MSF 12/12

PRODUCT FEATURES:

  • Capital Protection (Net Realizable Value of investment should not fall below the Initial Investment Value) is provided if the investment is held to maturity i.e. till 31st December 2012 as the underlying assets are government securities which are sovereign instruments and have no credit risk attached to them therefore, ensuring preservation of initial investment amount.
  • Collection Period, for purpose of capital protection ending on 31st May 2011.
  • Investors holding the investments on 1st June 2011 and continue to hold to maturity of the Sub-scheme would enjoy the Capital Protection offer.
  • Investment in MSF 12/12 is tax free [from deduction of Capital Gains Tax (CGT) if held for more than 12 months (1 year)].
  • No minimum holding period – so investments can be encashed (redeemed) anytime.
  • Managed by Arif Habib Investments with one of the highest Management Quality Rating of AM2 (Positive Outlook) by PACRA which denotes that the company meets very high investment management industry standards and benchmarks

Who should invest?

The investment is ideal for those investors who would like to lock in a fairly high level of interest rate on short to medium term government paper.

Why MSF 12/12?

  • 100% Protection of invested principal (provided investment is held to maturity)
  • High credit quality of portfolio
  • Investment made will be in Pakistan Investment Bonds and Treasury Bills only
  • No back-end charges

INVESTMENT POLICY & RESTRICTIONS:

The MSF-12/12 invests in a portfolio of Pakistan Rupee-denominated bonds and debt securities issued by the government of Pakistan which have maturities on or before 31stDecember 2012, Reverse Repurchase transactions (Reverse-REPOs) in government securities and any otherwise un-invested funds in deposits with banks or financial institutions with credit rating of at least ‘AA-’.

MSF 12/12 will not at any time:

Invest in anything other than Authorized Investments.

Make short sales of any security or maintain a short position.

Invest in any security with maturity after 31stDecember 2012.

The fund can be invested up to 100% in government bonds.

Attributes / Details
Asset Manager Rating / AM2 (with Positive Outlook) by PACRA
Front-End Load / Nil
Back-end load / Nil
Management Fee / Lower of 1.5% of net assets or 10% of operating revenue, subject to a minimum of 0.5% of Net Assets
Distribution Method / Cash Dividend / Bonus Units (as decided by Management Company)
Cut-off Time (on each Business Day) / Before 5.00pm, Monday to Friday; Before 1.00pm on Saturdays
Daily Prices / Daily on AHI & MUFAP’s websites, next day in newspapers.
Pricing mechanism / Forward pricing
Par Value / PKR 50.00

Disclosures

  • SCBPL refers to Standard Chartered Bank (Pakistan) Limited, a banking company incorporated under the laws of Pakistan and having its registered office at Standard Chartered Building, I.I. Chundrigar Road, Karachi.
  • MSF 12/12 is an investment product owned and subject to Terms and Conditions set by Arif Habib Investments.
  • MSF 12/12 is only the name of the product and does not, in any way, indicate the quality of the product and its future returns.
  • SCBPL is acting as the distributor of MSF 12/12 on behalf of Arif Habib Investments and shall not be held responsible in any manner whatsoever to any person, including but not limited to the customer(s), beneficiary or third party.
  • All investments in mutual funds and securities are subject to market risk. Past performance is not necessarily indicative of future results. Please read the relevant Offering Document for understanding the investment policies, risks involved and Taxation Policy.