Karachi: The Board of Directors of NBP Fund Management Limited has released the unaudited Condensed Interim financial statements for the NBP Islamic Money Market Fund (NIMMF) for the quarter ending September 30, 2026. The report, dated November 3, 2026, highlights significant growth in fund size and a solid return performance.

The NBP Islamic Money Market Fund experienced a substantial 39% increase in size, growing from Rs. 58,672 million to Rs. 81,595 million over the quarter. This period also saw the unit price of the Fund rise from Rs. 10.1969 on June 30, 2026, to Rs. 10.4801 by September 30, 2026, reflecting an annualized return of 11.02%. This performance surpasses the benchmark return of 10.02%, with returns calculated net of management fees and other expenses.

NIMMF, a Shariah Compliant Money Market Fund, maintains a stability rating of 'AA (f)' as assigned by PACRA. The Fund's strategy is to outperform the profit rates offered by Islamic Banks and Islamic windows of commercial banks. It adheres to a stringent investment policy, requiring a minimum eligible rating of AA and prohibiting any investments in securities with maturities exceeding six months. The Fund's weighted average time to maturity remains below 90 days to ensure liquidity and maintain a high-quality credit profile.

During the first quarter of the fiscal year 2027, yields on government securities showed an upward trend, particularly towards the quarter's end, driven by ongoing inflationary pressures and escalating external uncertainties. According to information available from the Pakistan Stock Exchange (PSX), Shariah-compliant government securities were actively issued, with short-term Sukuk yields rising from approximately 11.30%-11.84% in July to about 11.68%-12.49% by the final auction in September.

The Fund reported a total income of Rs. 2,179.34 million for the period. After accounting for total expenses amounting to Rs. 72.87 million, the net income stood at Rs. 2,106.47 million. The asset allocation within NIMMF includes Cash Equivalents & Other Net Assets (AA+) at 33.98%, Gop Ijara Sukuks at 4.70%, Corporate Sukuks Certificates at 9.32%, Term deposit receipts short term at 12.38%, Certificate of Islamic Investments at 2.45%, and Bai Moajjal at 37.17%.

NIMMF continues to demonstrate robust performance, leveraging its strategic focus on high-quality, short-term Shariah-compliant securities to navigate the current economic landscape effectively.