Meezan Islamic Fund pays dividend of Rs. 10 per unit
The Board of Directors of Al Meezan Investments in its meeting held on July 7, 2008 announced distribution of dividends for its open end funds i.e., Meezan Islamic Fund(MIF), Meezan Islamic Income Fund (MIIF) for the year ended June 30, 2008.
According to the press release, the Board declared a distribution for Meezan Islamic Fund (MIF) of Rs. 10 per unit (i.e., 16.70% on the opening ex-div NAV of Rs. 59.89 and 20% on face value of Rs. 50 per unit). For Meezan Islamic Income Fund (MIIF) the Board also declared a final distribution of Rs. 1.35 per unit, in addition to an interim dividend of Rs. 3.25 per unit, making a total payout of Rs. 4.60 per unit. This translates to a return of 9.19% on the opening ex -div NAV of Rs. 50.03 and 9.2% on the face value of Rs . 50 per unit for the year ended June 30, 2008.
The declarations for MIF and MIIF are in the form of Bonus Units to the Growth Unit holders and Cash Dividend to the Income Unit holders. A Growth Unit holder of MIF having 100 units as on June 30, 2008 will get 19.98 additional units at the ex-div. NAV of Rs. 50.05, while an Income Unit holder will get Cash Dividend of Rs. 10 per unit. A Growth Unit holder of MIIF having 100 units as on June 30, 2008 will get 2.6994 additional units at the ex-div. NAV of Rs. 50.01, while an Income Unit holder will get Cash Dividend of Rs. 1.35 per unit.
Al Meezan Investments, rated AM2 by JCR-VIS, currently has 17.4 billion total net assets under management as compared to Rs. 12.2 billion as on June 30, 2007, which reflects a substantial increase of 42.62%. This success is reflective of the confidence and trust of both individual and institutional investors.
Meezan Islamic Fund (MIF) is Pakistan’s largest open end equity fund in the private sector and has been rated 5-Star by both PACRA and JCR-VIS for its superior performance relative to its peers. At the close of the financial year ended June 30, 2008, MIF, despite recent downturn of stock market, has been able to outperform KSE-100 Index by 11.04%. The net asset value of MIF has increased from Rs. 59.89 as on June 30, 2007 to Rs. 60.05 as on June 30, 2008 against a drop of 10.77% in KSE-100 index during the same period. Dow Jones Pakistan Islamic Index depicted a return of 0.92% during the same period. The net assets of MIF as on June 30, 2008 were Rs. 6,035 million as compared to Rs. 3,679 million as on June 30, 2007, reflecting a significant increase of 64%.
Meezan Islamic Income Fund (MIIF) is the first Shariah Compliant open end income fund in Pakistan. It has been assigned Fund Stability Rating A(f) by JCR-VIS. MIIF earned a total net income of Rs. 558 million which translates into an earnings per unit of Rs. 5/- on units outstanding as at the close of the business as at June 30, 2008. At the close of the financial year net assets of MIIF were Rs. 5,737 million as compared to Rs. 3,162 million last year showing a substantial increase of 81.44%.
Meezan Capital Protected Fund-I (MCPF-I), Pakistan’s first Shariah compliant capital protected fund was jointly launched with Meezan Bank in the month of May 2008 with the objective to provide long-term investment avenue to the investors who desire protection of their capital along-with potentially good returns of the stock market. The term of investment of this fund is three years and six weeks from the first day of IPO. Upon maturity on June 29, 2011, investors will get their principal amount along-with the profit earned. The subscription of this fund will remain open till July 31, 2008. No dividend payout for MCPF-I was declared by the Board.