Karachi: The Board of Directors of NBP Fund Management Limited has released the unaudited condensed interim financial statements for the NBP Income Opportunity Fund (NIOF) for the quarter ending September 30, 2026. The data, disclosed in the report dated November 3, 2026, reveals significant movements in the fund's performance and asset allocation.

During the first quarter of the fiscal year 2027, the yields on government securities exhibited an upward trajectory, particularly towards the end of the quarter, as inflationary pressures persisted alongside heightened external uncertainties. The State Bank of Pakistan conducted six T-Bill auctions between July and September 2026, with cut-off yields across tenors from 1-month to 12-months ranging between 11.25% and 12.35%. The yields were relatively stable in July but began to rise through August and September, reaching 12.45% and 12.49% for the 6-month and 12-month tenors, respectively, by the end of the quarter. Fixed-rate PIBs also experienced upward yield adjustments, with cut-off yields climbing to 12.40% for the 2-year, and 12.49% for both the 3-year and 5-year, with the 10-year tenor reaching 12.50% in September.

According to information available from the Pakistan Stock Exchange (PSX), the NBP Income Opportunity Fund, categorized as an Income Scheme, holds a stability rating of 'A+ (1)' by PACRA. Notably, the fund's size decreased by a significant 8%, dropping from Rs. 9,691 million to Rs. 8,900 million over the quarter. However, the unit price of the fund rose from Rs. 10.9428 on June 30, 2026, to Rs. 11.2191 on September 30, 2026, reflecting a return of 10.02% per annum, as opposed to the benchmark return of 11.16% per annum. These performance figures account for the deduction of management fees and all other expenses.

The Fund reported a total income of Rs. 275.46 million for the quarter. After total expenses amounting to Rs. 42.68 million were deducted, the net income stood at Rs. 232.78 million. The asset allocation of the NIOF as of September 30, 2026, was distributed as follows: TFC's/Sukuk at 11.10%, T-Bills (AAA) at 11.96%, Cash Equivalents & Other Net Assets (AA+) at 51.60%, PIB's (AAA) at 19.72%, and TDR at 5.62%.