Lahore –– The Pakistan Credit Rating Agency (PACRA) has assigned a “Positive Outlook” to asset manager rating of „AM3-‟ (AM Three Minus) of Habib Asset Management Limited (HAML).
The rating reflects HAML’s qualified management team, and adequately structured investment process given the size of funds and scale of operations. The rating incorporates HAML’s association with a leading commercial bank, Bank AL Habib Limited, though the benefits that may accrue in terms of expansion in size are yet to happen. The company has taken various steps to improve efficacy of business functions such as risk management and investor services platform by deploying requisite resource. However, unit holder concentration in AUM is still high.
The positive outlook reflects the management’s initiative to diversify its fund slate by launching new funds (First Habib Cash Fund, launched in Mar11 and another fund in pipeline) in line with changing dynamics of the industry. The management’s ability to effectively execute its business plan, while improving its market standing, would remain critical.