VIS reaffirms FSR of HBL Money Market Fund

KARACHI:VIS Credit Rating Company Limited has reaffirmed the Fund Stability Rating (FSR) of HBL Money Market Fund at double A (f)). The previous rating action was announced on Dec. 26, 2018.

HMMF is an open ended fund which offers high liquidity by investing in shorter duration securities. By the end of fiscal year 2018-19, the net assets of the funds declined to Rs 6.2 billion from Rs 7.2 billion of fiscal year 2017-18 on account of higher redemptions, said press release on Monday.

However, the asset base of the fund recouped and increased to Rs 9.2 billion at end of Nov.2019. Assigned ratings take into account asset allocation in highly liquid investments and exposure in sound credit quality instruments.

Moreover, during fiscal year 2018-19 modified duration of the fund remained within the required stipulations for the assigned ratings indicating limited exposure to market risk.