Pakistan: NAFA Active Allocation Riba Free Savings Fund Report - March 2017

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1. Capital Markets Review NAFA Active Allocation Riba Free Savings Fund (NAARFSF) March 2017 Unit Price (31/03/2017): 10.2676 Performance Period Mar 2017 FYTD 2017 Trailing 12 months Apr 16 - Mar 17 Since Launch* January 18, 2016 NAFA Active Allocation Riba Free Savings Fund 3.7% 3.7% 3.8% 4.0% 2.8% 3.3% 3.7% 3.8% *Annualized Return Based on Morning Star Methodology All other returns are Annualized Simple Return Launch Date: Fund Size: Type: Dealing Days: Dealing Time: Settlement: Pricing Mechanism Load: Management Fee: Total Expense Ratio: Risk Profile: Fund stability rating Listing: Custodian & Trustee: Auditors: Benchmark:** Fund Manager: Minimum Subscription Asset Manager Rating: The performance reported is net of management fee & all other expenses and based on dividend reinvestment gross of with-holding tax where applicable. January 18, 2016 Rs. 946 million Open-end – Shariah Compliant Income Fund Daily – Monday to Friday (Mon - Thr) 9:00 A.M to 5:00 P.M (Friday) 9:00 A.M to 5:30 P.M 2-3 business days Forward Pricing Front end: 0% Back end: 0% 1.25% per annum 2.06% p.a. (including 0.37% government levies) Low "A-(f)" by PACRA Pakistan Stock Exchange Central Depository Company (CDC) A. F. Ferguson & Co. Chartered Accountants 6-month average deposit rates of three A rated Islamic Banks/Islamic windows of conventional banks as selected by MUFAP Muhammad Ali Bhabha, CFA, FRM Rs. 10,000/AM2++ by PACRA (High Investment Management Standards) ** effective from September 01, 2016; Previously Average of 6-Month deposit rates (A- & above rated Islamic banks) Asset Allocation (% of Total Assets) Bank Deposits Others including receivables Total Leverage 31-Mar-17 99.1% 0.9% 100.0% Nil 28-Feb-17 98.7% 1.3% 100.0% Nil Sindh Workers' Welfare Fund (SWWF) The scheme has maintained provisions against Sindh Workers' Welfare Fund's liability to the tune of Rs. 666,870/-. If the same were not made the NAV per unit/last one year return of scheme would be higher by Rs. 0.0072/0.07%. For details investors are advised to read note 10 of the Financial Statements of the Scheme for the half year ended December 31, 2016. To earn a reasonable rate of return along with a high degree of liquidity by investing in short-term Shari’ah compliant banks deposits and money market/debt securities. During the month under review, the Fund has generated an annualized return of 3.7% against the benchmark return of 2.8%. The performance is net of management fee and all other expenses. The Fund aims to consistently generate to better return than the profit rates offered by Islamic Banks / Islamic windows of commercial banks, while also providing easy liquidity along with a high quality credit profile. The Fund is allowed to invest in shariah compliant Government Securities of maturity up to 3 years as well as Shariah compliant money market and debt securities of up to 2 years maturity rated AA- or better. Around 100% of net assets of the portfolio are allocated in bank deposits. The higher allocation in bank deposits is due to better yields as compared to other authorized alternative investment avenues. The weighted average time-to-maturity of the Fund is 1 day. We will rebalance the allocation of the Fund proactively based on the capital market outlook. Credit Quality of the Portfolio as of March 31, 2017 (% of Total Assets) AAA AA+ A+ AOthers including receivables Total 43.9% 2.1% 3.7% 49.4% 0.9% 100.0% Dr. Amjad Waheed, CFA Sajjad Anwar, CFA Muhammad Ali Bhabha, CFA, FRM Hassan Raza, CFA Notes: The calculation of performance does not include cost of front end load. 2) Taxes apply. Further, tax credit also available as per section 62 of the Income Tax Ordinance, 2001. 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 in mutual funds are subject to market risks. Past performance is not necessarily indicative of future results. Please read the Offering Document to understand investment policies and the risks involved.