Press Release

JCR-VIS Upgrades Fund Stability Rating of PICIC Islamic Income Fund

Karachi, January 05, 2017: JCR-VIS Credit Rating Company Limited (JCR-VIS) has upgraded the Fund Stability Rating (FSR) of PICIC Islamic Income Fund from ‘A(f)’ (Single A (f)) to ‘A+(f)’ (Single A Plus (f)). The previous rating action was announced on December 28, 2015.

As per the investment policy, the fund is only allowed to invest in issues/issuers rated ‘A-’ (Single A Minus) or above. On annual average, the fund maintained more than three-fourths of net assets as cash and cash equivalents, thereby lowering liquidity risk. As per asset allocation, exposure has been built in ‘A+’ rated and above instruments, ensuring sound credit quality. We have been given to understand that the management plans to maintain credit quality of investment distribution at current level, going forward. However, in view of flexibility available in credit quality, fund is exposed to credit risk where management exercises its discretion. Market risk is considered manageable due to low duration as most Shariah Compliant Income securities have a variable rate of return.

For further information on this rating announcement, please contact the undersigned (Ext: 207) or Mr. Javed Callea (Ext: 201) at 021-35311861-71 or fax to 021-35311872-3.

Jamal Abbas Zaidi

Applicable Rating Criteria: Fund Stability Ratings (February 2012)

Information herein was obtained from sources believed to be accurate and reliable; however, JCR-VIS Credit Rating Company Limited (JCR-VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. JCR-VIS, the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report. JCR-VIS is not an NRSRO and its credit ratings are not NRSRO credit ratings. JCR-VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright 2017 JCR-VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to JCR-VIS.

JCR-VIS Credit Rating Company Limited