The investment objective of Meezan Fixed Term Fund (MFTF) is to earn potentially high returns through investment as per respective Allocation Plans by investing in Shariah Compliant Fixed Income instruments.
The allocation plans under this Fund shall primarily invest in Islamic government securities,cash in bank accounts, money market placements, deposits, certificate of deposits (COD), certificate of Musharakas (COM) and TDRs, as per their respective authorized investible avenues, and as approved by SECP & Shariah Advisor. The allocation plans under this Fund shall be subject to such exposure limits as are specified in the Rules, the Regulations and directives issued by SECP from time to time. The Scheme shall make investments in such a manner that the original amount of investment is protected at maturity/ Initial Maturity while having the potential to yield fixed rate/return.
|Plan Name||Meezan Paaidaar Munafa Plan-VIII|
|Plan Category||Open end Shariah Compliant Collective Investment Scheme as per SECP’s Circular No.3 of 2022 dated February 10, 2022|
|Date of Inception||5th June,2023|
|Fund Size – October 31st ,2023||Rs. 0.09 Billion|
|Duration of the Plan||The duration of the Fund will be perpetual; however, the initial maturity of the Plan shall be 03 months (from the close of subscription)|
|Benchmark||Three (03) months average deposit rates of three (3) AA rated scheduled Islamic Banks or Islamic Banking Windows as Selected by MUFAP at the time of plan launch.|
|Minimum and Subsequent Investment||Rs. 500,000 & its multiples|
|Minimum Redemption Amount||Rs. 500,000 & its multiples|
In case of redemption before maturity date, contingent load shall be deducted from redemption amount subject to applicable expenses.
No Contingent load shall be applicable on redemptions on the 45th day.
Contingent load shall be applicable on redemptions between 46th and 89th day.
|Expense Ratio||Up to 2%, as specified by SECP|
|Management Fee||Up to 5% of the gross earnings of the Scheme, calculated on a daily basis, subject to a minimum of 0.10% of the average daily net assets of the Scheme.|
Individuals, HNWI’s, Corporates, Banks, DFI’s, Insurance Companies, Employee Retirement and Endowment funds, Charitable Institutions and Trusts & NGO’s.
Primarily that clientele which seeks better returns than available by TDRs of corresponding tenure, while not seeking liquidity prior to initial maturity of the plans.
|Authorized Investments||Entity / Instruments Rating||Maximum Exposure||Minimum Exposure||Maturity|
|A. Shariah Compliant GOP Issued/guaranteed Securities||N/A||100%||0%||N/A|
|B. Cash at Bank (excluding TDRs) with licensed Islamic Banks or Islamic Branches/Windows of Conventional Banks, Shariah Compliant Government Securities including GoP Ijarah Sukuk not exceeding 90 days maturity.||AA||100%||0%||N/A|
|C. Shariah compliant placements with maturity not exceeding three (03) months||AA||100%||0%||Equal to the Actual Maturity of the Plan|