Investment Objective
The objective of the Alhamra Islamic Asset Allocation Fund is to provide medium to long term capital appreciation through investing in Shariah compliant investments in Pakistan and internationally.
Alhamra Islamic Asset Allocation Fund Profile
Alhamra Islamic Asset Allocation Fund (ALHAA) is an Open-end Shariah Compliant (Islamic) Asset Allocation scheme, which seeks to achieve its objective through investing in a portfolio of Shariah compliant investments diversified across the capital markets of Pakistan as well as keeping a limited exposure internationally. The fund is managed through an active management strategy with dynamic allocations towards different asset classes.
The investment process is driven by fundamental research. The domestic portfolio of the Alhamra Islamic Asset Allocation Fund primarily invests in fundamentally strong Shariah compliant equities, while some portion of the fund is also allocated towards high quality Sukuks and other types of Shariah compliant instruments offering higher comparative returns. For equities investment, fundamental outlook of sectors/companies and DCF (discounted cash flow) valuations are the primary factors in sectors’ allocation and stock selection. Major portion of the fund’s portfolio is high quality liquid stocks. International investments up to 30% of the net assets are made in Shariah compliant mutual funds investing into various world markets. Allocation in various international mutual funds is decided on the basis of economic and capital market outlook for major world economies and track record of the fund managers.