615-Nov-1719-Mar-2006-Mar-1818-Jul-1722-Aug-1901-Mar-1830-Sep-1416-Nov-17

5.91%4.80%4.66%3.77%3.74%2.30%1.92%1.87%1.52%0.37%

11.67%

9.49%

11.67%

12.22%

7.75%

12.22%



A.F. Ferguson & Co.


4.90%

6.35%

7.59%

10.21%

7.75%

6.50%

5.99%

6.10%



2.23%2.23%

FY16FY17FY18FY19

11.67%

12.22%

FY20





Upto 1.5% of Average Annual N.A. (Actual Rate of Management Fee Charged is 0.79%)

Othersincluding

Receivables,1.65%

Cash,65.61%

June’20

TFC/Sukuk,30.86%

PIBs,1.87%




Jun-1

9

Aug-19

Oct-19

Dec-19

Feb-20

Apr-20

Jun-2

00.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

18.00%

13.0

5%

13.5

5%

14.0

7%

13.9

6%

13.6

1%

13.4

9%

13.5

0%

13.4

8%

13.4

8%

12.3

6%

9.40

%

7.94

%

7.75

%

12.2

8%

10.5

8%

11.6

2%

11.3

1%

6.71

%

10.4

5%

13.1

2%

11.1

2%

11.6

6% 13.9

1% 15.7

4%

7.52

% 9.49

%


103.182,241.25

0.70%

AM2

A+(f) (VIS)FY20 to Date

Month on Month

1 year Trailing

A.F. Ferguson & Co.

FISGF Benchmark(Annualized % p.a) Holding Period

Returns (%)

FISGF

Benchmark

Faysal Islamic Savings Growth Fund

Six months average deposit rates of three A rated scheduledIslamic Banks or Islamic windows of conventional Banks


10.67%

8.19%

10.67%

6.33%

5.89%

6.33%

Government Securities

Government Guaranteed

AAA

AA+

AA

A+

A-

NR (include receivables against sale of investments)

6.62%

13.19%

1.29%

11.20%

53.51%

11.92%

1.13%

1.16%

20-May-2019-Mar-2015-Nov-1716-Nov-1713-Apr-1622-Aug-1901-Mar-1818-Jan-1702-Feb-17

13.19%8.80%3.73%3.61%3.23%2.25%2.15%1.29%1.08%

Faysal Islamic Savings and Growth Fund (FISGF) yielded an annualized return of 10.67% on year to date basis relative to its benchmark of 6.33%. At the end of the month, your fund maintained exposure in GOP Ijara Sukuk and Corporate Sukuk whereas cash increased to 44.42% by eliminating exposure in Islamic Commercial Paper. Going forward, your fund will continue to explore Islamic investment avenues in order to provide competitive returns.


Faysal Islamic Savings Growth Fund (FISGF) seeks to provide maximum possible preservation of capital and a reasonable rate of return via investing in Shariah Compliant money market and debt securities having good credit quality rating and liquidity.

*E�ective from March 07, 2020


Pakistan Energy Sukuk II (Power Holding Ltd.)Hub Power Company Limited - SukukInternational Brands Ltd. (IBLHL) - SukukDawood Hercules Corporation Ltd. - SukukTPL Corporation Ltd. - SukukHub Power Company Limited - SukukDawood Hercules Corporation Ltd. - SukukBYCO Petroleum Pakistan Ltd. - SukukGhani Gases Ltd. - Sukuk


Management Fee*

4.42%

2.44%

7.85%

3.69%

5.50%

4.68%

5.30%

3.11%



1.79%1.79%

FY16FY17FY18FY1910.67%

6.33%

FY20

TER includes 0.35% representing government levy,SECP fee and Sindh worker welfare Fund excluding reversal of WWF.TER includes 0.35% representing government levy,SECP fee and Sindh worker welfare Fund excluding reversal of WWF.


Medium





June’20

COM/ICP,8.48%

GoP IjaraSukuk6.62%

Cash,44.42%

Others,including

receivables

TFCs/Sukuk

39.33%

1.16%

May’20

COM/ICP,20.65%

GoP IjaraSukuk7.06%

Cash,28.48%

Others,including

receivables

TFCs/Sukuk

42.61%

1.19%

Jun-1

9

Aug-19

Oct-19

Dec-19

Feb-20

Apr-20

Jun-2

00.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

5.19

%

5.42

%

5.71

%

6.09

%

6.31

%

6.50

%

6.70

%

6.79

%

6.81

%

6.58

%

6.57

%

6.59

%

5.89

%

11.2

8%

9.26

% 11.4

6%

11.4

9%

12.5

8%

9.79

% 11.5

8%

10.9

3%

11.4

6%

11.7

9%

8.80

%

4.80

%

8.19

%

Faysal Income & Growth FundFund TypeCategoryStability RatingRisk ProfileLaunch DateCustodian/TrusteeAuditor

Management Fee

Front/Back end LoadMin SubscriptionBenchmarkPricing MechanismDealing DaysCut-Off TimingAMC RatingNAV per Unit (PKR)Net Assets (PKR mn)Leverage

Open EndedAggressive Fixed Income SchemeA(f) (PACRA)MediumOctober 10, 2005CDC

FEL up to 2% of NAV & BEL 0%PKR. 5,000One year KIBOR ratesForwardMonday-Friday9:00 am - 5:00 pmAM2

Nil

FUND INFORMATION

Returns (%)FIGFBenchmark




FY20 to Date

Month on Month

1 year trailing

FUND RETURNSFIGF Benchmark(Annualized % p.a) Holding Period

Weighted Average Maturity 0.99 YrTotal Expense Ratio (Annualized)


11.19%9.88%11.19%

12.26%7.77%12.26%

TFCS/SUKUK HOLDINGS (% OF TOTAL ASSETS)23-Dec-16

14-Dec-16

19-Mar-18

29-Dec-17

8.21%

7.46%

6.34%

2.75%

Bank Of Punjab - TFC

JS Bank Ltd. - TFC

Khushali Microfinance Bank - TFC

JS Bank Ltd. - TFC

ASSET QUALITY (% OF TOTAL ASSETS) Government Securities AAA AA+ AA AA- A+ A A- NR

00.00%0.13%2.15%0.80%9.98%71.16%6.54%7.06%2.19%

Faysal Income and Growth Fund (FIGF) yielded an annualized return of 9.88% on monthly basis. By the end of the month, your fund offloaded T-Bills and PIBs whereas exposure in TFCs and commercial paper stood at 24.76% and 7.06% respectively. Going forward, your fund will strive to maximize returns in a competitive macroeconomic landscape.

The Scheme has maintained provisions against Sindh Workers' Welfare Fund liability to the tune of Rs. 5,579,472 as at June 30, 2020. If the same were not made the NAV per unit / return of the Scheme would have been higher by Rs.0.77 (0.72%). For details investors are advised to read the Note 9.1 of the latest financial statements for the quarter ended March 31, 2020.

Faysal Income & Growth Fund (FIGF) seeks to provide its investors with optimal yields through a diversified portfolio consisting of both long-term fixed instruments as well as short–term money market securities.


A.F. Ferguson & Co.

106.57773.49

0.70%

5.15%6.69%

7.81%10.73%

4.56%6.40%

9.41%6.59%

2.30%2.30%

Non-Compliance Disclaimer: Faysal Income & Growth Fund holds below mentioned non-compliant investment. Before making any investment decision, investors should review this document and latest Financial Statements.




FY16FY17FY18FY1911.19%12.26%

FY20

NON COMPLIANCEName of

Non-ComplaintInvestment

Ratingrequired

ExistingRating

RequiredExposure asa % of NAV

ExistingExposure

as a % of NAVBreach

Type ofInstrument

Value of Investmentbefore provisioning

Provision(If any)

Value ofInvestment

afterprovisioning

% of NetAssets

% ofTotal

AssetsBBB

BBB

TFC

TFC

A+

A+10.40%10.00% 0.40% 10.21%10.40% -

JS Bank Limited (14 Dec 2016)

JS Bank Limited (29 Dec 2017)

58,798,327

21,672,167

58,798,327

21,672,167




*Effective from January 13, 2020


Cash,65.99%

June’20

Othersincluding

Receivables,2.19%

TFC/Sukuk,24.76%


Cash,64.81%

May’20

Othersincluding

Receivables,1.92%

PIB’s,4.40%

TFC/Sukuk,16.20%


T-Bills,8.05%

Jun-1

9Ju

l-19

Aug-19

Sep-19

Oct-19

Nov-19

Dec-19

Jan-2

0

Feb-20

Mar-20

Apr-20

May-20

Jun-2

00.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

13.5

5%

13.9

6%

14.4

4%

14.1

2%

13.5

9%

13.4

1%

13.4

3%

13.4

9%

13.6

2%

12.2

2%

9.16

%

7.88

%

7.77

%

11.9

4%

10.4

1%

12.7

3%

11.2

2%

0.43

%

11.4

4%

13.8

5%

10.7

4%

11.0

4%

13.7

6%

14.5

8%

7.98

%

9.88

%

Fund Type

Category

Launch Date

Risk Profile

Custodian/ Trustee

AuditorManagement Fee

Back End Load

Front End Load

Minimum InvestmentPricing Mechanism

Benchmark

Dealing Days

Cut-Off Timing

AMC Rating

Leverage

Open Ended

Sector Asset Allocation SchemeMediumDecember 27, 2019

CDC

0.25% p.a. (Actual Rate of Management Fee Charged is 0.15%)

NilUp to 3%

PKR. 5,000/-Forward

Monday- Friday

9:00 am - 5:00 pm

AM2

106.44

1,691.66

0.1%

NilWeighted Average Maturity 3.09 Yr

FUND INFORMATION

FY20 to Date

Month on Month

1 year trailing

Returns (%)FFVFBenchmark

FUND RETURNS


FFVF Benchmark(Absolute %) Holding Period


--

--

--

--

Faysal Financial Value Fund

6.57%1.05%

N/A

6.56%0.84%

N/A

During June-20, your fund posted a return of 1.05% against its benchmark of 0.84%. During this period your fund remains invested in TFCs and in Cash. Going forward, your fund will also take exposure in other investment avenues keeping in view the economic position of the country.


The investment objective of the Fund is to seek long term capital appreciation through investments in equity stock, fixed income, Money Market, bank deposits primarily from the financial sector/segment/industry and any other instrument as defined in Constitutive documents.


A.F. Ferguson & Co.


FY16FY17FY18FY196.57%6.56%

FY20

"The Benchmark for ""Faysal Financial Value Fund"" shall be weighted average of KSE 100 Index and 6 Month KIBOR rates and 70% three (3) months PKRV rates + 30% three (3) months average deposit rate of three (3) AA rated scheduled Banks as selected by MUFAP on the basis of actual proportion held by the scheme."

Nav per Unit (PKR)

Nav Assets (PKR mn)



0.99%

0.50%



Bank Alfalah Limited - TFC - Tier 1Soneri Bank - TFCAskari Bank Ltd. - TFCUBL TFC - Tier 1Bank Al Habib - TFCJS Bank Ltd. - TFCK-Electric Sukuk 4Askari Bank Ltd. - TFCWAPDA TFC

26-Mar-1808-Jul-1503-Jul-1829-Jan-1920-Dec-1714-Dec-1617-Jun-1530-Sep-1427-Sep-13

16.44%15.52%14.27%13.14%8.81%6.88%1.75%0.99%0.34%

Top Portfolio Holdings (% of Total Assets)Government GuaranteedAA+AAAA-A+NR

0.34%14.89%9.03%49.97%22.40%3.38%

Asset Quality (% OF TOTAL ASSETS)


June’20

Cash,18.49%

TFCs,78.13%

Othersincluding

Receivables,3.38%

May’20

Cash,11.57%

TFCs,84.33%

Othersincluding

Receivables,4.10%






43.35113.69

1%

AM2

June’20 May’20

FY20 to DateMonth on Month1 year trailing

A.F. Ferguson & Co.

KSE100 Index / 6M KIBOR


FAAF Benchmark(Absolute %) Holding Period

Returns (%)

FAAF

Benchmark

FY 174.67%

20.73%

FY 18-21.64%

-5.79%

FY 19-20.96%

-7.32%

FY201.83%

6.01%

FY 16-2.46%

9.14%

Faysal Asset Allocation Fund

CementFertilizerTechnology & CommunicationChemicalTextile CompositeOthers

19.23%10.49%5.92%

12.23%6.39%

17.08%

16.92%8.68%7.84%5.91%4.21%9.82%

Systems LimitedEngro Corporation LimitedD.G. Khan Cement Company LimitedLucky Cement LimitedFauji Fertilizer Bin Qasim LimitedPioneer Cement LimitedNishat Mills LimitedPakistan Petroleum LimitedDescon Oxychem LimitedCherat Cement Company Limited

5.48%4.54%4.38%4.28%4.14%3.27%3.18%2.76%2.49%2.37%

EquityEquityEquityEquityEquityEquityEquityEquityEquityEquity

1.83%1.76%1.83%

6.01%1.24%6.01%

* Weighted average of 6M KIBOR & percentage invested in Equities**E�ective from January 13, 2020

The Scheme has maintained provisions against Sindh Workers' Welfare Fund liability to the tune of Rs. 670,434 as at June 30, 2020. If the same were not made the NAV per unit / return of the Scheme would have been higher by Rs. 0.26 (0.59%). For details investors are advised to read the Note 9.1 of the latest financial statements for the quarter ended March 31, 2020.

During June-20, your fund posted a return of 1.76% against its benchmark of 1.24%. During this month under review your fund exposure was decreased from 71.34% to 54.87% and had taken over weight stance relative to KSE-100 on Chemical, Technology & Communication and cement companies whereas underweight stance was taken on Fertilizer sector.

Faysal Asset Allocation Fund (FAAF) endeavors to provide investors with an opportunity to earn long-term capital appreciation optimizing through broad mix of asset classes encompassing equity, fixed income & money market instruments.

Note : Funds returns computed on absolute basis / NAV to NAV Returns with dividend re-invested. • Performance data does not include cost incurred by investor in the form of sales load.

Net Assets (PKR mn)



4.81%4.81%

TOP TEN HOLDINGS ASSETCLASS

% OF TOTAL ASSETS

AAAAA+AAAA-ANR (Include Equity Investments)

5.22%7.05%1.65%27.50%00.00%58.58%




High

Upto 2% of Average Annual N.A. (Actual Rate of Management Fee Charged is 1%)

Mr. Khaldoon Bin LatifMr. Ayub KhuhroMr. Khurram M. Arif, CFA Mr. Faisal Ali KhanMr. Muhammad Akbar Latif KhanMr. Khurram SalmanMr. Mohammad Qasim

Chief Executive OfficerChief Investment OfficerFund Specialist - EquitiesCFO and Company SecretaryHead of ResearchHead of Compliance and Internal AuditHead of Risk


Cash41.42%

June’20

Equities,54.87%

Othersincluding

Receivables3.71%

Cash24.61%

May’20

Equities,71.34%

Othersincluding

Receivables4.06%

FY20 to Date

Month on Month

1 year trailing

Returns (%)FIAAFBenchmark

FUND RETURNS




FIAAF Benchmark(Absolute %) Holding Period

ASSET QUALITY (% OF TOTAL ASSETS)

FY16-4.02%14.45%

FY1723.04%15.40%

FY18-19.77%-5.24%

FY19-19.46%-13.17%

FY2010.89%4.48%

Faysal Islamic Asset Allocation Fund

1-Aug-1822-Aug-1921-Dec-1814-Jul-1730-Nov-1722-Aug-179-Jun-17

11-Jan-1922-Sep-1613-Apr-16

Meezan Islamic Bank - Sukuk - Tier 1Hub Power Company - SukukDubai Islamic Bank Limited - Sukuk - Tier 1Dubai Islamic Bank Limited - Sukuk - Tier 2Aspin Pharma Pvt ltd SukukAl-Baraka Bank - Sukuk - Tier 2AGP Limited SukukEngro Polymer & Chemical Limited (Sukuk)Meezan Islamic Bank - Sukuk - Tier 2TPL Corp. Ltd Sukuk

10.33%9.50%7.61%6.70%5.77%5.46%4.36%4.25%4.18%3.87%

Fund TypeCategoryRisk ProfileLaunch DateCustodian/TrusteeAuditor

Management Fee**

Front end LoadBack end LoadMin SubscriptionBenchmark*

Pricing MechanismDealing DaysCut-Off TimingAMC RatingNAV per Unit (PKR)Net Assets (PKR mn)

Leverage

Open EndedShariah Compliant Asset Allocation SchemeMediumSeptember 9, 2015CDC

Up to 3% of NAVBack end - 0 %PKR. 5,000KMI- 30 Index/6M Deposit rate for A & aboverated Islamic BanksForwardMonday-Friday

0%

9:00 am - 5:00 pmAM2

Nil

FUND INFORMATION

* Weighted Average Daily Return of KMI-30 Index & 6M Deposit Rate of A & above rated Islamic Banks or Islamic windows of Scheduled Commercial Banks.**E�ective from January 7, 2020

10.89%1.29%10.89%

4.48%0.49%4.48%

11.60%3.58%12.09%33.91%14.31%8.35%14.14%2.02%

Government GuaranteedAAAAA+AAAA-A+ANR (Include Equity Investments)


Faysal Islamic Asset Allocation Fund (FIAAF) posted an absolute return of 1.29% on month-on-month basis relative to its benchmark of 0.49%. At the end of the month, your fund maintained its exposure in shariah compliant sukuks increased to 73.99% whereas exposure in GOP Ijara Sukuk stood at 11.60%. Going forward, your fund will continue to explore Islamic investment avenues in order to provide competitive returns.

The objective of Faysal Islamic Asset Allocation Fund (FIAAF) is to earn competitive riba free return by investing in various Shariah compliant asset classes/instruments based on the market outlook and may easily change allocation to take advantage of directional macro and micro economic trends and undervalued stocks.


A.F. Ferguson & Co.



1.77%1.77%

71.601833.96


TOP PORTFOLIO HOLDINGS ISSUEDATE HOLDING








Cash

June’20

12.39%

Othersincluding

Receivables2.02%

Sukuk,73.99%

IjaraSukuk,11.60%

Cash

May’20

12.62%

Othersincluding

Receivables2.33%

Sukuk,69.18%

IjaraSukuk,15.87%

May’20

Othersincluding


6.63%

Equities85.97%



Faysal Stock Fund

Equity SchemeHighApril 19, 2004CDC

45.04104.94

AM2

1%

FY20 to Date

Month on Month

1 year trailing

FSF Benchmark

June’20 May’20

(Absolute %) Holding Period

Returns (%)

FSF

Benchmark

-18.31%

-10.00%

-28.24%

-19.11%

14.30%

17.32%

7.39%

8.60%

Systems LimitedDescon Oxychem LimitedEngro Corporation LimitedLucky Cement LimitedD.G. Khan Cement Company LimitedAdamjee Insurance Company LimitedFauji Fertilizer Bin Qasim LimitedMari Petroleum Company LimitedPakistan Petroleum LimitedPioneer Cement Limited

6.62%6.06%5.05%4.91%4.49%4.36%4.09%3.35%3.15%3.15%

18.01%11.88%10.09%9.44%8.97%17.89%

CementFertilizerChemicalTechnology & CommunicationOil & Gas Exploration CompaniesOthers

14.42%12.15%14.86%6.05%9.86%28.63%

4.57%

1.10%

4.57%

AAAAA+AAAA-A+ANR (Include Equity Investments)

1.53%

1.45%

1.53%

0.12%3.53%2.48%9.27%0.00%0.00%

84.60%


During June-20, your fund posted a return of 1.10% against its benchmark of 1.45%. During the month under review your fund exposure was decreased from 85.97% to 78.10%. During this period overweight stance relative to KSE-100 was taken on Chemical, Technology & Communication and cement sector whereas, underweight stance was taken on, Fertilizer and Oil & Gas Exploration Companies.

The objective of Faysal Stock Fund (FSF) is to provide capital growth by investing primarily in a diversified pool of equities and equity related investments. So as to diversify fund risk and to optimize potential returns.



A.F. Ferguson & Co.

Net Assets (PKR mn)

KSE 100 index



4.99%4.99%

TOP TEN HOLDINGS (% OF TOTAL ASSETS)

FY16FY17FY18FY19

4.57%

1.53%

FY20





Upto 2% of Average Annual N.A. (Actual Rate of Management Fee Charged is 1%)




June’20

Othersincluding


15.40%

Equities78.10%

Othersincluding

Receivables,0.77%

May’20

Cash,16.95%

Equities82.28%

Fund Type

Category

Launch Date

Risk Profile

Custodian/ Trustee

Auditor

Management Fee*

Back End Load

Front End Load

Minimum InvestmentPricing MechanismBenchmark

Dealing Days

Cut-Off Timing

AMC Rating

Leverage

Open Ended

Islamic Dedicated Equity SchemeHigh

January 2, 2020

CDC

NilUp to 3%

1%

PKR. 5,000/-Forward

Monday- Friday

9:00 am - 5:00 pm

AM278.09995.31

-0.06Nil

FUND INFORMATION

FY20 to Date

Month on Month

1 year trailing

Returns (%)FIDEFBenchmark

FUND RETURNS


FIDEF Benchmark(Absolute %) Holding Period


--

--

--

--

Faysal Islamic Dedicated Equity Fund

-20.97%1.01%

N/A

-20.38%-0.32%

N/A

The investment objective of the Fund is to seek long term capital appreciation through investments in equity stock, fixed income, Money Market, bank deposits primarily from the financial sector/segment/industry and any other instrument as defined in Constitutive documents.


A.F. Ferguson & Co.


FY16FY17FY18FY19-20.97%-20.38%

FY20

Nav per Unit (PKR)

Nav Assets (PKR mn)Net Assets(PKR mn) excluding FoF



4.49%

2.21%






Engro Corporation LimitedLucky Cement LimitedPakistan Petroleum LimitedMari Petroleum Company LimitedOil & Gas Development Company LimitedMaple Leaf Cement Factory LimitedDescon Oxychem LimitedD.G. Khan Cement Company LimitedThe Hub Power Company LimitedCherat Cement Company Limited

9.13%7.23%5.64%5.22%4.59%3.90%3.87%3.22%2.80%2.66%

Top Ten Holdings (% of Total Assets)

During June-20, your fund posted a return of 1.01 % against its benchmark return of -0.32%. During this period your fund exposure was decreased from 82.28% to 76.49%.

The Scheme has maintained provisions against Sindh Workers' Welfare Fund liability to the tune of Rs. 0 as at June 30, 2020. If the same were not made the NAV per unit / return of the Scheme would have been higher by Rs. 0.00 (0.00%). For details investors are advised to read the Note 10.1 of the latest financial statements for the quarter ended March 31, 2020.

AA+AANR

0.65%22.17%77.18%

Asset Quality (% OF TOTAL ASSETS)

KMI 30 Index

May’20June’20Oil & Gas Exploration CompaniesCementFertilizerChemicalPharmaceuticalsOthers

17.84%17.14%9.33%8.25%5.45%6.64%

21.39%17.83%9.32%11.08%6.05%16.61%

Upto 2% of Average Annual N.A. (Actual Rate ofManagement Fee Charged is 1%)



Non-Compliance Disclaimer: Faysal Islamic Dedicated Equity Fund holds below mentioned non-compliant cash and cash equivalent. Before making any investment decision, investors should review this document and latest Financial Statements.


0%-30% 36.00%Cash and cash equivalent* Cash and Cash Equivalent between 0-30% has to be maintained based on quarterly average investment calculated on daily basis.


70%-100% 65.00%*Investment in shariah compliant listed equity securities has to be maintained between 70% to 100% based on quarterly average investment calculated on daily basis.

Othersincluding

Receivables,0.69%

June’20

Cash,22.82%

Equities76.49%

Investment in Shariah Equities

Cash5.82%

IslamicMoneyMarket

Scheme42.24%

Othersincluding

Receivables,0.08%

May’20

IslamicDedicated

EquityScheme,23.81%

SovereignIncome

Scheme,28.04%

Mr. Khaldoon Bin LatifMr. Ayub KhuhroMr. Faisal Ali KhanSyed Shahid IqbalMr. Khurram M. Arif, CFAMr. Muhammad Akbar Latif KhanMr. Khurram SalmanMr. Mohammad Qasim

Chief Executive OfficerChief Investment OfficerCFO and Company SecretarySr. Fund Specialist - Fixed IncomeFund Specialist - EquitiesHead of ResearchHead of Compliance and Internal AuditHead of Risk

INVESTMENT COMMITTEEJS Cash FundFaysal Islamic Dedicated Equity FundFaysal Government Securities FundFaysal Money Market Fund

41.81%34.33%21.69%1.14%




1.03%

0.55%



Fund Type

Category

Launch Date

Risk Profile

Custodian/Trustee

Auditor

Management Fee

Front End Load

Contingent Load

Minimum Investment

Pricing Mechanism

Benchmark

Dealing Days

AMC RatingNAV per Unit (PKR)Net Asset s (PKR mn)Leverage

Open Ended

Fund of Funds SchemeMedium

December 19, 2019 CDC

1% on AUM or if investment made in CIS Underlying Fundfee will be applicable.(Actual Rate of Management FeeCharged is 0.42%)

Up to 3%

PKR 1,000/-

Forward

Monday-Friday

9:00 am - 5:00 pm

AM2

106.21

739.32Nil

FUND INFORMATION

FY20 to Date

Month on Month

1 year trailing

Returns (%)FAPPPBenchmark

FUND RETURNS


FAPPP Benchmark(Absolute %) Holding Period


--

--

--

--

Faysal Active Principal Preservation Plan

6.65%1.65%

N/A

2.83%0.90%

N/A

Faysal Active Principal Preservation Plan yielded cumulative return of 6.65% on FYTD basis relative to its benchmark of 2.83%. During the month your fund invested 42.96% in money market scheme and 34.33% in Islamic Dedicated Equity Scheme whereas the maximum and minimum multipliers stood at 2.0x to 3.0x. Going forward, fund management will allocate the funds in different high yielding avenues.

The Scheme has maintained provisions against Sindh Workers' Welfare Fund liability to the tune of Rs. 0 as at June 30, 2020. If the same were not made the NAV per unit / return of the Scheme would have been higher by Rs. 0.00 (0.00%). For details investors are advised to read the Note 10.1 of the latest financial statements for the quarter ended March 31, 2020.

The “Faysal Active Principal Preservation Plan” is an Allocation Plan under “Faysal Financial Planning Fund” with an objective to earn a potentially competitive return through dynamic asset allocation between Sovereign income/Money market, equity Collective Investment Scheme and Banks deposit by using CPPI methodology, while aiming to providing Principal Preservation of the InitialInvestment Value at maturity of the plan based on the Fund Manager’s outlook on the assets classes.


A.F. Ferguson & Co.


FY16FY17FY18FY196.65%2.83%

FY20

70% three (3) months PKRV rates + 30% Three (3) months average deposit rates of three (3) AA rated Banks as selected by MUFAP”), “Six (6) months PKRV rates” and “KSE-100 Index or KMI-30 Index” on the basis of actual proportion held by the plan in money market, sovereign income and equity schemes/ money market component.

(UNDER FAYSAL FINANCIAL PLANNING FUND)

For First Year 2%For Second Year 1%

Cut-Off Timing

Cash0.96%

MoneyMarket

Scheme42.96%

Othersincluding

Receivables,0.05%

June’20

IslamicDedicated

EquityScheme,34.33%

SovereignIncome

Scheme,21.69%

Cash,71.01%

IslamicEquity

Scheme,28.00%

Othersincluding

Receivables0.99%

June’20

Fund TypeCategory



Management Fee

Front end Load

Contingent Load

Min SubscriptionPricing Mechanism

Benchmark*

Dealing DaysCut-Off TimingAMC RatingNAV per Unit (PKR)Net Assets (PKR mn)Leverage

Open EndedShariah Compliant Fund of Funds - CPPIMediumJuly 09, 2019

CDC

1.5% on AUM or if investment made in CIS Underlying Fund fee will be applicable. (Actual Rate of Management Fee Charged is 1.45%)

Up to 3%For First Year 2%For Second Year 1%

PKR. 1,000Forward

Monday-Friday9:00 am - 5:00 pmAM2102.04961.98Nil

FUND INFORMATION

FY20 to Date

Month on Month

1 year trailing

Returns (%)FSCPPBenchmark

FUND RETURNS


FSCPP Benchmark(Absolute %) Holding Period


--

--

--

--

Faysal Sharia Capital Preservation Plan

5.39%0.58%

N/A

5.91%0.26%

N/A

Faysal Shariah Capital Preservation Plan (FSCPP) yielded cumulative return of 5.39% on FYTD basis relative to its benchmark of 5.91%. At the month end, your fund invested 71.01% in cash whereas exposure in sharia compliant equity scheme stood at 28% with maximum and minimum multiplier of 5.0x . Going forward, fund management will allocate the funds in different high yielding avenues.

The “Faysal Sharia Capital Preservation Plan” is an Islamic Plan under “Faysal Sharia Planning Fund” with an objective to earn a potentially competitive return through dynamic asset allocation between Islamic income/Money market, Islamic equity Collective Investment Scheme and Islamic Banks deposit by using CPPI methodology, while aiming to providing Capital Preservation of the Initial Investment Value at maturity of the plan based on the Fund Manager’s outlook on the assets classes.


A.F. Ferguson & Co.


FY16FY17FY18FY195.39%5.91%

FY20

(UNDER FAYSAL SHARIA PLANNING FUND)

Weighted average return of KMI 30 index and 6-months deposit rate of (Three)3 A rated Scheduled Islamic Banks or Islamic window of conventional banks

* Based on actual proportion of investment in Islamic Equity,Islamic Income/Money Market Scheme and bank deposit made by the allocation plan.



1.63%1.59%


Faysal Islamic Dedicated Equity Fund-

28.00%-

Top Portfolio Holdings (% of Total Assets) Mr. Khaldoon Bin LatifMr. Ayub KhuhroMr. Faisal Ali KhanSyed Shahid IqbalMr. Khurram M. Arif, CFAMr. Muhammad Akbar Latif KhanMr. Khurram SalmanMr. Mohammad Qasim





Cash,0.85%

IslamicMoneyMarket

Scheme,68.33%

IslamicEquity

Scheme,29.72%

Othersincluding

Receivables1.09%

May’20

Cash,79.61%

IslamicEquity

Scheme,19.84%

Othersincluding

Receivables0.54%

June’20

1.5% on AUM or if investment made in CIS Underlying Fund fee will be applicable. (Actual Rate of Management Fee Charged is 0.95%)

Fund TypeCategory



Management Fee

Front end Load

Contingent Load


Benchmark*


Open EndedShariah Compliant Fund of Funds - CPPIMediumSeptember 27, 2019

CDC


PKR. 1,000Forward

Monday-Friday9:00 am - 5:00 pmAM2103.281,088.40Nil

FUND INFORMATION

FY20 to Date

Month on Month

1 year trailing

Returns (%)FSCPP-IIBenchmark

FUND RETURNS


FSCPP-II Benchmark(Absolute %) Holding Period


--

--

--

--

Faysal Sharia Capital Preservation Plan-II

3.28%0.42%

N/A

5.28%0.34%

N/A

Faysal Shariah Capital Preservation Plan (FSCPP-II yielded cumulative return of 3.28% on FYTD basis relative to its benchmark of 5.28%. At the month end, your fund invested 79.61% in cash whereas exposure in sharia compliant equity scheme stood at 19.84% with maximum and minimum multiplier of 1.6x and 2.3x respectively. Going forward, fund management will allocate the funds in different high yielding avenues.

The “Faysal Sharia Capital Preservation Plan-II” is an Islamic Plan under “Faysal Sharia Planning Fund” with an objective to earn a potentially competitive return through dynamic asset allocation between Islamic income/Money market, Islamic equity Collective Investment Scheme and Islamic Banks deposit by using CPPI methodology, while aiming to providing Capital Preservation of the Initial Investment Value at maturity of the plan based on the Fund Manager’s outlook on the assets classes.


A.F. Ferguson & Co.


FY16FY17FY18FY193.28%5.28%

FY20

(UNDER FAYSAL SHARIA PLANNING FUND)

Weighted average return of KMI 30 index and 6-months deposit rate of (Three) 3 A rated Scheduled Islamic Banks or Islamic window of conventional banks

* Based on actual proportion of investment in Islamic Equity,Islamic Income/Money Market Scheme and bank deposit made by the allocation plan.



1.46%1.10%

The Scheme has maintained provisions against Sindh Workers' Welfare Fund liability to the tune of Rs. 758,304 as at June 30, 2020. If the same were not made the NAV per unit / return of the Scheme would have been higher by Rs. 0.07 (0.07%). For details investors are advised to read the Note 10.1 of the latest financial statements for the quarter ended March 31, 2020.


19.84%-







Cash,0.31%

IslamicMoneyMarket

Scheme,84.41%

IslamicEquity

Scheme,14.20%

Othersincluding

Receivables1.08%

May’20

Cash,79.88%

IslamicEquity

Scheme,19.67%

Othersincluding

Receivables0.45%

June’20


19.67%-


1% per annum of average daily Net Assets.(Actual Rate of Management Fee Charged is 0.81%)

Fund TypeCategory



Management Fee

Front end Load

Contingent Load


Benchmark*


Open EndedShariah Compliant Fund of Funds - CPPIMediumMarch 30, 2020

CDC


PKR. 1,000Forward

Monday-Friday9:00 am - 5:00 pmAM2101.481,249.65Nil

FUND INFORMATION

FY20 to Date

Month on Month

1 year trailing

Returns (%)FSCPP-IIIBenchmark

FUND RETURNS


FSCPP-III Benchmark(Absolute %) Holding Period


--

--

--

--

Faysal Sharia Capital Preservation Plan-III

1.88%0.43%

N/A

4.14%0.33%

N/A

Faysal Shariah Capital Preservation Plan (FSCPP-III) yielded cumulative return of 1.88% on FYTD basis relative to its benchmark of 4.14%. At the month end, your fund invested 79.88% in cash whereas exposure in sharia compliant equity scheme stood at 19.67% with multiplier of and 1.5x to 1.9x respective-ly. Going forward, fund management will allocate the funds in different high yielding avenues.

The “Faysal Sharia Capital Preservation Plan-III” is an Islamic Plan under “Faysal Islamic Financial Planning Fund” with an objective to earn a potentially competitive return through dynamic asset allocation between Shariah Compliant income/Money market component, Shariah Complaint equity Collective Investment Scheme and Islamic Banks deposit by using CPPI methodology, while aiming to providing Capital Preservation of the Initial Investment Value at maturity of the plan based on the Fund Manager’s outlook on the assets classes.


A.F. Ferguson & Co.


FY16FY17FY18FY191.88%4.14%

FY20

(UNDER FAYSAL ISLAMIC FINANCIAL PLANNING FUND)

Weighted average return of KMI 30 index and 6-months deposit rate of (Three) 3 A rated Scheduled Islamic Banks or Islamic window of conventional banks as selected by MUFAP.

* Based on actual proportion of investment in Shariah Compliant Equity, Sharia Compliant Income/Money Market Scheme and bank deposit made by the allocation plan.



1.46%0.36%

The Scheme has maintained provisions against Sindh Workers' Welfare Fund liabilty to the tune of Rs. 356,996 as at June 30, 2020. If the same were not made the NAV per unit / return of the Scheme would have been higher by Rs. 0.03 (0.03%). For details investors are advised to read the Note 6.1 of the latest financial statements for the quarter ended March 31, 2020.






-Selling and Marketing Expenses

Cash,0.96%

IslamicMoneyMarket

Scheme,82.66%

IslamicEquity

Scheme,15.73%

Othersincluding

Receivables0.65%

May’20

142.46%358.58%

157.55%230.54%

-4.02%14.45%

160.37%398.01%

151.22%260.75%

18.10%32.10%

197.60%484.27%

162.95%335.53%

10.30%10.68%

8.59%7.24%

10.42%10.35%

8.97%8.32%

7.87%7.68%

5.96%5.51%

9.81%10.32%

8.18%6.72%

10.01%9.96%

8.70%7.88%

7.21%7.28%

6.05%5.80%

9.45%10.03%

7.75%6.23%

9.57%9.65%

8.26%7.56%

6.74%7.09%

5.91%5.99%

10.20%11.33%

9.30%7.89%

10.46%11.32%

9.89%9.23%

9.12%8.96%

10.39%11.10%

9.12%7.68%

10.72%10.79%

9.64%8.93%

8.26%8.59%

10.50%11.74%

10.20%8.42%

11.04%11.82%

11.09%10.08%

10.37%11.51%

9.72%8.14%

10.70%11.54%

10.41%9.49%

10.06%11.34%

9.04%7.70%

11.02%11.32%

10.00%11.66%

9.68%8.27%

11.02%11.72%

11.20%10.18%

10.12%10.08%

10.19%9.76%

9.81%11.07%

11.04%10.95%

102.33%307.91%

121.72%191.38%

48.06%152.65%

57.57%66.46%

76.42%230.21%

89.49%123.77%

41.25%87.36%

30.70%24.07%

55.35%126.41%

57.60%49.13%

52.35%80.25%

15.79%50.64%

FMTSF

FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY189.33%10.08%

7.76%5.98%

9.42%9.69%

8.33%7.69%

7.08%7.61%

6.68%7.03%

FY19

Benchmark

Benchmark

Benchmark

Benchmark

Benchmark

Benchmark

Benchmark

Benchmark

Benchmark

FY08 FY09 FY10 FY11SINCE INCEPTION HISTORICAL RETURNS (ABSOLUTE %)

FY12 FY13 FY14 FY15 FY16 FY17

-5.26%25.15%

143.12%425.87%

106.06%310.31%

FY18

-23.69%8.67%

74.46%325.37%

62.86%280.26%

FY20

FY20

FY19

FHAFBenchmark

FGSFBenchmark

Benchmark

Benchmark

Benchmark

Benchmark

Benchmark

Benchmark

6.18%9.86%

10.42%9.39%

FY077.73%9.34%

FY06

52.49%84.86%

FY0725.86%34.08%

FY06

SINCE INCEPTION HISTORICAL RETURNS (ANNUALIZED %)



FSF

FSCPP

FSCPP II

FSCPP III

FAPPP

FFVF

FIDEF

Karachi92 21 11132972592 21 38657800

Lahore92 42 35787836

Islamabad92 51 5562167/74

Faysal Asset Management Ltd.West Wing, 7th floor, Faysal House, ST- 02,Shahrah-e-Faisal, Karachi-Pakistan.

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Rating by VIS

AM2

9.45%10.23%

8.02%6.01%

9.58%9.87%

8.75%8.08%

7.89%8.26%

7.93%8.05%

11.75%5.36%

10.90%8.73%

82.44%331.90%

65.85%303.12%

-15.38%13.54%

5.39%5.91%

3.28%5.28%

1.88%4.14%

6.65%2.83%

6.57%6.56%

-20.97%-20.38%

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Faysal Asset Management Ltd.West Wing, 7th floor, Faysal House, ST- 02,Shahrah-e-Faisal, Karachi-Pakistan.

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Documents

Faysal Sharia Capital Preservation Plan-IV · 2020. 8. 12. · FUND MANAGER’S REPORT JUNE Risk Disclosure: Rating by VISAll investments in mutual fund are subject to market risks