Karachi: The JS Momentum Factor ETF, an open-end exchange-traded fund listed on the Pakistan Stock Exchange, experienced a significant downturn in September, according to the latest fund manager's report released on October 12, 2026. This report, reflecting the ETF's investment philosophy of tracking the JS Momentum Factor Index, highlighted a 6.30% decline in the fund's performance for the month, a big move in the market.
The ETF, which launched on January 7, 2022, reported net assets amounting to PKR 1,129.99 million. The fund's benchmark, the JS Momentum Factor Index, also saw a decrease in September, albeit a smaller one at 6.14%. According to information available from the Pakistan Stock Exchange (PSX), this resulted in a tracking difference of -0.16% for the ETF.
Despite the monthly decline, the fund has shown substantial growth since its inception, recording a cumulative return of 291.15%, although this lags behind the benchmark's return of 305.02%. The fund's average annual return stands at 33.41%, compared to the benchmark's 34.40%.
The ETF's sector allocation in September showed a strong emphasis on the refinery and cement sectors, which together accounted for 65.20% of its total assets. Top holdings included Pakistan Refinery Ltd. at 13.91% and National Refinery Ltd. at 13.59%. The fund’s investment strategy leverages momentum, focusing on stocks with rising share prices, and this quantitative approach is maintained and periodically updated in collaboration with the PSX.
With a high-risk profile and a management quality rating of AM1 by PACRA as of November 5, 2025, the ETF reported a total expense ratio of 2.55% for the month, including government levies and fees. The fund's monthly portfolio turnover ratio stood at 58.1%, with a beta of 1.0, indicating its volatility relative to the market.
As the ETF navigates a challenging market environment, the Management Company remains committed to its systematic, transparent investment methodology, ensuring that the fund’s performance aligns closely with the JS Momentum Factor Index, offering investors a calculated exposure to market momentum.