Al Meezan Investments

Balanced Funds

Balanced Schemes offer the middle path by combining both growth and income. As such, these schemes invest both in equities and in fixed income securities. These are appropriate for investors who do not wish to take excessive risk and at the same time are also seeking capital appreciation.

Meezan Balanced Fund

Meezan Balanced Fund is a Shariah Compliant open-end balanced scheme. It is a tool that provides exposure to both Equity and Debt markets through a single fund. The earnings are generated by potential capital appreciation and regular income. Meezan Balanced Fund ( previously a closed end balanced scheme ) was converted into an open-end balanced fund with effect from July 1, 2013.

Investment Objective & Philosophy

The Fund seeks to generate long term capital appreciation as well as current income by creating a balanced portfolio that is invested both in high quality Shariah compliant equity and Income Instruments.

MBF is positioned as a relatively lesser risky alternative to a pure equity fund, while retaining the potential upside from equities portion together with stable income from Shariah compliant fixed income instruments. Hence making it less risky and less volatile than pure equity funds – moreover this helps MBF deliver steady returns across various market cycles.

Key Benefits

  • Meezan Balanced Fund is Pakistan’s first Shariah Compliant open-end balanced scheme
  • Cumulative return since inception (December 20, 2004 till November 30, 2016) is 517% in PKR terms
  • Average Annualized return since inception (December 20, 2004 till November 30, 2016) is 16% in PKR terms
  • Strong long-term performance track record both in absolute terms and relative to its benchmark
  • Managed by the only Shariah compliant Asset Management Company in Pakistan with a solid track record of over 20 years, and under the supervision of the Shariah Supervisory Board of Meezan Bank headed by Justice (Retd.) Mufti Muhammad Taqi Usmani

This product is suitable for investors who are seeking*:

  • Balanced investment strategy, both in equities and debt markets while avoiding the volatility of pure equity investments.
  • Portfolio diversification through just one fund without having to invest in multiple funds.
  • A balanced strategy to meet their financial goals within short- medium term with moderate risk.
  • Moderate risk and return potential (Yellow)

*Investors are encouraged to consult their Investment advisors prior to investing in the product.

Note: Risk is represented as:
LowMediumHigh

Investment Growth

If you invested Rs. 100,000 in MBF at the time of launch in December 2004, the value of your investment has increased by 517% to reach Rs. 617,000 as on November 30, 2016.

Key Features

Scheme Name Meezan Balanced Fund
Scheme Type Open-end Islamic Balanced Fund
Date of Inception December 20, 2004
Fund Size – November 30, 2016 Rs. 6,409 million
Objective of the scheme The Fund seeks to generate long term capital appreciation as well as current income by creating a balanced portfolio that is invested both in high quality equity securities and Islamic Income Instruments.
Benchmark
  • 50% KMI-30 Index
  • 50% Average bank Deposit rate of three Islamic banks
Minimum Investment Amount Rs.5,000 (and Rs. 1,000 thereafter)
Lock-in Period None
Management Fee 2%
Entry Load 2%
Exit Load Nil
Tax Benefits Tax credit (as per prevailing Tax Rules)* on maximum 20% of your taxable income or Rs. 1,500,000, whichever is lower.
*Under Section 62 of the Income Tax Ordinance 2001
Systematic Investment Plan Facility Yes
Fund performance Highlights FY16 FY15 FY14 FY13 FY12 FY11 FY10
MBF Returns 12% 16% 20% 32% 17% 25% 23%
Benchmark Returns 10% 13% 18% 30% 10% 25% 21%
MBF Dividend (Rupees per unit) 0.60* 0.80* 2.25 1.50 1.90 1.75 1.55

*Interim Dividend for the period (July 1, 2015 – June 23, 2016)
Note: For details on Tax Credit, please Click Here

Manage Investment at your fingertips!

  • Get account balance: SMS BAL (Portfolio ID) to ‘6655’
  • Daily NAV prices : SMS NAV to ‘6655’
  • Investment Advisor help : SMS ‘INVEST’ to ‘6655’

*The return on investment is not fixed and is subject to market risks. If you want to evaluate fund performance, you may refer to the Latest Fund Manager Report. Click here