KARCHI: Assets Under Management (AUMs) for the Open End Mutual Fund Industry increased by 4.6 percent to Rs 569 billion as at January 2019, driven by growth in equity funds due to equity market performance.
AUM’s for Conventional and Shariah Compliant Equity Funds stood at Rs 137 billion and Rs 70 billion, up 8.1 percent and 10.5 percent, respectively. Liquidity position (including investment in T-Bills) for both the categories combined declined from Rs15.2 billion to Rs 14 billion. [the_ad id=”32940″]“Looking at the stock wise exposure, Conventional Equity Funds were most concentrated in Bank Alfalah (BAFL), United Bank (UBL) and Habib Bank Limited (HBL) – HBL has replaced Engro Corporation (ENGRO) to qualify amongst the most crowded bets likely due to relative price performance,” Syed Tahseen at Elixir Securities said.
Within Shariah Compliant Equity Funds, Pakistan Oilfields Limited (POL), Oil & Gas Development Company (OGDC), and Hub Power Company (HUBC) were the most common bets – the most notable jump was witnessed in the ranking for POL.
KSE-100/KSE-30 indices surged by 10.1 percent and 14 percent during January 2019 while simple average return for Conventional Equity Funds stood at 10 percent.
Similarly, Shariah Compliant Equity Funds returned an average of 8.6 percent, compared to a return of 11.6 percent posted by KMI-30 during January 2019.
“During the outgoing month, Mutual Funds bought shares worth $17 million with buying concentrated in E&P, Cement and OMC sectors,” Syed Tahseen at Elixir Securities said.