Karachi: The Board of Directors of NBP Fund Management Limited has released the unaudited Condensed Interim financial statements for the NBP Islamic Savings Fund (NBP-ISF) for the quarter ending September 30, 2026, revealing a decrease in the fund's size in the face of rising government securities yields.

According to information available from the Pakistan Stock Exchange (PSX), the fund experienced an 8% decrease in its size, from Rs. 7,852 million to Rs. 7,205 million, during the quarter. This change occurred amid an upward trend in government securities yields, with Shariah-compliant government securities showing significant activity through the Pakistan Stock Exchange (PSX). Short-term Sukuk yields increased from around 11.30%-11.84% in July to approximately 11.68%-12.49% by the end of September.

NBP-ISF, classified as an Islamic Income Scheme, maintained a stability rating of 'AA- (f)' from PACRA, indicating a strong capacity to uphold relative return stability with minimal risk exposure. The fund's objective remains to offer returns superior to those of profit rates by Islamic Banks or Islamic windows of commercial banks, with the added benefits of easy liquidity and a solid credit profile.

The fund's unit price saw an increase from Rs. 9.6202 as of June 30, 2026, to Rs. 9.8617 by September 30, 2026, reflecting an annualized return of 9.96%, outpacing its benchmark return of 9.46%. This performance is reported net of management fees and other expenses.

The total income accrued by the fund during the quarter amounted to Rs. 227.24 million. After accounting for expenses totaling Rs. 31.48 million, the net income stood at Rs. 195.76 million. The asset allocation of NBP-ISF at the end of the quarter was comprised of 51.34% in Cash Equivalents & Other Net Assets (A+), 13.59% in Certificate of Musharka, 13.77% in Sukuks Certificates, and 21.30% in Boi-Muajjal.