Karachi: The NBP Government Securities Liquid Fund, managed by NBP Fund Management Limited, has reported a notable decrease in income for the fiscal year ending June 30, 2026, as detailed in its annual report released on October 1, 2026. The fund's total income for the year stood at 899.45 million rupees, a significant move down from the previous year's income of 2.01 billion rupees.

The decline in income can be largely attributed to a substantial decrease in income on government securities, which fell to 677.09 million rupees from the previous year's 1.87 billion rupees. Interest income on bank balances, however, showed an increase, rising to 178.08 million rupees from 101.66 million rupees in the prior year.

The fund's expenses also saw a decrease, totaling 119.04 million rupees compared to 186.93 million rupees in the previous year. Notably, the remuneration of the NBP Fund Management Limited, the Management Company, decreased to 91.20 million rupees from 115.20 million rupees.

According to information available from the Pakistan Stock Exchange (PSX), the net income for the year before taxation amounted to 780.41 million rupees, down from 1.82 billion rupees recorded in the previous year. Despite the decrease, the fund did not incur any taxation expenses.

The net income for the year after taxation remained at 780.41 million rupees, reflecting the fund’s ability to manage its tax liabilities effectively. This income was allocated with 99.20 million rupees available for distribution, excluding any capital gains, down from 271.20 million rupees the previous year.

The report highlights the challenges faced by the fund amid market fluctuations, with a net realized loss on the sale of investments amounting to 255,000 rupees, a stark contrast to the gain of 20.08 million rupees last year. Similarly, the net unrealized diminution on re-measurement of investments classified as financial assets 'at fair value through profit or loss' was a minor move down to 262,000 rupees from an appreciation of 639,000 rupees in the prior year.

This financial performance outlines the broader market conditions impacting fund returns, while also reflecting strategic financial management aimed at mitigating potential losses.