MKT/FMR/11/11

June 07, 2011

Dear Investor,
In continuation with our endeavor to provide Shariah compliant investment solutions, Al Meezan, in collaboration with
Meezan Bank Limited, is about to launch Meezan Capital Protected Fund-II (MCPF-II), the second fund in Pakistans
only Shariah compliant Capital Protected Fund Series. The Trust Deed of the Fund has been registered and the offering
document is in final stages of approval with SECP. We expect to offer this Fund to your for subscription later this month.
The objective of this fund is to provide you 100% protection of your capital and simultaneously offer competitive
returns through investment in the stock market.
We would like to inform that Meezan Capital Protected Fund I, the first ever Shariah compliant capital protected
scheme in Pakistan will be maturing on June 29, 2011, after successfully completing its 3-year life. MCPF- I has
provided a return of approximately 30.08% to the investors todate, while the KSE 100 Index has declined by 15.95%
during the same period. Furthermore, during this period, KSE Index took a nosedive and declined by 66% in the interim
to hit the lowest level in January 2009. Thus investors who invested directly in the stock market suffered this heavy
loss while those who invested in MCPF-I did not suffer this loss due to capital protection and got an annualized return
of 9.05%. On completion of its life on June 29, 2011, the portfolio of MCPF I will be liquidated and your investment
amount along with the profits earned will be sent to you. We would like to add that you will also have the option to
convert your existing investment in MCPF I into MCPF II or openend funds of Al Meezan.
As part of our efforts to continuously provide value added services to you, we have recently launched a new SMS
Service with short code 6655. To get prices of our funds on any day, you can SMS NAV on 6655. If you need
information on our products and services and would like one of our Investment Executives to contact you, then SMS
INVEST on 6655 and we will get in touch with you. For further details you can call us at 0800-HALAL (42525).
In our last communication we had mentioned that Al Meezan Mutual Fund is being converted into an open-end fund.
The conversion will enable you to buy and redeem units of the Fund from us directly instead of going to the stock
market. You will have the ability to switch freely between Al Meezans equity, money market and income funds and
take advantage of the opportunities arising due to market volatility.
Alhamdulillah, at the end of May 2011, the assets under management of Al Meezan are approximately Rs.28 billion,
making it the largest asset management company in the private sector in Pakistan.
We would like to thank you for being our valued client and your continued support. Fund Managers Report for the
month of May 2011 is enclosed for your review.
Yours truly,

Shahid Gul Motiwala

SVP- Head of Marketing and Sales

Ground Floor, Block B, Finance & Trade Centre, Shahrah-e-Faisal, Karachi 74400, Pakistan.
UAN: (92-21) 111-633-926 (111-MEEZAN) Fax: (92-21) 35630808, Toll Free: 0800 -HALAL (42525)
E-mail: [email protected] Web Site: www.almeezangroup.com
 May, 2011

Fund Managers Report

AL Meezan Investment Management Limited
0

\
Al Meezan Investments, the company in operation since 1995, has one of the longest track records of managing mutual funds in the private
sector in Pakistan. Al Meezan Investments manages eight mutual funds; namely Al Meezan Mutual Fund, Meezan Balanced Fund, Meezan
Islamic Fund, Meezan Islamic Income Fund, Meezan Tahaffuz Pension Fund, Meezan Capital Protected Fund I, Meezan Cash Fund and
Meezan Sovereign Fund.
The total funds under management of Al Meezan, the only full fledged Shariah compliant asset management company in Pakistan, have
reached Rs. 29.4 billion as on May 31, 2011. With AM2 rating which denotes high management quality, the company clearly stays well
ahead of all its competitors in the Islamic asset management market in Pakistan.

Stock Market Review Money Market Review

The KSE 100 index depicted a range bound behavior during the During the month, money market liquidity position has shown
month of May and posted a minor gain of 65 points or 0.5% to mixed trend in the wake of bimonthly monetary policy
close at 12,123. The average daily turnover during the month announcement in which SBP kept rates unchanged. To normalize
was 71.39m shares compared to 75.52m shares during April the liquidity situation, State Bank regularly conducted OMOs and
2011. mopped up Rs. 153 billion at weighted average yield of 12.48%,
Initially, stock market remained depressed due to U.S. operation while it injected around Rs. 83 billion at 13.26%. During the
in Abbottabad, straining the relations of US and Pakistan. This month, State Bank conducted two T-Bill auctions and accepted
was coupled with the attacks on Mehran Naval Base in later part Rs. 413 billion against bids of Rs. 683 billion. The target of the
of the month. However, these fears were alloyed by the visit of auction was set at Rs.350 billion against maturity of Rs. 332
US Secretary of State, indicating restoration of some normalcy billions. The cut off yield of six-month paper has decreased by 2
in Pak-US relations. Later, market sentiment improved on the bps to close at 13.60%. State Bank had also conducted PIB
back of news flow on possibility of relaxation in Capital Gain Tax auction and accepted Rs.28 billions. The target of the auction
(CGT) and other budgetary measures in the coming budget in was Rs.20 billion. The cut off yield of ten year bond has
June which helped index cross the psychological barrier of remained flat to close at 14.1%. During the month State Bank
12,000 level. had also conducted Ijarah VIII Sukuk auction and accepted Rs.
46 billion at par i.e. 13.4528% against the total participation of
Moreover, there were positive developments on the
Rs. 51 billion. The KIBOR rates remained stable during the
macroeconomic front with remittances during ten months FY11
month with six month KIBOR increased by 7 bps to close at
reaching US$ 9bn and the trade deficit for April 2011 shrinking
13.74%.
to US$ 236m. Also, SBP in its monetary policy decision kept the
discount rate unchanged at 14% for next two months which too, On the forex front, rupee remained under pressure and
supported the market. The foreigners again remained net buyers depreciated by Rs.1.23 to close at Rs. 85.93 per dollar in the
with net inflow of US$26.36m during the month. interbank market. Rupee also depreciated against dollar by
Rs.1.65 to close at Rs. 86.30 per dollar in the Kerb market.
Going forward, key triggers for the market remains the unveiling
of FY12 Budget and continuation of foreign flows.

KSE-100 Index Performance 6 Month KIBOR

Vol (mn) (LHS) Index (RHS) 13.90

180 12,300
13.82

120 11,800 13.74

13.66
60 11,300
13.58

0 10,800 13.50
2-May

5-May

10-May

13-May

18-May

23-May

26-May

31-May

10-May

14-May

18-May

22-May

26-May

30-May
2-May

6-May

Disclaimer
This publication is for informational purpose only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in
mutual funds are subject to market risk. The NAV based prices of units and any dividends/returns thereon are dependent on force and factors affecting the capital markets. These
may go up or down based on market conditions. Past performance is not necessarily indicative of future results.
(This report has been prepared in line with MUFAPs recommended Format)
 MEEZAN ISLAMIC FUND (MIF) May, 2011

EQUITY
AMC RATING AM2 (POSITIVE OUTLOOK)

Fund Review:
Net assets of Meezan Islamic Fund stood at Rs. 4.4 billion as at May 31, 2011. The funds NAV increased by 0.6% during the period under review
as compared to increase of 1.1% in the benchmark index (KMI-30) while KSE-100 Index, during the same period increased by 0.5%.Although
the market is trading at attractive multiples, we hold a positive view on the market due to improved macroeconomic situation. As on May 31, the
fund was 85% invested in equities.

Investment Objective: Performance - Cumulative Returns:

To maximize total investor returns by investing in
1M 3M 6M FYTD 1Yr 3Yr 5Yr PSD**
Shariah Compliant equities focusing on both capital
gains and dividend income. MIF 1% 10% 16% 38% 39% 29% 65% 271%
Funds
Funds Details
Details:
Benchmark #
1% 10% 15% 42% 44% 22% 44% 171%
** Performance start date of August 08, 2003,
Fund Type: Open End # KMI-30 replaced DJIIMPK as the Funds benchmark in FY10 while KSE-100 index remained as the
Risk Level High benchmark till FY06
Launch Date 8th Aug 2003
Trustee CDC Annual Returns:
Auditors A.F. Ferguson & Co.
Registrar Meezan Bank Ltd.
Unit Types A, B and C FY10 FY09 FY08 FY07 FY06 FY05 FY04
Management Fee 2% MIF 31% -30% 0.27% 29% 30% 40% 24%*
Front End Load 2%
Fund Category Equity Benchmark 37% -35% 1% 17% 25% 22% 26%*
Back End Load Nil * Return from inception date
Benchmark KMI-30
Leverage Nil Funds Performance:
Listing KSE
AMC Rating AM2 Rupees
MIF Benchmark
Rating Agency JCRVIS 400,000
Pricing Mechanism Forward
Valuation Days Mon-Fri 350,000
Subscription/ Redemption Days Mon-Fri 9am 3pm
Fund Manager Muhammad Asad 300,000

Members of M. Shoaib, CFA 250,000

Investment Committee Muhammad Asad
200,000
Sanam Zaib
Madiha Javed 150,000
M. Ali, CFA, FRM
M. Farhan Lakhani 100,000

50,000
Sep-07

Dec-08

Dec-10
Aug-03

Aug-05

Nov-06
Apr-07

Aug-10
Feb-08

May-09

May-11
Jan-04

Oct-04
Mar-05

Jan-06

Oct-09
Mar-10
Jun-04

Jun-06

Jul-08

Fund Asset:
Apr' 11 May' 11 MoM %
Net Assets (Rs mn) 4,393 4,445 1.2% Top Ten Equity holdings:(% of NAV):
NAV Per Unit (Rs) 51.02 51.32 0.6%
Fauji Fertilizer Co. Ltd. 14% Lucky Cement 6%
Pakistan Petroleum Ltd. 10% Oil & Gas Development Co. Ltd. 5%
Asset Allocation: Pakistan Oilfields Ltd. 10% The Hub Power Co. Ltd. 5%
Apr' 11 May' 11 Pakistan State Oil Co. Ltd. 8% Meezan Bank Ltd. 4%
86.81 84.58 ICI Pakistan Ltd. 8% Packages Ltd. 3%
Equity (%)
Cash (%) 13.31 14.31
Other receivables (%) -0.11 1.1

Expense Ratio* 0.02 0.02

Sector Performance:
P/E 8.33 8.31
*Management fee is included in the expense ratio
34% Oil & Gas

Chemicals
Risk MeasuresMay11:

KSE-100 KMI-30
Construction and Materials
MIF index Index
Standard Deviation 0.55 0.81 0.69 22% General Industrials
Sharpe Ratio -0.01 -0.01 0.02 31%
6% Fixed Line Telecommunication
2% 5%
Others

Disclaimer This publication is for informational purpose only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market
risk. The NAV based prices of units and any dividends/returns thereon are dependent on force and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not
necessarily indicative of future results. (This report has been prepared in line with MUFAPs recommended Format)
 MEEZAN ISLAMIC INCOME FUND (MIIF) May, 2011

INCOME
AMC RATING AM2 (POSITIVE OUTLOOK)

Fund Review
Net assets of Meezan Islamic Income Fund (MIIF) stood at Rs. 2.5 billion as at May 31, 2011. MIIF has provided an annualized return of 14.9%
for the month of May as compared to its benchmark which has provided an annualized return of 5.9% during the same period.

Investment Objective: Performance - Cumulative Returns:

To provide investors with a high and stable rate of
current income consistent with long term preservation 1M 3M 6M FYTD 1Yr 3Yr 5Yr PSD**
of capital in a Shariah compliant way. A secondary MIIF 15.0% 18.3% 11.1% 11.5% 10.9% 9.6% - 9.6%
objective is to take advantage of opportunities to
Benchmark 5.9% 5.9% 5.9% 5.9% 5.9% 5.9% - 5.9%
realize capital appreciation.
** Performance start date of Jan 15, 2007
Funds Details:
FundFunds
Type: Details Open End
Annual Returns:
Risk Level Minimal
Launch Date 15-Jan-07 FY10 FY09 FY08 FY07 FY06 FY05 FY04
Trustee CDC MIIF 7.31% 10.15% 9.28% 10.07%* - - -
Auditors A.F. Ferguson & Co.
Registrar Meezan Bank Ltd. Benchmark 5.75% 6.54% 5.75% 4.66% - - -
Unit Types A, B and C * 163 days of operations
Management Fee 1.5%
Front End Load 0.5%
Fund Category Income Monthly Performance:
Leverage Nil
Listing KSE
AMC Rating AM2 MIIF Benchmark
Rating Agency JCRVIS 25%
Fund Stability Rating A(f)
Pricing Mechanism Forward 20%
Weighted average time to
1.83 Years 15%
maturity
Back End Load Contingent load for
10%
Type C investors
Benchmark Average bank deposit
5%
rate of three Islamic
banks
0%
Valuation Days Mon-Sat
Mon-Fri 9am 3pm
Subscription/ Redemption Days -5%
Sat 9am 12:00pm

May-11
Jan-11

Mar-11
Sep-10

Oct-10

Dec-10
Jul-10

Aug-10

Nov-10

Apr-11
Feb-11
Fund Manager M. Ali, CFA, FRM
Members of M. Shoaib, CFA
Investment Committee Muhammad Asad
Sanam Zaib Top Ten Portfolio holding:(% of NAV):
Madiha Javed
M. Ali, CFA, FRM GoP Ijarah Sukuks V 21% Eden Housing Limited 6%
M. Farhan Lakhani GoP Ijarah Sukuks III 11% GoP Ijarah Sukuks IV 5%
Fund Assets:
Engro Fertilizer Limited 8% Century Paper & Board Mills Ltd. 4%
Apr' 11 May' 11 MoM % Maple Leaf Sukuk - I 8% Sitara Chemicals Ltd. - III 3%
Net Assets (Rs mn) 2,768 2,502 -9.61% GoP Ijarah Sukuks VII 6% Eden Builders Limited 1%
NAV Per Unit (Rs)* 50.89 50.49 1.18%
*Ex-dividend NAV

Credit Quality of portfolio: Sector Allocation:

Government Securities 43.6%
Apr11 May11
AA+ 5.9%
Sukuks 29% 31%
AA 8.2%
Government backed / Guaranteed Securities 51% 44%
AA- 8.3%
Cash 17% 23%
A+ 7.2%
Others Including receivables 3% 2%
A 10.1%
Below BBB 14.2%
Unrated 0.7% Details of Non Performing Investments:
50% 44%
Credit Quality
40%
30%
20% 14%
8% 8% 10%
6% 7%
10%
1%
0%
A+
Govt. Sec.

AA-

A
AA+

Unrated
AA

Below BBB

Disclaimer This publication is for informational purpose only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market
risk. The NAV based prices of units and any dividends/returns thereon are dependent on force and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not
necessarily indicative of future results. (This report has been prepared in line with MUFAPs recommended Format)
 CAPITAL PROTECTED
MEEZAN CAPITAL PROTECTED FUND (MCPF-1) May, 2011

AMC RATING AM2 (POSITIVE OUTLOOK)

Fund Review:
As at May 31, the net assets of Meezan Capital Protected Fund (MCPF-1) stood at Rs. 721 million, showing an increase of 0.8% month-on-month.
For may 2011, MCPF-1 provided a return of 0.8%.

Investment Objective: Performance - Cumulative Returns:

To protect investors principal investment till the
maturity of the fund and provide a reasonable return 1M 3M 6M FYTD 1Yr 3Yr 5Yr PSD**
MCPF-1 0.8% 3.2% 6.8% 13.6% 14.8% - - 29.9%
Funds Details ** Performance start date of May 19, 2008,
Funds Details:
Fund Type: Open End Annual Returns:
Risk Level Minimal
Launch Date 19-May-08 FY10 FY09 FY08 FY07 FY06 FY05 FY04
Trustee CDC
Auditors A.F. Ferguson & Co. MCPF-1 14.1% 0.8% -0.5%* - - - -
Registrar Meezan Bank Ltd. * 41 days of operations.
Unit Types A, B,C and D
Management Fee 3% of equity
Segment
1% of Capital Portfolio- Salient Features:
Protected Segment
Front End Load 3%
Fund Category Capital Protected Preservation of Principal Investment upon maturity of
Back End Load Contingent Load investment
Leverage Nil
Listing KSE Primary Investment in Murabahah
AMC Rating AM2
Rating Agency JCRVIS Key Benefits Exposure to equity coupled with capital protection
Pricing Mechanism Forward Very Low Risk
Valuation Days Mon-Fri
Subscription/ Redemption Days Mon-Fri 9am 3pm Tax-free Returns (for holdings till maturity)
Fund Manager M. Farhan Lakhani
Tax Credit as per tax laws
Members of M. Shoaib, CFA
Investment Committee Muhammad Asad Upto 23% exposure to equity
Sanam Zaib Investment Policy
and Strategy 77% of Investment in Capital Protected segment
Madiha Javed
M. Ali, CFA, FRM Murabahah Placement with a top rated Islamic bank
M. Farhan Lakhani
Fund Performance:
Funds Asset: Rupees
Apr' 11 May' 11 MoM % 130,000
Net Assets (Rs mn) 716 721 0.75%
NAV Per Unit (Rs) 57.27 57.71 0.76% 120,000

Asset Allocation: 110,000

Apr' 11 May' 11 100,000

Murabahah Placement (%) 86.5 88.7
Equity (%) 13.6 11.3 90,000

80,000
May-08

May-09

May-10

May-11
Jan-09
Mar-09

Jan-10
Mar-10

Jan-11
Mar-11
Sep-08

Sep-09

Sep-10
Jul-08

Jul-09

Jul-10
Nov-08

Nov-09

Nov-10

Sector Performance:

11%

Equity

Murabahah Placement

89%

Disclaimer This publication is for informational purpose only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market
risk. The NAV based prices of units and any dividends/returns thereon are dependent on force and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not
necessarily indicative of future results. (This report has been prepared in line with MUFAPs recommended Format)
 MONEY MARKET
MEEZAN CASH FUND (MCF) May, 2011

AMC RATING AM2 (POSITIVE OUTLOOK)

Fund Review
Net assets of Meezan Cash Fund (MCF) stood at Rs. 5.6 billion as at May 31, 2011. MCF has provided an annualized return of 11.8% for the
month of May as compared to its benchmark which has provided an annualized return of 8.3% during the same period.

Investment Objective: Performance - Cumulative Returns:

To seek maximum possible preservation of capital and
a reasonable rate of return via investing primarily in 1M 3M 6M FYTD 1Yr 3Yr 5Yr PSD**
liquid Shariah compliant money market and debt MCF - - 10.5%
11.8% 11.8% 11.5% 10.9% 10.9%
securities.
Benchmark 8.3% 8.3% 8.3% 8.3% 8.1% - - 7.8%
Funds Details: ** Performance start date of June 15, 2009
Funds Details
Fund Type: Open End
Risk Level Minimal
Annual Returns:
Launch Date 15-Jun-09
FY10 FY09 FY08 FY07 FY06 FY05 FY04
Trustee CDC
Auditors A.F. Ferguson & Co. MCF 10.10% 8.08%* - - - - -
Registrar Meezan Bank Ltd.
Benchmark 7.48% 7.60% - - - - -
Unit Types A, B and C
* 15 days of operations
Management Fee 1%
Front End Load Nil
Back End Load* 0.1% if redemption
Monthly Performance:
within 3 days
Fund Category Money Market MCF Benchmark
14%
Leverage Nil
Listing ISE 12%
AMC Rating AM2
10%
Rating Agency JCRVIS
Fund Stability Rating AA (f) 8%
Pricing Mechanism Forward
6%
Weighted average time to
35.41 Days
maturity 4%
Benchmark Average return on
6-month Islamic 2%
bank deposits 0%
Valuation Days Mon-Sat
Sep-10

Dec-10

Apr-11
Aug-10

Nov-10

Feb-11

Mar-11

May-11
Oct-10

Jan-11
Jul-10

Mon-Fri 9am 3pm

Subscription/ Redemption Days
Sat 9am 12:00pm
Fund Manager M. Ali, CFA, FRM

Members of M. Shoaib, CFA

Investment Committee Muhammad Asad Portfolio: Salient Features
Sanam Zaib Maximum Preservation of Principal Investment
Madiha Javed
M. Ali, CFA, FRM High Liquidity (Redemption within Two working days)
Key Benefits
M. Farhan Lakhani *No Sales Load (No Entry or Exit charges)

Fund Assets: Tax Credit as per tax laws

Investments in High Grade & Liquid avenues:
Apr' 11 May' 11 MoM %
Instrument/Issuer Rating : Minimum AA
Net Assets (Rs mn) 6,266 5,648 -9.86% Investment Policy and
NAV Per Unit (Rs) 50.52 50.15 0.95% Strategy Maximum Maturity of Instruments : Six Months
Average Time to Maturity of Portfolio : Three
Ex-dividend NAV Months
Benchmark Average return on 6-month Islamic bank deposits
Rating Exposure:
AA+ 71.80% Portfolio Composition:
AA 26.10%
AA- 0.60%#
#Account with Meezan Bank is being maintained only for collection 34.0%
/redemption purposes as Meezan Bank is the distributor for Al
Meezan Funds. Placements with Banks and DFIs

Portfolio Composition: Cash

Apr11 May11 Other Including receivables

Placements with Banks and DFIs 33.5% 34.0%
Cash 65.0% 64.0% 64.0%
Other Including receivables 1.5% 2.0% 2.0%

Disclaimer This publication is for informational purpose only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market
risk. The NAV based prices of units and any dividends/returns thereon are dependent on force and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not
necessarily indicative of future results. (This report has been prepared in line with MUFAPs recommended Format)
 MEEZAN SOVEREIGN FUND (MSF) May, 2011

INCOME
AMC RATING AM2 (POSITIVE OUTLOOK)

Fund Review
Net assets of Meezan Sovereign Fund (MSF) stood at Rs. 10.8 billion as at May 31, 2011. For the month of May, the fund has provided an
annualized return of 12.3% as compared to its benchmark which has provided an annualized return of 8.3% during the same period.

Investment Objective: Performance - Cumulative Returns:

To seek maximum possible preservation of capital and
a reasonable rate of return 1M 3M 6M FYTD 1Yr 3Yr 5Yr PSD**
MSF 12.3% 12.1% 12.0% 11.4% 11.2% - - 10.9%
Funds Details: Benchmark 8.3% 8.3% 8.3% 8.3% 8.1% - - 8.0%

Fund Type: Open End

** Performance start date of Feb 10, 2010,
Funds Details
Risk Level Minimal
Launch Date 10-Feb-10 Annual Returns:
Trustee CDC
Auditors A.F. Ferguson & Co. FY10 FY09 FY08 FY07 FY06 FY05 FY04
Registrar Meezan Bank Ltd.
Unit Types A, B, C and D MSF 9.76%* - - - - - -
Management Fee 1% Benchmark 7.48% - - - - - -
Front End Load 0.5% * 140 days of operations
Back End Load Nil
Fund Category Income Monthly Performance:
Leverage Nil
Listing ISE MSF Benchmark
AMC Rating AM2
14%
Rating Agency JCRVIS
Fund Stability Rating AA+ (f) 12%
Pricing Mechanism Forward
Weighted average time to 10%
1.92 Years
maturity 8%
Benchmark Average return on
6-month Islamic 6%
bank deposits 4%
Valuation Days Mon-Sat
Mon-Fri 9am 3pm 2%
Subscription/ Redemption Days
Sat 9am 12:00pm
0%
Fund Manager M. Ali, CFA, FRM
Sep-10

Dec-10

Apr-11
Aug-10

Nov-10

Feb-11

Mar-11

May-11
Oct-10

Jan-11
Jul-10

Members of M. Shoaib, CFA

Investment Committee Muhammad Asad
Sanam Zaib
Madiha Javed Portfolio: Salient Features
M. Ali, CFA, FRM
M. Farhan Lakhani Maximum Preservation of Principal Investment
Primary Investments in securities issued by
Fund Assets: Government of Pakistan
Key Benefits Very Low Risk
Apr' 11 May' 11 MoM % Liquidity (Redemption on average in 2-3 working
Net Assets (Rs mn) 10,258 10,819 5.47% days)
NAV Per Unit (Rs)* 50.54 50.19 0.98% Tax Credit as per tax laws
Investments in High Grade & Liquid avenues:
*Ex-dividend NAV
Minimum 70% Investment in Government backed /
issued securities (rated AAA)
Asset Rating: Investment Policy and
Strategy Placements in top rated banks and financial
Government Securities 77.0% institutions
AA+ 9.7% Weighted Average Time to Maturity of Portfolio : Not
AA 11.8% more than 4 years
AA- 0.1% Average return on 6-month Islamic bank deposits
Benchmark

Sector Allocation: Sector Allocation:

Apr 11 May 11
Government Guaranteed 77% 77% 77%
Cash 19% 22% Government Guaranteed
Other Including receivables 4% 1%
Cash

Other Including receivables

1% 22%
Disclaimer This publication is for informational purpose only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market
risk. The NAV based prices of units and any dividends/returns thereon are dependent on force and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not
necessarily indicative of future results. (This report has been prepared in line with MUFAPs recommended Format)
 MEEZAN TAHAFFUZ PENSION FUND (MTPF) May, 2011

PENSION
AMC RATING AM2 (POSITIVE OUTLOOK)

Fund Review:
As at May 31, 2011, total size of Meezan Tahaffuz Pension Fund (MTPF) stood at Rs. 381 million. For the month of May, the NAV of equity sub
fund increased by 0.9% while the NAV of debt and money sub funds posted an annualized return of 13.1% and 11.6% respectively.

Investment Objective: Performance - Cumulative Returns:

To provide participants a regular Halal income stream
after retirement/disability when they can no longer 1M 3M 6M YTD 1Yr 3Yr 5Yr PSD**
earn regular income to support their living so that they MTPF- Equity 0.9% 9.9% 15.3% 36.2% 37.6% 31.7% - 37.3%
are not dependent on other members of the society. MTPF- Debt* 13.1% 12.8% 10.7% 10.7% 10.3% 9.7% - 9.4%
MTPF- MMkt* 11.6% 11.0% 10.7% 10.6% 10.3% 9.7% - 9.2%
Funds Details: ** Performance start date of June 28, 2007,
FundFunds
Type: Details Open End * annualized return
Risk Level Minimal
Launch Date 28-Jun-07 Annual Returns:
Trustee CDC
Auditors Ford Rhodes Siddat FY10 FY09 FY08 FY07 FY06 FY05 FY04
Hyder & Co.
Registrar Meezan Bank Ltd. MTPF- Equity 31.50% -25.80% 3.10% - - - -
Fund Category Pension MTPF- Debt 8.50% 10.20% 8.30% - - - -
Leverage Nil
MTPF- MMkt 8.50% 11.10% 7.70% - - - -
AMC Rating AM2
Rating Agency JCRVIS
Pricing Mechanism Forward Sector Weightage as a % of Net Assets (MTPF Equity):
Valuation Days Mon-Fri
Subscription/ Redemption Days Mon-Fri 9am 3pm
Fund Manager Muhammad Asad 100%

23% 19%
Members of M. Shoaib, CFA Cash & Others
Investment Committee Muhammad Asad 80% 6%
Sanam Zaib 6%
Automobile and Parts
Madiha Javed
60% 35%
M. Ali, CFA, FRM 34% Oil & Gas
M. Farhan Lakhani
40% General Industrials
8% 12%
FUND ASSETS: 9% 9% Construction and Materials
20%
Rs (Mn) Apr '11 May '11 MoM %
20% 19%
Chemicals
MTPF- Equity 154 161 5.1% 0%
MTPF- Debt 124 131 5.5% Apr' 11 May' 11
MTPF- MMkt 86 89 3.0%
Total Fund 364 381 4.8%
MTPF Debt Sub Fund:
NAV per unit:
84%
Rs Apr '11 May '11 MoM % GoP Guaranteed Securities
MTPF- Equity 133.6 137.6 0.9% 6%
MTPF- Debt 139.7 142.6 1.1% Sukuks
MTPF- MMkt 139.1 141.7 1.0%
7%
Cash
Sukuk Holdings MTPF(Debt fund): 3%
Other Including receivables
GoP Ijarah Sukuks V 44.4%

GoP Ijarah Sukuks IV 21.4%

MTPF Money Market
GoP Ijarah Sukuks VIII 10.0%

GoP Ijarah Sukuks VII 6.1% 45%

Maple Leaf Cement 2.5% Sukuk
GoP Ijarah Sukuks VI 2.3%

Dawood Hercules 1.7% Gop Guaranteed Securities

Eden Housing Limited 0.9%

Cash
Security Leasing Sukuk II 0.7% 3%
1%
51% Other Including receivables

Disclaimer This publication is for informational purpose only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market
risk. The NAV based prices of units and any dividends/returns thereon are dependent on force and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not
necessarily indicative of future results. (This report has been prepared in line with MUFAPs recommended Format)
 CLOSED END FUNDS May, 2011

PAKISTANS ONLY SHARIAH-COMPLIANT CLOSED-END FUNDS

AMC RATING AM2 (POSITIVE OUTLOOK)

Al Meezan Mutual Fund Meezan Balanced Fund

Performance: Performance:

Month on Month Apr '11 May '11 Month on Month Apr '11 May '11

Return on AMMF 1.63% 0.74% Return on MBF 1.45% 0.93%

Return on KSE-100 index 2.10% 0.54% Benchmark Return* 1.12% 0.77%

Return on KMI-30 Index* 1.75% 1.05% Return on KMI-30 Index 1.75% 1.05%

Year to - date (FY) Year to - date (FY)

Return on AMMF 35.55% 36.55% Return on MBF 23.14% 24.28%

Return on KSE-100 index 24.02% 24.70% Benchmark Return* 22.25% 23.23%

Return on KMI-30 Index* 40.09% 41.55% Return on KMI-30 Index 40.09% 41.55%

* Benchmark *50% return on Islamic deposits and 50% return on KMI-30

AMMF Assets Distribution May 11: MBF Assets Distribution May 11:

Sukuk
34% Oil & Gas 43%
s 4%
General Industrials
Chemicals 18%
27% Oil & Gas
Automobile and Parts
23% Chemicals
General Industrials 14%
5% 17% 4% Construction and Materials
5% Construction and Materials
6%
Cash & Others Cash & others

Fund Assets: Fund Assets:

Apr11 May11 MoM % Apr11 May11 MoM %

Net Assets (mn) 1,685 1,697 0.74% Net Assets (mn) 1,496 1,510 0.93%

NAV Per Unit (Rs) 12.25 12.34 0.74% NAV Per Unit (Rs) 12.47 12.58 0.93%

Investment Objective: Investment Objective:

The objective of Al Meezan Mutual Fund is to optimize the total The objective of Meezan Balanced Fund is to generate long
investment returns, both capital gains and dividend income, term capital appreciation as well as current income by creating
through prudent investment management. a balanced portfolio that is invested both in high quality equity
securities and Islamic Income Instruments such as TFCs, COIs,
Certificates of Musharika, Islamic Sukuk, Ready-future hedges,
and other Shariah compliant instruments.

Fund Review: Fund Review:

The net assets of Al Meezan Mutual Fund (AMMF) as at May 31, Net assets of Meezan Balanced Fund (MBF) as at May 31, 2011
2011 stood at Rs. 1.70 billion. The funds NAV increased by stood at Rs. 1.50 billion. The funds NAV increased by 0.93%
0.74% during the month of May compared to 1.05% increase in during the month.
the benchmark index (KMI-30) while KSE-100 Index increased
by 0.54% during the same period.

Disclaimer This publication is for informational purpose only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market
risk. The NAV based prices of units and any dividends/returns thereon are dependent on force and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not
necessarily indicative of future results. (This report has been prepared in line with MUFAPs recommended Format)