primus quarter march 2015 - awt investments limited · 2018-07-02 · piml income fund (formerly...

“To be a dominant player in the fund management industryrecognized for its high levels of ethical and professional conduct

and a commitment towards enhancing investor interests.”

“To deliver quality and innovative asset management, wealthmanagement and advisory services at the local and regional level.”

V I S I O N

M I S S I O N

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PIML INCOME FUND (formerly PRIMUS CASH FUND) 04

PIML DAILY RESERVE FUND (formerly PRIMUS DAILY RESERVE FUND) 18

PIML STRATEGIC MULTI ASSET FUND 32

PIML ISLAMIC MONEY MARKET FUND 47

PIML ISLAMIC EQUITY FUND 60

PIML VALUE EQUITY FUND 74

M a i n C o n t e n t s

PIML INCOME FUND(formerly Primus Cash Fund)

FOR THE NINE MONTHS PERIOD ENDED MARCH 31, 2015

Fund’s Information

Directors’ Report to the Unit Holders

Condensed Interim Statement of Assets and Liabilities

Condensed Interim Income Statement

Condensed Interim Statement of Comprehensive Income

Condensed Interim Distribution Statement

Condensed Interim Statement of Movement in Unit Holders' Fund

Condensed Interim Cash Flow Statement

Notes to the Condensed Interim Financial Information

t a b l e o f c o n t e n t s

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Income Fund(formerly Primus Cash Fund)

IMLP

FUND’S INFORMATION

Management Company Primus Investment Management Limited4th Floor. Horizon Vista. Commercial 10Block 4. Scheme 5. Clifton Karachi

Board of Directors Mr. Khalid Aziz Mirza Director / Chairman

Ms. Ayesha Aziz Director

Mr. Zafar Iqbal Sobani Director

Mr. Mokhzani Izhar Director

Mr. Ahmed Ateeq Director

Mr. Adnan Ahmed Siddiqui Chief Executive Officer

CFO & Company Secretary Ms. Rahaila Aleem

Audit Committee Mr. Zafar Iqbal Sobani Chairman

Mr. Mokhzani Izhar Member

Mr. Khalid Aziz Mirza Member

Trustee Central Depository Company of Pakistan LimitedCDC House, 99 B, Block B, SMCHS,Main Shahra-e-Faisal, Karachi

Auditors M. Yousuf Adil Saleem & Co. Chartered AccountantsCavish Court, A-35, Block 7&8, KCHSU,Shahra-e- Faisal Karachi

Legal Advisors Mohsin Tayebaly & Co.2nd Floor, Dime Centre, BC-4 Block 9, Kehkashan,Clifton, Karachi

Bankers Allied Bank LimitedBank Al-Habib LimitedBank Alfalah LimitedFaysal Bank LimitedHabib Bank LimitedUBL Bank LimitedSummit Bank LimitedAskari Bank Limited

Rating A+(f) by PACRA

05


IMLP

DIRECTORS’ REPORT TO THE UNIT HOLDERS

The Board of Directors of Primus Investment Management Limited, the Management Company of Primus InvestmentManagement Limited . Income Fund [formerly Primus Cash Fund] (the Fund), is pleased to present the un-auditedcondensed interim financial statements for the nine months period ended March 31, 2015.

REVIEW OF FUND PERFORMANCE

During the period under review, PIML Income Fund maintained A+(f) rating by PACRA. Moreover, the Fund remaineda top performer amongst its respective category on YTD and MTD basis. The Fund generated FYTD return of 21.13%,substantially outperforming the benchmark FYTD return of 8.83%. During the quarter, exposure in longer tenorgovernment securities was significantly increased owing to a declining interest rate scenario. The allocation ingovernment securities reached 83% of net assets with a combination of 60% in PIBs and 23% in T-bills, in orderto take advantage of the monetary easing. Also, the Fund took exposure of approximately 1.40% in the TermFinance Certificates, while the remaining assets were adequately deployed at higher yields.

The Fund posted a net income of PKR 481.37 million for the period. As at March 31, 2015 the net assets of theFund were recorded at PKR 5,202.613 million, a growth of 25% on quarter basis. The net asset value (NAV) perunit as at March 31, 2015 was PKR 116.08.

ECONOMIC OUTLOOK

Economic progress of the country remained persistent throughout the period of 9MFY15, where some significantevents like unexpected drop in oil prices and lower than expected inflation further prompted the progress. Highlightsof the period under review were smooth progress of IMF's Extended Fund Facility (EFF), as IMF approved threequarterly tranches during the period after showing its satisfaction on economic stability and growth prospects,200bps cut in the discount rate during the period under review, based on low inflation, with issuance of USD 1bnSukuk in international market and successful execution of secondary offering of ABL.

CPI inflation clocked in at 5.1% during the 9MFY15 as compared to 8.6% during the corresponding period last year.Inflation declined ahead of high base impact, lower oil prices leading to reduced transport cost. The soft CPInumbers has led to re-initiation of monetary easing cycle as SBP has reduced 200bps in discount rate sinceNovember 2014. Currently the discount rate stands at 58 months low of 8%.

During the period 8MFY15, the country.s current account deficit declined by 65% to USD 1.61mn (0.8% of GDP)against USD 2.45bn (1.5% of GDP) registered 9MFY14. The massive decline in C/A deficit can be attributed to i)38% decline in services trade deficit, ii) 8%YoY increase in surplus of secondary income. Impact of lower oil pricesdid not materialize in any significant impact on import bill as import bill declined by less than 1% during 8MFY15where as Oil prices tumbled by more than 50% during the same period. On the other hand, balance of overallpayments turned into negative USD 1.29bn during 8MFY15 as compared to surplus of USD 1.24bn in 8MFY14.However, the Balance of Payment position is expected to improve as the proceeds from recently concluded HBL.stransaction will result in higher foreign investments. Foreign exchange reserves of the country improved to USD16.14bn by the end of March.15, showing an improvement of 14% from the levels of June.14 (USD 14.14bn). Basedon improving macros and building foreign exchange reserves, Moody.s upgraded the credit rating outlook of thecountry from stable to positive.

We are positive on economic outlook based on strengthening foreign exchange reserves, narrowing C/A deficit,stable currency and lower interest rates, which will result in growth of economic activity in the country. Furthermoreimport of LNG will likely to help in alleviation of energy crisis in the country and will eventually result in betterindustrial output.

FUND STABILITY RATING

The Fund stability rating 'A+ (f)' (A Plus (f)) assigned by The Pakistan Credit Rating Agency Limited (PACRA) to theFund remain unchanged.

06


IMLP

07

We expect macroeconomic picture to get better in CY15 on many fronts, firstly liquidity of the economy is improving

MANAGEMENT QUALITY RATING

The JCR-VIS Credit Rating Company Limited has reaffirmed Management Quality Rating of "AM3" (AM Three) .withpositive outlook. to Primus Investment Management Limited on November 18, 2014. The rating denotes highmanagement quality of the Management Company.

ACKNOWLEDGEMENT

The Board of Directors of the Management Company is thankful to the Securities and Exchange Commission ofPakistan for their valuable support, assistance and guidance. The Board also wish to express gratitude to theemployees of the Management Company and the Trustee for their dedication and hard work and the unit holdersfor their confidence in the Management.

Karachi: April 30, 2015

Adnan Ahmed SiddiquiChief Executive Officer


IMLP

08

CONDENSED INTERIM STATEMENT OF ASSETS AND LIABILITIESAS AT MARCH 31, 2015

For Primus Investment Management Limited(Management Company)

Chief Executive Officer Director

March 31 June 302015 2014

Notes(Unaudited) (Audited)

ASSETS

4 260,169 112,274

----------------- Rupees '000 -----------------

4 260,169 112,2745 4,908,863 4,136,1036 79,118 153,286

599 789100 100

5,248,849 4,402,552

LIABILITIES

Payabe to Primus Investment Management Limited- Management Company 16,408 8,964Payable to Central Depository Company of Pakistan Limited - Trustee 449 756Annual fee payable to Securities and Exchange Commission of Pakistan 2,644 2,303Dividend payable - 81,163Accrued and other liabilities 7 26,735 10,849TOTAL LIABILITIES 46,236 104,035

NET ASSETS 5,202,613 4,298,517

Unit holders' funds 5,202,613 4,298,517

Contingency and Commitments 8 - -

Number of units in issue 44,819,016 42,905,453

-------------------No. of units------------------


Net assets value per unit 116.08 100.19

The annexed notes from 1 to 11 form an integral part of these condensed interim financial statements.

-----------------------Rupees----------------------

Deposit, prepayments and receivablesInvestmentsBank balances

Preliminary and flotation costsSecurity deposit with Central Depository Company of Pakistan LimitedTOTAL ASSETS


IMLP

CONDENSED INTERIM INCOME STATEMENT (UN-AUDITED)FOR THE NINE AND THREE MONTHS PERIOD ENDED MARCH 31, 2015

09



For the Ninemonths period

ended March 31,


ended March 31,

For the Threemonths period

ended March 31,


ended March 31, 2015 2014 2015 2014

Note(Restated) (Restated)

INCOME

Return / mark-up on;- bank balances 30,183 13,418 19,056 4,292

---------------- Rupees in '000 ------------------------------ Rupees in '000 --------------

- bank balances 30,183 13,418 19,056 4,292- letters of placement 31,908 22,686 13,290 1,718- term deposit receipt 1,977 6,896 - 4,769- government securities (PIBs and Tbills) 293,662 156,632 86,371 58,726- term finance certificates 17,642 - 6,128 -- other income 2,001 - - -Net gain / (loss) on sale of investments 84,866 (1,412) 22,997 (51)Net unrealized gain on investments classified 'at fair value - through profit or loss - held-for-trading' 104 - (202) -

462,343 198,220 147,640 69,454Element of income and capital gain in prices of units issued less those of units redeemed - net 83,056 19,644 125,608 8,466 units issued less those of units redeemed - net 83,056 19,644 125,608 8,466

EXPENSES

Remuneration of Primus Investment Management Limited - Management Company 35,248 26,144 12,238 8,752Sindh Sales tax on remuneration of Management Company 6,133 4,852 2,129 1,624Federal excise duty on remuneration of Management company 5,640 4,183 1,958 1,400Remuneration of Central Depository Company of Pakistan Limited - Trustee 3,622 2,114 1,242 710Annual fee to Securities and Exchange Commission of Pakistan 2,644 1,568 918 525Amortization of deferred formation costs 190 190 62 62Annual listing fee 190 188 64 62Auditors' remuneration 221 212 44 46Auditors' remuneration 221 212 44 46Provision for contribution to Workers' Welfare Fund 9 9,824 3,172 5,089 1,124Printing related costs 77 61 17 20Brokerage and settlement charges 243 88 118 27

64,032 42,772 23,879 14,352Net income for the period before taxation 481,367 175,092 249,369 63,568

Taxation - - - -Net income for the period after taxation 481,367 175,092 249,369 63,568


IMLP

10

CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME (UN-AUDITED)FOR THE NINE AND THREE MONTHS PERIOD ENDED MARCH 31, 2015




ended March 31,


ended March 31,


ended March 31,


ended March 31, 2015 2014 2015 2014

(Restated) (Restated)

Net income for the period 481,367 175,092 249,369 110,069

------------------- Rupees in '000 ------------------------------------ Rupees in '000 -----------------

Other Comprehensive Income For The Period

Items that may be reclassified subsequently to income statement:

Net unrealised gain / (loss) on revaluation of investments classified 229,671 (470) 136,895 66 as 'available for sale'

Reclassification adjustment relating to gain realized on maturity / disposal of investment classified as 'available for sale' 1,698 (615) - -

Total comprehensive income for the period 712,736 174,007 386,264 110,135Total comprehensive income for the period 712,736 174,007 386,264 110,135



IMLP

11

CONDENSED INTERIM DISTRIBUTION STATEMENT (UN-AUDITED)FOR THE NINE MONTHS PERIOD ENDED MARCH 31, 2015




ended March 31,


ended March 31,2015 2014

(Restated)-----------------Rupees '000----------------

Undistributed income brought forward 11,023 2,589

Net income for the period 481,367 175,092

First interim distribution 'NIL' (July 31, 2013: Rs. 0.5823) per unit declared on July 31, 2013- bonus units 'NIL' (2013: 2,265 units @ Rs. 100.1191) per unit - (227)- cash distribution - (17,260)

Second interim distribution 'NIL' (August 29, 2013: Rs. 0.6759) per unit- bonus units - ' NIL' (2013: 2,647 units @ Rs. 100.0187) per unit - (265)- cash distribution - (20,034)

Third interim distribution 'NIL' (September 30, 2013: Rs. 0.1000) per unit- bonus units - 'NIL' (2013: 392 units @ Rs. 100.4842) per unit - (39)- cash distribution - (2,964)

Fourth interim distribution 'NIL' (October 30, 2013: Rs. 0.1000) per unit- bonus units - 'NIL' (2013: 391 units @ Rs. 101.0373) per unit - (40)- cash distribution - (2,964)

Fifth interim distribution 'NIL' (December 30, 2013: Rs. 2.2913) per unit- bonus units - 'NIL' (2013: 685,144 units @ Rs. 100.0046) per unit - (68,518)- cash distribution - (4,591)

Sixth interim distribution 'NIL' (January 30, 2014: Rs. 0.7310) per unitSixth interim distribution 'NIL' (January 30, 2014: Rs. 0.7310) per unit- bonus units - 'NIL' (2013: 237,256 units @ Rs. 100.0000) per unit - (23,726)

Seventh interim distribution 'NIL' (February 28, 2014: Rs. 0.6374) per unit- bonus units - 'NIL' (2014: 26,432 units @ Rs. 100.0043) per unit - (2,643)- cash distribution - (15,256)

Eigth interim distribution 'NIL' (March 28, 2014: Rs. 0.5734) per unit- bonus units - 'NIL' (2014: 16,982 units @ Rs. 100.0000) per unit - (1,698)- cash distribution - (13,724)- cash distribution - (13,724)

Undistributed income carried forward 492,390 3,732



IMLP

12

CONDENSED INTERIM STATEMENT OF MOVEMENT IN UNIT HOLDERS' FUND (UN-AUDITED)FOR THE NINE MONTHS PERIOD ENDED MARCH 31, 2015




ended March 31,2015

(Restated)

3,007,056

---------------- Rupees '000 ----------------

3,007,056

3,955,349

(4,345,392)

(19,644)

(1,085)

-

175,092

(17,260)

- (20,034)

- (2,964)

Fourth interim distribution 'NIL' (October 30, 2013: Rs. 0.1000) per unit- cash distribution - (2,964)

Fifth interim distribution 'NIL' (December 30, 2013: Rs. 2.2913) per unit- cash distribution - (4,591)

Seventh interim distribution 'NIL' (February 28, 2014: Rs. 0.6374) per unit- cash distribution - (15,256)

Eigth interim distribution 'NIL' (March 28, 2014: Rs. 0.5734) per unit- cash distribution - (13,724)- cash distribution - (13,724)

5,202,613 2,694,583

Net assets at the beginning of the period

Issue of 105,839,022* units (2014: 39,853,532)

Redemption of 103,925,460 units (2014: 42,978,846)

Element of income and capital gain in prices of of units issued less those of units redeemed- net

Net unrealized gain / (loss) on revaluation of investments classified as 'available-for-sale'

Reclassification adjustment relating to gain realized on maturity / disposal of investment classified as ' available for sale'

Net income for the period after taxation

First interim distribution ' NIL' (July 31, 2013 : Rs. 0.5823) per unit- cash distribution

Second interim distribution 'NIL' (August 29, 2013: Rs. 0.6759) per unit- cash distribution

Third interim distribution 'NIL' (September 30, 2013: Rs. 0.1000) per unit- cash distribution

*This includes NIL units (2014: 690,839) distributed as Bonus units during the period


Net assets as at the end of the period

4,298,517

11,638,890

(11,364,475)

(83,056)

229,671

1,698

481,367

-


ended March 31,2014


IMLP

13

CONDENSED INTERIM CASH FLOW STATEMENT (UN-AUDITED)FOR THE NINE MONTHS PERIOD ENDED MARCH 31, 2015




ended March 31,



(Restated)CASH FLOWS FROM OPERATING ACTIVITIES


-------------------Rupees '000-------------------


Adjustments:Return / mark-up on;- bank balances (30,183) (13,418)- letters of placement (31,908) (22,686)- term deposit receipt (1,977) (6,896)- government securities (293,662) (156,632)- term finance certificates (17,642) -- other income (2,001) -- other income (2,001) -Net loss / (gain) on sale of marketable securities (84,866) 1,412Amortization of deferred formation costs 190 190Element of income and capital gain in prices of units issued less those of units redeemed - net (83,056) (19,644)

(545,105) (217,674)

(Increase) / decrease in current assetsInvestments - net (456,714) 360,063Prepayment and other receivables 161 (212)Prepayment and other receivables 161 (212)

(456,553) 359,851Increase / (decrease) in current liabilitiesPayable to Management Company 7,444 1,272Remuneration payable to the Trustee (307) (16)Annual fee payable to Securities and Exchange Commission of Pakistan 341 (465)Accrued expenses and other liabilities 15,886 8,854

23,364 9,645

Retrun on Bank balances and investment received 451,570 201,432Net cash (used in) / generated from operating activities (45,357)Net cash (used in) / generated from operating activities (45,357)

CASH FLOWS FROM FINANCING ACTIVITIES

Amounts received from issuance of units 11,638,890 3,955,349Amounts paid on redemption of units (11,364,475) (4,345,392)Dividend paid (81,163) (112,077)

Net Cash generated from / (used in) financing activities 193,252 (502,120)Net increase / (decrease) in cash and cash equivalents 147,895 26,226Net increase / (decrease) in cash and cash equivalents 147,895 (175,206)

Cash and Cash equivalents at the beginning of the period 112,274 12,677

Cash and Cash equivalents at the end of the period 260,169 38,903


528,346


IMLP

14

NOTES TO THE CONDENSED INTERIM FINANCIAL INFORMATION (UN-AUDITED)FOR THE NINE MONTHS PERIOD ENDED MARCH 31, 2015

1. LEGAL STATUS AND NATURE OF BUSINESS

Primus Investment Management Limited - Income Fund (formerly Primus Cash Fund) ("the Fund") has been established under a TrustDeed, dated June 20, 2012, between Primus Investment Management Limited as the Management Company, a company incorporatedunder the Companies Ordinance, 1984 and Central Depository Company of Pakistan Limited (CDC) as the Trustee, also incorporatedunder the Companies Ordinance, 1984.

The Fund aims to generate reasonable returns consistent with low risk from a portfolio constituted of high quality short and long termdebt instruments including cash deposits and government securities.

The JCR VIS Credit Rating Company Limited (JCR VIS) has assigned as asset manager rating of AM3 to the Management Company whilethe initial stability rating of AAA(f) has been assigned to the Primus Cash Fund by the Pakistan Credit Rating Agency Limited (PACRA).

2. BASIS OF PREPARATION

The condensed interim financial statements are un-audited and have been prepared in accordance with the requirements of theInternational Accounting Standard, 34 "Interim Financial Reporting" as applicable in Pakistan, Trust Deed the NBFC Rules, the Non-Banking Finance Companies and Notified Entities Regulations, 2008, and in compliance with the Listing Regulations of the Karachi StockExchange Limited.

3. ACCOUNTING POLICIES

The accounting policies adopted for the preparation of these condensed interim financial statements are consistent with those in thepreparation of Fund’s annual financial statements for the year ended June 30, 2014.

March 31 June 30,2015 2014

(Un-audited) (Audited)

4. BANK BALANCESPLS savings accounts 260,169 112,274

260,169 112,2744.1 These represent bank balances with commercial banks carrying market competitive markup rates.

- Available for saleGovernment SecuritesMarket Treasury Bills 5.1.1 540,955 1,076,516Pakistan Investment Bonds 5.1.2 3,125,165 2,949,587

3,666,120 4,026,103- Through profit or loss - 'Held-for-trading'Government SecuritesMarket Treasury Bills 5.2.1 669,472 -

- Unlisted Debt securitiesTerm finance certificate 5.2.2 73,271 -

742,743 -

Loans and receivablesTerm deposit receipt - 110,000Letter of placement 500,000 -

4,908,863 4,136,103

------------------ Rupees '000 ----------------

5.1 Available for sale - Government securities

5.

5.1

INVESTMENTS

5.2

5.1.1 Market Treasury Bills

- Face value of Rs. 100, 000 each unless otherwise stated

-----------Number of Certificates-----------Holding at the

beginning of theperiod

Acquired duringthe period

Mautred / Disposed During the period

Holding atthe end of

period

Market value /Carrying value of

holdings % of Net assets

- 3 Months 10,850 32,450 39,550 3,750 372,987 7.17- 6 Months - 7,250 6,000 1,250 121,259 2.33- 12 Months - 20,990 20,500 490 46,709 0.90

540,955 10.40

540,395Cost of investments as at March 31, 2015

15






period



- 3 years 24,500 27,750 52,250 - - -- 5 years 5,500 5,000 5,000 5,500 600,127 11.54- 10 years - 22,500 500 22,000 2,525,038 48.53

3,125,165 60.07

2,894,111

Pakistan Investment Bonds

5.2.2.1 AKBL PPFTFC - V carry mark-up equal to the six months KIBOR (ask side) plus 120 basis points, receivable semiannually in arrears and will mature in September 2024. These are privately placed, unsecured, unlisted and have AA- rating.

5.2.2.2 SCB TFC - IV carry mark-up equal to the six months KIBOR (ask side) plus 75 basis points, receivable semiannually in arrears and will mature in July 2022. These are privately placed, unsecured, unlisted and have AAA rating.

- Face value of Rs. 100, 000 each unless otherwise stated5.1.2

Cost of investments as at March 31, 2015

5.2 - Through profit or loss - 'Held-for-trading'

5.2.1 Market Treasury Bills

- Face value of Rs. 100, 000 each unless otherwise stated






period



- 3 Months - 9,300 2,500 6,800 669,472 12.87

Cost of investments as at March 31, 2015 669,472

669,472 12.87

2015 2014

6 DEPOSIT, PREPAYMENTS AND RECEIVABLES (Un-audited) (Audited)Prepaid listing fee 29Bank profit 4,785 -Term finance certificate 4,423 -Clean placements and term depostis 5,121 1,024Government securities 64,760 152,262

79,1187. ACCRUED EXPENSES AND OTHER LIABILITIES

Auditors' remuneration 199 177Printing and stationery 37 72Workers Welfare Fund 20,009 10,185PACRA Rating fee 156 6Brokerage Payable 280 343Payable against redemption of units - 37Other Payable 6,054 29

26,735

June 30,MARCH 31

------------Rupees in '000'------------

-----------Number of Certificates-----------

Note

Holding at thebeginning of the

periodAcquired during

the periodMautred / Disposed During the period


period


holdings % of Net assetsBanksAskari Bank Limited - PPTFC V 5.2.2.1 - 80,000 67,400 12,600 63,302 1.22

- 2,000 - 2,000 9,969 0.1973,271 1.4172,687

5.2.2 Term Finance Certificates- Face value of Rs. 5,000 each unless otherwise stated

- Privately PlacedStandar Chartered Bank - TFC IV

Cost of investments as at March 31, 2015

10,849

153,286

5.2.2.2


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16

8. CONTINGENCIES AND COMMITMENTS

There were no contingencies and commitments outstanding as at March 31, 2015

9. PROVISION FOR WORKERS' WELFARE FUND

The Finance Act 2008 introduced an amendment to the Workers' Welfare Fund Ordinance, 1971 (WWF Ordinance). As a result of thisamendment it may be construed that all Collective Investment Schemes / mutual funds (CISs) whose income exceeds Rs. 0.5 million ina tax year, have been brought within the scope of the WWF Ordinance, thus rendering them liable to pay contribution to WWF at therate of two percent of their accounting or taxable income, whichever is higher. In this regard, a constitutional petition has been filed bycertain CISs through their trustees in the Honourable High Court of Sindh (SHC), challenging the applicability of WWF to the CISs, whichis pending adjudication.

Subsequently, the Ministry of Labour and Manpower (the Ministry) vide its letter dated 15 July 2010 clarified that “Mutual Fund(s) isa product which is being managed / sold by the Asset Management Companies which are liable to contribute towards Workers WelfareFund under Section-4 of WWF Ordinance 1971. However, the income on Mutual Fund(s), the product being sold, is exempted under thelaw ibid”.

Further, the Secretary (Income Tax Policy) Federal Board of Revenue (FBR) issued a letter dated October 6, 2010 to the Members (DomesticOperation) North and South FBR. In the letter reference was made to the clarification issued by the Ministry of Labour and Manpowerstating that mutual funds are a product and their income are exempted under the law ibid. The Secretary (Income Tax Policy) FederalBoard of Revenue directed that the Ministry’s letter may be circulated amongst field formations for necessary action. Following theissuance of FBR Letter, show cause notice which had been issued by taxation office to certain mutual funds for payment of levy underWWF were withdrawn. However, the Secretary (Income Tax Policy) Federal Board of Revenue vide letter January 4, 2011 has cancelledab-initio clarificatory letter dated October 6, 2010 on applicability of WWF on mutual funds and issued show cause notices to certainmutual funds for collecting WWF. In respect of such show cause notices, certain mutual funds have been granted stay by Honorable HighCourt of Sindh on the basis of the pending constitutional petition in the said court as referred above.

Furthermore, in 2011 the Honourable Lahore High Court in a Constitutional Petition relating to the amendments brought in WWFOrdinance through the Finance Act 2006, and the Finance Act, 2008, has declared the said amendments as unlawful and unconstitutional.The Management Company is hopeful that the decision of the Honourable Lahore High Court, will lend further support to the ConstitutionalPetition which is pending in the Honourable High Court of Sindh.

During the year ended June 30, 2013, the Larger Bench of the Sindh High Court (SHC) issued a judgment in response to a petition inanother similar case in which it is held that the amendments introduced in the WWF Ordinance through Finance Acts, 2006 and 2008do not suffer from any constitutional or legal infirmity.

During the year ended June 30, 2014, the Honourable Peshawar High Court on a petition filed by certain aggrieved parties (other thanthe mutual funds) have adjudicated that the amendments introduced in the Workers Welfare Fund Ordinance, 1971 through the FinanceActs of 1996 and 2009 lacks the essential mandate to be introduced and passed through the money bill under the Constitution of Pakistanand hence have been declared as ultra vires the Constitution.

However, without prejudice to the above, the Management Company, as a matter of abundant caution, has decided to record theprovision for WWF in aggregate.

10. TRANSACTIONS WITH CONNECTED PERSONS

10.1 Connected persons / related parties include Primus Investment Management Limited being the Management Company, Central DepositoryCompany of Pakistan Limited being the Trustee, Pak Brunei Investment Company Limited being the holding company of the ManagementCompany, Pak Brunei Investment Company Limited - Employee Provident Fund, other collective investment schemes managed by theManagement Company and key management personnel.

10.2 Transactions with connected persons are carried out in normal course of business at contracted rates and terms determined in accordancewith market norms.

10.3 Detail of balances outstanding at the period end with connected persons are as follows:

Primus Investment Management Limited - Management CompanyRemuneration payable to the Management Company 4,477 3,535Sindh sales tax payable on remuneration of Management Company 1,518 656Federal excise duty payable on remuneration of Management Company 10,413 4,773Units held - 796,545 units (June 30, 2014 : 987,413 units) 114,490 98,929

Pak Brunei Investment Company LimitedUnits held - 31,956,700 units (June 30, 2014 : 36,893,209 units) 3,800,738 3,696,331Dividend payable - 81,163Central Depository Company of Pakistan Limited - TrusteeRemuneration payable to the Trustee 449 756Security deposit 100 100

March 31, June 30,

--------- Rupees in '000 ---------2015 2014

(Audited)(Unaudited)

17

Key Management Personnel - Directors and Officers of the Management Company and their relativesDirectorUnits held - 18,645 units (June 30, 2014 : 'NIL' units)

Officers and their relativesUnits held - 'Nil' units (June 30, 2014 : 1,164 units)

2,165 -

117-

March 31, June 30,

--------- Rupees in '000 ---------2015 2014




10.4 Detail of transactions with connected persons during the period are as follows:

Primus Investment Management Limited - Management Company

Remuneration of Management Company 35,248 26,144Sindh sales tax on remuneration of Management Company 6,133 4,852Federal excise duty on remuneration of Management Company 5,640 4,183Issuance of 2,785,975 units (2014 : 2,003,751 units) 306,523 204,849Issuance of 'NIL' bonus units (2014 : 22,263 units) - -Redemption of 2,976,848 units (2014 : 2,026,020 units) 326,847 202,902

3,490,000-

4,130,0002,215,0002,275,000

15,04216,33658,478

2,400,000

PRIMUS Investment Management Limited - Provident FundIssuance of 5,722 units (2014 : 'NIL' units) -Redemption of 5,722 units (2014 : 225 units) -

PAK Brunei Investment Employee Provident Fund--

2,114

Director


ended March 31


ended March 31

DirectorIssuance of 63,472 units (2014 : 'Nil' units) -Issuance of 'NIL' bonus units (2014 : 18 units) -Redemption of 44,919 units (2014 : 'Nil' units) -

Officers and their relativesIssuance of 4,406 units (2014 : 'Nil' units) -Issuance of 'NIL' bonus units (2014 : 72 units) -Redemption of 5,485 units (2014 : 225 units) 23

11. DATE OF AUTHORISATION FOR ISSUE

This condensed interim financial information was authorised for issue on April 30, 2015 by the Board of Directors of the ManagementCompany.

9,768,939 2,330,000

8,626,000

1,830,000 28,931 23,812 81,163 650,000

-

621,000647,736

3,800,0003,802,035

3,622

6,775 - 5,147

456 - 577

Key Management Personnel - Directors and Officers of the Management Company and their relatives

Remuneration of the TrusteeCentral Depository Company of Pakistan Limited - Trustee

Redemption of 33,910 units (2014 : 'Nil' units)Issuance of 33,910 units (2014 : 'NIL' units)

------------- Rupees in '000 ---------------2015 2014

Issuance of 87,103,802 units (2014 : 34,301,914 units)

Redemption of 92,040,311 units (2014 : 40,828,506 units)Issuance of 'NIL' bonus units (2014 : 820,655 units)

Placements entered during the period

Mark-up earned on placements during the periodPlacements matured during the period

Mark-up on placemennts received during the period

Sale of investments in market treasury bills / term finance certificatesCash dividend paid during the period

Pak Brunei Investment Company Limited


IMLP

PIML Daily Reserve Fund(formerly Primus Daily Reserve Fund)

FOR THE NINE MONTHS PERIOD ENDED MARCH 31, 2015


20

22

23

24

25

26

27

28

19 Fund’s Information









Daily Reserve Fund(formerly Primus Daily Reserve Fund)

IMLP

19













Trustee Central Depository Company of Pakistan Limited

CDC House, 99 B, Block B, SMCHS,

Main Shahra-e-Faisal, Karachi

Auditors M. Yousuf Adil Saleem & Co. Chartered Accountants

Cavish Court, A-35, Block 7&8, KCHSU,

Shahra-e- Faisal Karachi

Legal Advisors Mohsin Tayebaly & Co.

2nd Floor, Dime Centre, BC-4 Block 9, Kehkashan,

Clifton, Karachi

Bankers Allied Bank LimitedBank Al-Habib LimitedBank Alfalah LimitedFaysal Bank LimitedHabib Bank LimitedUnited Bank Limited

Rating AA + (f) by PACRA


IMLP


20

The Board of Directors of Primus Investment Management Limited, the Management Company of Primus InvestmentManagement Limited - Daily Reserve Fund [formerly Primus Daily Reserve Fund] (the Fund), is pleased to presentthe un-audited condensed interim financial statements for the nine months period ended March 31, 2015.


During the period under review, PIML Daily Reserve Fund maintained AA+(f) rating by PACRA. Moreover, the fundremained a top performer amongst its respective category on YTD basis. The Fund generated FYTD return of 9.27%,outperforming the benchmark FYTD return of 8.23%. During the quarter, exposure in government securities wassignificantly increased by approximately 30% to reach at 71% of net assets. During the month, holding in treasurybills was increased by approximately 15% of net assets. Anticipating a decreasing interest rate scenario we deployedour placements in longer tenors before the interest rate cut, which has helped the Fund enhance its returns.The Fund posted a net income of PKR 128.43 million for the period. As at March 31, 2015 the net assets of theFund were recorded at PKR 2,026.905 million. The net asset value (NAV) per unit as at March 31, 2015 was PKR107.15.

ECONOMIC OUTLOOK






The Fund stability rating 'AA+ (f)' (Double A Plus (f)) assigned by The Pakistan Credit Rating Agency Limited (PACRA)to the Fund remain unchanged.


IMLP

21



ACKNOWLEDGEMENT





IMLP

22

CONDENSED INTERIM STATEMENT OF ASSETS AND LIABILITIESAS AT MARCH 31, 2015



Notes

ASSETS

Bank balances 4

……..(Rupees in '000)…….

Bank balances 4Investments 5

6

TOTAL ASSETS

LIABILITIES

Payabe to Primus Investment Management Limited- Management CompanyPayable to Central Depository Company of Pakistan Limited - TrusteePayable to Central Depository Company of Pakistan Limited - TrusteeAnnual fee payable to Securities and Exchange Commission of PakistanDividend payable -Accrued and other liabilities 7 13,054 10,502TOTAL LIABILITIES

CONTINGENCY 8 - -

NET ASSETSNET ASSETS

Unit holders' funds 2,026,905 3,000,852

Number of units in issue 29,954,443

-------------------No. of units------------------

Net assets value per unit


----------------------Rupees---------------------

March 31 June 3020142015


1,0942,047,548

31,2901,973,253

41,911

3,035,1041,392

18,7223,002,339

12,651

5,820196

1,573

20,643

2,026,905

18,916,519

107.1500 100.1805

3,000,852

34,252

14,6603,845

3104,935

Deposit, prepayment and receivablesPreliminary and flotation costs


IMLPCONDENSED INTERIM INCOME STATEMENT (UN-AUDITED)

FOR THE NINE AND THREE MONTHS PERIOD ENDED MARCH 31, 2015

23




ended March 31,


ended March 31,

For the threemonths period

ended March 31,


ended March 31, 2015 2014 2015 2014

Note

INCOME

Return / mark-up on;- bank balances 120,931 9,489 27,778

……..(Rupees in '000)……. ……..(Rupees in '000)…….

- bank balances 120,931 9,489 27,778- letters of placement 65,728 71,403 13,168 40,134- term deposit receipt 11,691 27,284 - 11,350- government securities 101,917 153,342 27,714 62,371 - reverse repo against PIB 8,127 - - -Other income 69 - 69 -Net unrealized gain on investments classified 'at fair value through profit or loss - held-for-trading' (31) - (31) -Net (loss) / gain on sale of investments 7 500 - 595

206,592 373,460 50,408 142,228

Element of income / (loss) and capital gain / (loss) prices of units issued less those of units redeemed- net (58,119) 9,423 (74,787) (1,755)

EXPENSES

Remuneration of Primus Investment Management Limited - Management Company 9,437 17,578 2,400 6,471Sindh Sales tax on remuneration of Management Company 1,642 3,263 418 1,201Federal excise duty on remuneration of Management company 1,510 2,813 384 1,035Remuneration of Central Depository Company of Pakistan Limited - Trustee 2,136 3,493 585 1,264Annual fee to Securities and Exchange Commission of Pakistan 1,573 2,929 400 1,078Amortization of deferred formation costs 298 298 98 98Amortization of deferred formation costs 298 298 98 98Annual listing fee 19 19 6 6Stability rating fee 150 158 49 47Auditors' remuneration 252 206 76 44Provision for contribution to Workers' Welfare Fund 9 2,621 6,842 (577) 2,613Printing related costs 82 85 47 20Bank, Brokerage and settlement charges 319 497 9 289

20,039 38,181 3,895 14,166Net income for the period before taxation 128,434 344,702 (28,274) 126,307

Taxation - - - -Net income for the period after taxation 128,434 344,702 (28,274) 126,307Net income for the period after taxation 128,434 344,702 (28,274) 126,307


19,084

Restated Restated


IMLP

24




Net income for the period



Net unrealised (loss) / gain on revaluation of investments classified as 'available for sale'

Reclassification adjustment relating to gain realized on maturity / disposal of investment classified as 'available for sale' disposal of investment classified as 'available for sale'

Total comprehensive income for the period




ended March 31, 2015 2014 2015

128,434 344,702

……..(Rupees in '000)…….

1,049 (506)

354 (135)354 -

ended March 31,

344,061129,837



ended March 31, 2015 2014 2015

(28,274) 126,307

……..(Rupees in '000)…….

952 3

- --

ended March 31,

126,310(27,322)


IMLP

25






2015 2014

(Restated)……..(Rupees in '000)…….

Undistributed income brought forward 5,761 9,655


Final distribution 'Nil' (July 26, 2013: @ Rs. 0.2302 per unit, declared on )- bonus units - 'Nil' units (2013: 41,745 units @ Rs.100.5366 per unit) - (4,197)- cash distribution - (5,458)

- bonus units - 'Nil' units (2013: 114,914 units @ Rs.100.0645 per unit) - (11,499)- cash distribution - (15,835)

Second interim distribution 'Nil' (August 29, 2013: @ of Rs. 0.7162 per unit)- bonus units - 'Nil' units issued (2013: 162,324 units @ Rs. 100.0106 per unit) - (16,234)- cash distribution - (17,068)

Third interim distribution 'Nil' (September 30, 2013: @ Rs. 0.1000 per unit)- bonus units - issued 'Nil' units (2013: 26,309 units @ Rs. 100.5805 per unit) - (2,646)- cash distribution - (2,513)- cash distribution - (2,513)

Fourth interim distribution 'Nil' (October 30, 2013: @ Rs. 1.2883 per unit)- bonus units - issued 'Nil' (2013: 314,749 units @ Rs. 100.0206 per unit) - (31,481)- cash distribution - (35,328)

Fifth interim distribution 'Nil' (December 02, 2013: @ Rs. 0.3931 per unit)- bonus units - issued 'Nil' units (2013: 104,181 units @ Rs. 100.3000 per unit) - (10,449)- cash distribution - (11,633)

Sixth interim distribution 'Nil' (December 30, 2013: @ Rs. 0.9762 per unit)- bonus units - issued 'Nil' units (2013: 297,594 units @ Rs. 100.0008 per unit) - (29,760)- cash distribution - (26,947)

Seventh interim distribution 'Nil' ( January 30, 2014: @ Rs. 0.7992 per unit)- bonus units - issued 'Nil' (2013: 224,508 units@ Rs. 100.0000 per unit) - (22,451)- cash distribution - (22,096)

Eighth interim distribution 'Nil' (February 28, 2014: @ Rs. 0.7102 per unit)- bonus units - issued 'Nil' (2013: 235,451 units@ Rs. 100.0035 per unit) - (23,546)- cash distribution - (17,552)

Nineth interim distribution 'Nil' (March 30, 2014: @ Rs. 0.6672 per unit)- bonus units - issued'Nil' (2013: 229,810 units@ Rs. 100.0000 per unit) - (22,981)- cash distribution - (16,489)


The annexed notes from 1 to 11 form an integral part of these condensed interim financial statements.The annexed notes from 1 to 11 form an integral part of these condensed interim financial statements.

ended March 31,ended March 31,

First interim distribution 'Nil' (July 31, 2013: @ Rs. 0.6127 per unit)


IMLP

26




ResatedNet assets at the beginning of the period 3,000,852 4,000,900

……..(Rupees in '000)…….

Issuance of 15,575,968 units (2014: 91,893,094 units) 6,177,331 9,054,331

Redemption of 11,890,430 units (2014: 72,416,578 units) (7,339,234) (7,272,501)

Element of loss and capital loss included in prices of units issued less those of units redeemed- net 58,119 (9,423)

Net un-realised depreciation on re-measurement of investments classified as 'available for sale' 1,049 (641)

Reclassification adjustment relating to gain realized on maturity / disposal of investment classified as ' available for sale' 354 -

Net income for the period after taxation 128,434 344,702

Final interim distribution ‘NIL’ (@ Rs. 0.2302 per unit declared on July 26, 2013)- cash distribution - (5,458)

First interim distribution ‘NIL’ (@ Rs. 0.6127 per unit declared on July 31, 2013)- cash distribution - (15,835)- cash distribution - (15,835)

Second interim distribution ‘NIL’ (@ Rs. 0.7162 per unit declared on August 29, 2013)- cash distribution - (17,068)

Third interim distribution ‘NIL’ (@ Rs. 0.1000 per unit declared on September 30, 2013)- cash distribution - (2,513)

Fourth interim distribution ‘NIL’ (@ Rs.1.2883 per unit declared on October 30, 2013)- cash distribution - (35,328)

Fifith interim distribution ‘NIL’ (@ Rs. 0.3931 per unit declared on December 02, 2013)- cash distribution - (11,633)

Sixth interim distribution ‘NIL’ (@ Rs. 0.9762 per unit declared on December 30, 2013)- cash distribution - (26,947)

Seventh interim distribution ‘NIL’ (@ Rs. 0.7992 per unit declared on January 30, 2014)- cash distribution - (22,096)

- cash distribution - (17,552)

Nineth interim distribution ‘NIL’ (@ Rs. 0.6672 per unit declared on March 30, 2014)- cash distribution - (16,489)

Net assets as at the end of the period 2,026,905 5,946,449


period ended March 31,

period ended March 31,

2015 2014

For the Nine months

Eighth interim distribution ‘NIL’ (@ Rs. 0.7102 per unit declared on February 28, 2014)


IMLP

27





ended March 31,



CASH FLOWS FROM OPERATING ACTIVITIES

……..(Rupees in '000)…….


Adjustments:Return / mark-up on;- bank balances (19,084) (120,931)- letters of placement (65,728) (71,403)- term deposit receipt (11,691) (27,284)- government securities (101,917) (153,342)- government securities (101,917) (153,342) - reverse repo against PIB (8,127) -Net (gain) on sale of marketable securities (7) (500)

Amortization of deferred formation costs298

298Element of income / (loss) and capital gain / (loss) 58,119 (9,423)

(148,137) (382,585)

Increase / (decrease) in current assetsInvestments - net 1,132,413 (5,144,069)Investments - net 1,132,413 (5,144,069)Prepayments and other receivables (196) (48)

1,132,217 (5,144,117)Increase / (Decrease) in current liabilitiesPayable to Management Company 885 1,159Remuneration payable to the Trustee (114) 197Annual fee payable to Securities and Exchange Commission of Pakistan (2,272) 2,486Accrued expenses and other liabilities 7,198Accrued expenses and other liabilities

1,051 11,040Return on bank balances, tdr, investments 92,258 370,690

Net cash generated from / (used in) operating activities 1,205,823 (4,800,270)


Amounts received from issuance of units 6,177,331 9,054,331Amounts paid on redemption of units (7,339,234) (7,272,501)Dividend paid (14,660) (165,616)

Net Cash generated from / (used in) financing activities (1,176,563) 1,616,214Net increase / (decrease) in cash and cash equivalents 29,260 (3,184,056)

Cash and Cash equivalents at the beginning of the period 12,651 3,230,144


The annexed notes from 1 to 11 form an integral part of these condensed interim financial statements.The annexed notes from 1 to 11 form an integral part of these condensed interim financial statements.

2,552


IMLP

28



Primus Investment Management Limited Daily Reserve Fund (formerly Primus Daily Reserve Fund) ("the Fund") has been establishedunder a Trust Deed, dated October 15, 2012, between Primus Investment Management Limited as the Management Company, a companyincorporated under the Companies Ordinance, 1984 and Central Depository Company of Pakistan Limited (CDC) as the Trustee, alsoincorporated under the Companies Ordinance, 1984.

The Management Company of the Fund has been licensed by the Securities and Exchange Commission of Pakistan (SECP) to undertakeasset management and investment advisory services as a Non-Banking Finance Company. The registered office of Primus InvestmentManagement Limited is situated at 4th Floor, Horizon V ista, Commercial 10, Block 4, Scheme 5, Clifton, Karachi.

The Fund is an open-ended money market fund and is listed on Islamabad Stock Exchange Limited. Units are offered for public subscriptionon continuous basis and can be redeemed by surrendering them to the Fund at the option of the unit holder.

The Fund aims to saving optimization and creating awareness in individuals / SME's & coporate sector for meeting any unexpected costthat may arise in the future, but providing them wiht copetitive return that constitutes low risk, and to maximise current income consistentwiht preservation of capital and liquidity.

The JCR VIS Credit Rating Company Limited (JCR VIS) has assigned an asset manager rating of AM3 to the Management Company whilethe initial stability rating of AA+(f) has been assigned to the Primus Daily Reserve Fund by the Pakistan Credit Rating Agency Limited(PACRA).


2.1 STATEMENT OF COMPLIANCE

This condensed interim financial information has been prepared in accordance with approved accounting standards as applicable inPakistan. Approved accounting standards comprise of such International Financial Reporting Standards (IFRSs) issued by the InternationalAccounting Standards Board as are notified under the Companies Ordinance, 1984, provisions of and directives issued under the CompaniesOrdinance, 1984, the requirements of the Trust Deed, the Non-Banking Finance Companies (Establishment and Regulations) Rules, 2003(the Rules), the Non-Banking Finance Companies and Notified Entities Regulations, 2008 (the Regulations) and directives issued by theSecurities and Exchange Commission of Pakistan (SECP). In case, the requirements differ, the provisions or directives of the CompaniesOrdinance, 1984, the Rules and the Regulations shall prevail.

The disclosures made in this condensed interim financial information have, however, been limited based on the requirements ofInternational Accounting Standard 34: 'Interim Financial Reporting'. This condensed interim financial information does not include allthe information and disclosures required in a full set of financial statements and should be read in conjunction with the published financialstatements of the Fund for the period ended June 30, 2014.



4.1 These represent bank balances with commercial banks carrying market competitive markup rates.

INVESTMENTS

Government Securites

Held - for - Trade - Treasury Bills5.1 1,036,582 1,512,339Available -for - sale - Treasury Bills5.2 416,671 -

1,453,253 1,512,339

Loans and receivablesTerm deposit receipt - 840,000Letter of placement 320,000 650,000Reverse repo - -Certificate of investment 200,000 -

1,973,253 3,002,339

4.

5.

--------Rupees in '000--------2015

March 31 June 30,2014

BANK BALANCESPLS savings accounts 41,911 12,651

12,65141,911

(Audited)(Un-audited)


IMLP

29

Holding at thebeginning of the

periodAcquired during

the periodMatured / Disposed During the period


periodMarket value / Carrying

value of holdings % of Net assets

Three months Treasury Bills 7,900 26,900 31,050 3,750 372,968 18.40Six months Treasury Bills 7,500 12,750 15,500 4,750 464,259 22.90One year Treasury Bills - 6,250 4,250 2,000 199,258 9.83

1,036,485 51.14

Three months Treasury Bills - 3,000 - 3,000Six months Treasury Bills - 1,250 - 1,250

March 31 June 30,

-----------Number of Certificates-----------

5.1

5.2 through profit or loss - 'held - for -trading'- Government Securities

Available - for - Sale - Governmet Securities


There were no contingencies and commitments outstanding as at March 31, 2015.



Subsequently, the Ministry of Labour and Manpower (the Ministry) vide its letter dated 15 July 2010 clarified that “Mutual Fund(s) is aproduct which is being managed / sold by the Asset Management Companies which are liable to contribute towards Workers WelfareFund under Section-4 of WWF Ordinance 1971. However, the income on Mutual Fund(s), the product being sold, is exempted under thelaw ibid”.

20.56

5.9514.61296,118

120,553

416,671

1,452,235Cost of investments as at March 31, 2015

2015 2014

(Un-audited) (Audited)6 DEPOSIT, PREPAYMENTS AND RECEIVABLES

Prepaid Rating fee - 84Listing Fee Pre Paid 6 -Return on Certificate of investment 5,198 -Return on clean placement 14,771 7,528Return on term deposits - 9,762Return on bank balances 9,763 70sale of gov sec 274 -Recoverable from Management Company on account of WWF 1,278 1,278

31,290 18,7227. ACCRUED AND OTHER LIABILITIES

Broker Payable 152 223Auditors' remuneration 229 175Provision for worker's welfare fund 12,466 9,845Against redemption of units - 218Other Payable 207 41

13,054

-------------------Rupees '000'-------------------

10,502


IMLP

Further, the Secretary (Income Tax Policy) Federal Board of Revenue (FBR) issued a letter dated October 6, 2010 to the Members (DomesticOperation) North and South FBR. In the letter, reference was made to the clarification issued by the Ministry of Labour and Manpowerstating that mutual funds are a product and their income are exempted under the law ibid. The Secretary (Income Tax Policy) FederalBoard of Revenue directed that the Ministry’s letter may be circulated amongst field formations for necessary action. Following theissuance of FBR Letter, show cause notice which had been issued by taxation office to certain mutual funds for payment of levy underWWF were withdrawn. However, the Secretary (Income Tax Policy) Federal Board of Revenue vide letter January 4, 2011 has cancelledab-initio clarificatory letter dated October 6, 2010 on applicability of WWF on mutual funds and issued show cause notices to certainmutual funds for collecting WWF. In respect of such show cause notices, certain mutual funds have been granted stay by Honorable HighCourt of Sindh on the basis of the pending constitutional petition in the said court as referred above.








Detail of transactions with connected persons during the period are as follows:


Remuneration of Management CompanySindh sales tax on remuneration of Management CompanyFederal excise duty on remuneration of Management CompanyIssuance of 3,984,155 units (2014 : 3,424,739 units)Redemption of 4,589,891 units (2014 : 6,044,879 units)Cash dividend paid during the period

10.3

30

Sale of investment in market treasury bills

Pak Brunei Investment Company LimitedIssuance of 29,362,477 units (2014 : 44,568,460 units)Redemption of 34,463,173 units (2014 : 45,798,825 units)Placements entered during the periodPlacements matured during the periodMark-up earned on placements during the periodMark-up on placements received during the periodCash dividend paid during the periodPurchase of investments in market treasury bills

9,4371,6421,510

418,694482,769

-

-

3,068,6333,595,0002,015,0002,115,000

18,36315,646

16,481295,000

550,000

4,474,9854,595,0003,690,0003,365,000

33,93732,866

161,7742,100,000

17,5783,2632,813

204,849202,902

3,763

for the Ninemonth period

ended March 31,2015

------------- Rupees in '000 ---------------


ended March 31,2014


IMLP

31

Central Depository Company of Pakistan Limited - TrusteeRemuneration of the Trustee 2,136 3,493

- 78

-Key Management Personnel - Directors and Officers of the Management Company and their relatives

Issuance of 9.8296 units (2014 : 'Nil' units) 1 -




ended March 31,2015

------------- Rupees in '000 ---------------


ended March 31,2014

Redemption of 13,606,054 units

Dividend paid during the periodPak Brunei Investment Company Limited - Employee Provident Fund

Detail of balances outstanding at the period end with connected persons are as follows:

Primus Investment Management Limited - Management CompanyRemuneration payable to the Management Company 792 1,487Sindh sales tax payable on remuneration of Management Company 346 276Federal excise duty payable on remuneration of Management Company 4,682 3,172Units held - 181,265 units (June 30, 2014 : 787,001 units) 19,423 78,842

Pak Brunei Investment Company LimitedUnits held - 1,655,016 units (June 30, 2014 : 6,755,712 units) 177,335 676,791Dividend payable - 16,481

Pak Brunei Investment Company Limited - Employee Provident FundUnits held - 12,000 units (June 30, 2014 : 12,000 units) 1,286 1,202Dividend payable - 8

Unit holders holding 10% or more of units in issueUnits held - 5,421,241 units 580,886

Central Depository Company of Pakistan Limited - TrusteeRemuneration payable to the Trustee 196 310

Key Management Personnel - Directors and Officers of the Management Company and their relativesDirectorUnits held - 9.8296 units (June 30, 2014 : 'NIL' units) 1 -

10.4

March 31, June 30,2015 2014

(Unaudited) (Audited)--------- Rupees in '000 ---------



Unit holders holding 10% or more of units in issue

374,446Issuance of 1,911,130 units 200,000 -

PIML STRATEGIC MULTI ASSET FUNDFOR THE NINE MONTHS PERIOD ENDED MARCH 31, 2015


34

36

37

38

39

40

41

42










Strategic Multi Asset FundIMLP

33














Auditors M. Yousuf Adil Saleem & Co. Chartered AccountantsCavish Court, A-35, Block 7&8, KCHSU,Shahra-e- Faisal Karachi

Legal Advisor Mohsin Tayebaly & Co.2nd Floor, Dime Centre, BC-4 Block 9, Kehkashan,Clifton, Karachi

Bankers Sindh Bank LimitedNIB Bank LimitedHabib Bank LimitedBank Al-Falah LimitedFaysal Bank LimitedBank Al-Habib Limited



34

The Board of Directors of Primus Investment Management Limited, the Management Company of Primus InvestmentManagement Limited . Strategic Multi Asset Fund (¡°the Fund¡±), is pleased to present the un-audited condensedinterim financial statements for the nine months period ended March 31, 2015.


PIML Strategic Multi Asset Fund was launched on August 23, 2013. The Fund falls in the balanced fund categoryand offers a unique investment opportunity, as it is the only Fund in its category that offers exposure to FixedIncome, Equities and Gold. On March 31, 2015 the Net Assets of the Fund stood at PKR 213.57 million, whereasthe Net Assets as on December 31, 2014 were PKR 162.77 million. The FYTD return of the Fund stood at 12.11%,while the benchmark FYTD return was 7.12%, outperforming the benchmark by 857 basis points. At the end ofthis quarter, the Fund.s Net Asset Value (NAV) per unit stood at PKR 117.25.

The Fund has increased its exposure in Equities and taken exposure in PIBs in order to take advantage of thedeclining interest rate scenario. In the outgoing quarter, the exposure in Equities, as a percentage of the net assets,has been increased from 65.33% (as on December 31, 2014) to 67.25% (as on March 31, 2015). In order to takeadvantage of monetary easing going forward, the Fund has tilted the maturity of its investment in PIBs to longertenor securities. The Fund has 8.40% of the net assets invested in PIBs. The Fund currently has no exposure in Goldand the remaining assets are held as cash in bank.

ECONOMIC OUTLOOK






35

EQUITY MARKET REVIEW

The equity market tumbled to unexpectedly low levels in the month of March and the benchmark index droppedby 5,899 points from its all time high level of 34,827 in a continuous downwards movement from February onwards.After gaining 8.4% in 1HFY15, the index lost 5.9% during the third quarter and closed at 30233.87 points, resultingin 9MFY15 return of 1.92%.

Key triggers behind sharp decline of the equity market in recent months were 1) liquidation of foreign hedge funds.stake in Pakistan 2) changes in CGT rules for foreign investors and 3) selling from local mutual funds. Net foreigninflow during the 1HFY15 stood at USD 113bn, where as in the third quarter, foreigner were net sellers of USD131.09bn, resulting in cumulative net selling of USD 18.03bn in the period 9MFY15.

The correction witnessed in recent period was a one off event triggered by excess supply in the market from foreignselling, as the fundamentals of the economy remain strong and are showing improvement on many fronts. Highforex reserves, benign inflation, monetary easing cycle, progress on IMF.s front and recent credit rating upgradefrom Moody.s are all the factors that indicate strong performance of the economy.

Based on performance of the economy and expected growth in earnings of corporate sector, we believe thatmarket will close the lately observed divergence from the economy and will re-rate to pre-fall levels.



ACKNOWLEDGEMENT





36

CONDENSED INTERIM STATEMENT OF ASSETS AND LIABILITIESAS AT 31 MARCH 2015




ASSETS

4 47,996 14,483

-----------------Rupees in '000' -----------------

4 47,996 14,4835 161,567 95,381

921 1,0116 5,472 7,489

1,839 2,248217,795 120,612

LIABILITIES

Payabe to Primus Investment Management Limited- Management Company 1,109 3,240Payabe to Primus Investment Management Limited- Management Company 1,109 3,240Payable to Central Depository Company of Pakistan Limited - Trustee 59 58Annual fee payable to Securities and Exchange Commission of Pakistan 92 85Dividend payable - 2,680Accrued and other liabilities 7 2,970 819TOTAL LIABILITIES 4,230 6,882

CONTINGENCY 8 -

NET ASSETS 213,565 113,730

Unit holders' funds 213,565 113,730


-------------------No. of units------------------

-----------------------Rupees----------------------Net assets value per unit 117.25 104.59


-----------------------Rupees----------------------

Deposits, Prepayments and receivablesProfit receivable on Bank balances and Govt. securitiesInvestmentsBank balances

Preliminary and flotation costsTOTAL ASSETS

2015 2014June 30March 31



37



Note(Restated) (Restated)

INCOME

-------------------- Rupees in '000 --------------------------------------- Rupees in '000 -------------------

INCOME

Return / mark-up on;- bank balances 1,299 3,083 566 810- government securities 1,898 25 698 25Dividend income 4,545 3,100 2,315 850Other income 10 178 - 136Net gain / (loss) on sale of investments 8,708 (165) 7,367 (580)Net unrealized (loss) / gain on investments classified 'at fair value - - through profit or loss - held-for-trading' (4,488) 5,738 (11,871) 3,443

11,972 11,959 (925) 4,684Element of income / loss and capital gain / lossElement of income / loss and capital gain / loss in prices of units issued less those of units redeemed - net 15,033 (282) 11,772

EXPENSES

Remuneration of Primus Investment Management Limited - Management Company 2,170 1,429 887 567Sindh Sales tax on remuneration of Management Company 378 265 155 105Federal excise duty on remuneration of Management company 347 229 142 91Remuneration of Central Depository Company of Pakistan Limited - Trustee 525 424 172 173Annual fee to Securities and Exchange Commission of Pakistan 92 61 37 24Amortization of deferred formation costs 408 328 135 135Annual listing fee 30 215 10 18Auditors' remuneration 229 191 42 53Auditors' remuneration 229 191 42 53Provision for contribution to Workers' Welfare Fund 447 166 180 68Brokerage and settlement charges 401 361 208 115Printing related costs 6 65 (29) 27Other expenses 1 95 1 -

5,034 3,829 1,940 1,376Net income for the period before taxation 21,971 7,848 8,907 3,322

Taxation - -Net income for the period after taxation 21,971 7,848 8,907 3,322


14

for the Ninemonths period

ended March 31,


ended March 31,

for the Threemonths period

ended March 31,


ended March 31, 2015 2014 2015 2014

9


38




Net income for the period 21,971 7,848 17,149 3,322

Other comprehensive income for the period:


Net unrealised (loss) / gian on revaluation of investments classified 5,496 883 5,941 1,328 as 'available for sale' as 'available for sale'

Reclassification adjustment relating to gain realized on maturity /disposal of investments classified as 'available-for-sale' (1,038) - (524) -

Total comprehensive income for the period 4,650


8,731


ended March 31,


ended March 31,


ended March 31,


ended March 31, 2015 2014 2015 2014

26,429

----------------- Rupees in '000 --------------------------------- Rupees in '000 ----------------

22,566


39





ended March 31,



------------------Rupees in '000'-----------------

Undistributed income brought forward 4,097 -


First interim distribution 'Nil' (December 30, 2013: Rs. 0.7852 per unit) - bonus units 'Nil' (2013: 267 units @Rs. 101.9399 per unit) - (27) - cash distribution - (819)

Undistributed income carried forward


7,00226,068


40





ended March 31,



Net assets at the beginning of the period 113,730 -

Issue of 3,926,868* units (2013: 3,721,014) 455,728 372,982

------------------Rupees in '000'-----------------

Issue of 3,926,868* units (2014: 3,721,014) 455,728 372,982

Redemption of 3,192,802 units (2014: 2,640,630) (367,289) (265,253)

Reclassification adjustment relating to gain realized on maturity / disposal of investments classified as 'available-for-sale' (1,038) -

Net un-realised depreciation on re-measurement of investments classified as 'available for sale' 5,496 883

Net income for the period 21,971 7,848Net income for the period 21,971 7,848

First interim distribution 'Nil' (December 30, 2013: Rs. 0.7852 per unit) - cash distribution - (819)

Element of loss and capital loss included in prices of units issued less those of units redeemed- net (15,033) 282

Net assets as at the end of the period 213,565 115,923

*This includes 'Nil' (2014: 267) units distributed as Bonus units during the period







ended March 31,




-------------------Rupees in '000'-------------------


Adjustments:Return / mark-up on;- bank balances (1,299) (3,083)- government securities (1,898) (25)Dividend income (4,545) (3,100)Other income (10) (178)Net (gain) on sale of marketable securities (8,708) 165Net (gain) on sale of marketable securities (8,708) 165Amortization of deferred formation costs 408 328Element of income / loss and capital gain / loss in prices of units issued less those of units redeemed - net (15,033) 282Net unrealized gain / (loss) on investments classified 'at fair value through profit or loss - held-for-trading' 4,488 (5,738)

(26,597) (11,349)

(Increase) / decrease in current assetsInvestments - net (57,508) (80,594)Prepayments and other receivables 4,148 (12,262)Other income received 10 178Dividend income received 2,415 2,250

(50,935) (90,428)Increase / (decrease) in current liabilitiesPayable to Management Company (2,131) 3,604Payable to Management CompanyRemuneration payable to the Trustee 1 59Annual fee payable to Securities and Exchange Commission of Pakistan 7 61Accrued expenses and other liabilities 2,151 331

28 4,055

Return on bank balances and investments received 3,287 2,753

Net cash generated from / (used in) operating activities (52,246) (87,121)

CASH FLOWS FROM FINANCING ACTIVITIESCASH FLOWS FROM FINANCING ACTIVITIES

Amounts received from issuance of units 455,728 372,982Amounts paid on redemption of units (367,289) (265,253)Dividend paid (2,680) (819)

Net Cash generated from / (used in) financing activities 85,759 106,910Net increase / (decrease) in cash and cash equivalents 33,513 19,789

14,483 -

47,996 19,789

41


Cash and Cash equivalents at the end of the period

Cash and Cash equivalents at the beginning of the period



1. LEGAL STATUS AND NATURE OF BUSINESSPrimus Investment Management Limited Strategic Multi Asset Fund ("the Fund") has been established under a Trust Deed, dated April11, 2013, between Primus Investment Management Limited as the Management Company, a company incorporated under the CompaniesOrdinance, 1984, and Central Depository Company of Pakistan Limited (CDC) as the Trustee, also incorporated under the CompaniesOrdinance, 1984.

The Management Company of the Fund has been licensed by the Securities and Exchange Commission of Pakistan (SECP) to undertakeasset management and investment advisory services as a Non-Banking Finance Company. The registered office of Primus InvestmentManagement Limited is situated at 4th Floor, Horizon Vista, Commercial 10, Block 4, Scheme 5, Clifton, Karachi.

The Fund is an open-ended balanced scheme and is listed on Karachi Stock Exchange Limited. Units are offered for public subscriptionon continuous basis and can be redeemed by surrendering them to the Fund at the option of the unit holder.

The Fund aims to offer retail and institutional clients a product that aims to maximize return and minimize risk. For this purpose, abalanced portfolio is created that has an optimal mix of equity, debt securities and commodity.

The JCR VIS Credit Rating Company Limited (JCR VIS) has assigned as asset manager rating of AM3 'with positive outlook' to theManagement Company.



This condensed interim financial information has been prepared in accordance with the approved accounting standards as applicablein Pakistan. Approved accounting standards comprise of such International Financial Reporting Standards (IFRS) issued by the InternationalAccounting Standards Board as are notified under the Companies Ordinance, 1984, the Non-Banking Finance Companies (Establishmentand Regulation) Rules, 2003 (the NBFC Rules), the Non-Banking Finance Companies and Notified Entities Regulations, 2008 (the NBFCRegulations) and directives issued by the Securities and Exchange Commission of Pakistan (SECP). Wherever the requirements of theNBFC Rules, the NBFC Regulations or directives issued by the SECP differ with the requirements of IFRS, the requirements of the NBFCRules, the NBFC Regulations or the directives issued by the SECP shall prevail.




March 31 June 30


Available - for - sale

2015-------Rupees------


14,48347,996BANK BALANCESPLS savings accounts

4.

47,996 14,483

5. INVESTMENTS

2014

161,567 95,381

42

Held - for - trading

------------------------ Number of certificates -------------------------- At the Acquired Disposed Holding Market % of

beginning of during the during the at the end value net the period period period of the period (Rupees) assets

Government Securities - face value of Rs. 100/- each

Available-for-Sale - Government Securities

3 - Years Pakistan Investment Bonds 200,000 - 200,000 - - -

Quoted ordinary shares 5.2 37,009 39,829Pakistan Investment Bond 5.1 - 19,731

5.1

Quoted ordinary shares 5.3 17,936 -5.4 106,622 35,821Quoted debt security


5.2 Quoted ordinary sharesOrdinary shares have a face value of Rs.10/- each unless stated otherwise.


At the Acquired Bonus / rights Disposed Holding Market % of beginning of during the received during during the at the end value net

Sectors / Companies the period period the period period of the period (Rupees 000) assets

FertilizerFatima fertilizer Limited 70,000 5,000 - 50,000 25,000 964 0.45Fauji Fertilizer Bin Qasim Limited - - - - - - -

964 0.45

Pakistan Petroleum Limited 10,000 15,000 - 25,000 - - -Pakistan Oil Fields Limited - 5,000 - 5,000 - - -

- -Construction & Materials (Cement)D.G. Khan Cement Company Limited 85,000 15,000 - 9,000 91,000 10,174 4.76Lucky Cement Company Limited 10,000 13,000 - 13,000 10,000 4,459 2.09Fauji Cement Company Limited 50,000 - - - 50,000 1,424 0.67

16,057 7.52Automobile and PartsGeneral Tyre Company Limited 20,000 - - 10,000 10,000 1,171 0.55

Fixed Line TelecomunicationPakistan Telecomunication Company Limited 61,000 35,000 - 96,000 - - -

InsuranceAdamjee Insurance Company Limited 80,000 - - 80,000 - - -

ElectricityNishat Chunian Power limited 100,000 - - - 100,000 5,149 2.41Nishat Power limited 35,000 9,500 - 44,500 - - -K Electric Limited 50,000 - - 50,000 - - -Kot Addu Power Company Limited 100,000 - - - 100,000 7,778 3.64Engro Powergen Qadirpur Limited - 2,552 - 2,552 - - -Hub Power Company Limited - - - - - -

12,927Commercial Banks

Askari Bank Limited 20,000 - - 20,000 - - -Bank Alfalah Limited 100,000 - - - 100,000 2,563 1.20United Bank Limited 10,000 - - - 10,000 1,539 0.72Bank Alhabib Limited - 25,000 - - 25,000 1,077 0.50Habib Bank Limited - 11,000 - 7,000 4,000 711 0.33

5,890 2.76

Market value as at March 31, 2015 37,009 17.33Cost as at March 31, 2015 31,514

------------------------ Number of shares --------------------------

Oil & Gas

6.05

43

------------------------ Number of certificates -------------------------- At the Acquired Disposed Holding Market % of

beginning of during the during the at the end value net the period period period of the period (Rupees 000) assets

5.3 through profit or loss - 'held-for-trading' - Government Securities

15 - Years Pakistan Investment Bonds - 150,000 - 150,000 17,936 8.40

Market value as at March 31, 2015Cost as at March 31, 2015 17,185

17,936


------------------------ Number of shares -------------------------- At the Acquired Bonus / rights Disposed Holding Market % of

beginning of during the received during during the at the end value netSectors / Companies the period period the period period of the period (Rupees 000) assetsFertilizer

Engro Corporation Limited 3,000 47,500 - 15,000 35,500 9,120 4.27Engro Fertilizer Limited - 10,000 - 10,000 - - -Fauji Fertilizer Bin Qasim Limited - 20,000 - 20,000 - - -Engro Corporation Limited - 42,000 - - 42,000 1,620 0.76

10,740 5.03Oil & Gas -

Pakistan State Oil Company Limited 26,000 27,000 - 7,000 46,000 15,842 7.42Mari Petroleum Company Limited - 7,025 500 7,500 25 13 0.01Oil and Gas Development Corporation Limited 4,000 - 4,000 - - -Pakistan Oil Fields Limited 4,000 - 4,000 - - -

15,855 7.42Construction & Materials (Cement)Maple Leaf Cement Company Limted 115,000 173,500 - 50,000 238,500 11,458 5.37D.G Khan Cement 10,000 25,000 - 35,000 - - -Cherat Cement Company Limited 28,000 - - 28,000 1,921 0.90Lucky Cement Company Limited 8,500 - - 8,500 3,790 1.77Pioneer Cement Company Limited 116,500 - 40,000 76,500 6,013 2.82Lafarge Pakistan Cement Limited 300,000 - 300,000 - - -Fauji Cement Compay Limited 200,000 230,000 - - 430,000 12,242 5.73

35,424 16.59Pharma and Bio TechGlaxo Smith Kline 11,000 4,000 - 9,100 5,900 1,035 0.48

44

Textile CompsiteNishat Mills Limited 5,000 84,000 - 89,000 9,094.00 4.26Gul Ahmed Textile Mills Limited - 25,000 6,250 16,500 14,750 716.00 0.34

9,810.00 4.59Cable and Electrical GoodsPak Electron Limited 40,000 142,000 14,000 94,000 102,000 4,533 2.12Automobile Assembler

Ghandhara Nissan Limited - 10,000 - 10,000 - - -Pak Suzuki Motor Company Limited 7,000 25,900 - 8,300 24,600 8,524 3.99

8,524 3.99Automobile and Parts

General Tyre Company Limited 400 - - 400 47 0.02

InsuranceAdamgee Insurance Company Limited 80,000 - - 80,000 3,198 1.50

Travel and LeisurePakistan International Airline 200,000 - 200,000 - - -

MiscellaneousSyenthetic Products Entrerprises Limited 20,000 - 20,000 - - -

ElectricityKot Addu Power Company Limited - 3,000 - - 3,000 233 0.11Karachi Electric Limited 100,000 - - 100,000 711 0.33Hub Power Company Limited - 45,000 - - 45,000 3,842 1.80

4,786 2.24Commercial Banks

Askari Bank Limited 30,000 - - 30,000 - - -Fysal Bank Limited 50,000 50,000 7,500 - 107,500 1,546 0.72Bank Alfalah Limited - 43,000 - - 43,000 1,102 0.52Bank Al Habib Limited - 25,000 - - 25,000 1,077 0.50National Bank of Pakistan 60,000 30,000 - - 90,000 4,552 2.13United Bank Limited 10,338 18,200 - - 28,538 4,393 2.06

12,670 5.93

Market value as at March 31, 2015 106,622 49.92

Cost as at March 31, 2015 111,871

















45

March 31 June 302015

-------Rupees------(Un-audited) (Audited)6 DEPOSIT, PREPAYMENTS AND RECEIVABLES

Margin deposit with Pakistan Mercantile Exchange Limited (PMEX) - 2,958Security deposit National Clearing Company of Pakistan Limited (NCCPL) 3,019 3,019Security deposit Central Depository Company of Pakistan Limited (CDC) 100 100Advance against investment in book building process - 1,050Dividend receivable 2,315 185Others 38 177

5,472 7,4897. ACCRUED AND OTHER LIABILITIESWorkers Welfare Fund 632 185Auditors' remuneration 187 155Payable against transaction in marketable securities 2,069 117Other Payable 82 362Broker Payable 2,970 819

2014


11. SUBSEQUENT EVENT - DISTRIBUTION TO UNIT HOLDERS

The Chief Executive Officer of the Management Company under the authority granted to him by the Board of Directors of the ManagementCompany has approved interim distribution to the unit holders' at rate of Rs. 8.25/- per unit on April 22, 2015 .



46




Primus Investment Management Limited - Management CompanyRemuneration payable to the Management CompanySindh sales tax payable on remuneration of Management CompanyFederal excise duty payable on remuneration of Management CompanyUnits held - 15,971 units (June 30, 2014: 354,133 units)Units held - 15,971 units (June 30, 2014: 354,133 units)Preliminary and floatation costs payable to Management CompanyOther payablePak Brunei Investment Company LimitedUnits held - 1,499,196 units (June 30, 2014: 701,461 units)Dividend payablePre IPO profit payable

Central Depository Company of Pakistan Limited - TrusteeRemuneration payable to the TrusteeSecurity deposit



Remuneration of Management CompanySindh sales tax on remuneration of Management CompanyFederal excise duty on remuneration of Management CompanyIssuance of 1,867033 (2014: 1,681,574) unitsRedemption of 2,205,194 (2014:1,339,999) unitsCash dividend paid during the period

Pak Brunei Investment Company LimitedIssuance of 1,499,196 (2014: 2,000,000) unitsRedemption of 701,461 (2014: 1,298,539) unitsCash dividend paid during the period

Central Depository Company of Pakistan Limited - TrusteeRemuneration of the Trustee

Primus Investment Management Limited - Employee Provident FundIssuance of 'Nil' (2014: 6,937) unitsIssuance of 'Nil' (2014: 53) bonus units

Key Management Personnel - Directors and Officers of the Management Company and their relativesOfficers and their relativesIssuance of 2,988 (2014: 50) unitsIssuance of (2014: 0.4) bonus unitsRedemption of 2,988 units (2014 : nil units)

(Unaudited) (Audited)

346 192113 36647 299

1,873 38,296

----- Rupees in '000 -----

1,873 38,296- 2,711

3 2

75,265 75,856- 2,680- 271

59 58100 100

for the Nine month period

ended March 31,2015

---- Rupees in '000 ----

for the Nine month period

ended March 31,2014

2,170 1,429378 265347 229

211,711 169,00038,101 134,938

- 268

178,211 200,000 78,374 129,985 - 551

525 424

- 703- -

350 5 - - 362 -

March 31,2015

June 30,2014

PIML ISLAMIC MONEY MARKET FUNDFOR THE NINE MONTHS PERIOD ENDED MARCH 31, 2015


49

51

52

53

54

55

56

57










Islamic Money Market FundIMLP

48














Auditors KPMG Taseer Hadi & Co.Chartered AccountantsSheikh Sultan Trust Building No.2Beaumont Road Karachi. 75530


Bankers Habib Bank Limited (Islamic Banking)Bank Al-Falah Limited (Islamic Banking)

Rating AA (f) by PACRA

Shariah Advisor Fortune Islamic Services3rd Floor Razi Tower, BC-13, Block-9KDA Scheme No.5, Clifton, Karachi.



49

The Board of Directors of Primus Investment Management Limited, the Management Company of Primus InvestmentManagement Limited . Islamic Money Market Fund (¡°the Fund¡±), is pleased to present the un-audited condensedinterim financial statements for the nine months period ended March 31, 2015.


During the period under review, PIML Islamic Money Market Fund maintained AA(f) rating by PACRA. The Fundgenerated FYTD return of 5.95%, underperforming the benchmark FYTD return of 6.35%. With limited avenuesavailable, the assets remained deployed as cash at bank. The Fund has a cautious approach and awaits anyopportunity to gradually and optimally increase its exposure in Shariah complaint securities/instruments.The Fund posted a net income of PKR 5.03 million for the period. As at March 31, 2015 the net assets of the fundwere recorded at PKR 116.313 million. The net asset value (NAV) per unit as at March 31, 2015 was PKR 104.67.

ECONOMIC OUTLOOK






The Fund stability rating 'AA (f)' (Double A (f)) assigned by The Pakistan Credit Rating Agency Limited (PACRA) tothe Fund remain unchanged.




50

ACKNOWLEDGEMENT






51



March 31 June 302015 2014


ASSETS

----------------Rupees in '000'-------------

754

LIABILITIES

Payabe to Primus Investment Management Limited- Management Company 2981Payable to Central Depository Company of Pakistan Limited - Trustee 14Annual fee payable to Securities and Exchange Commission of Pakistan 72Annual fee payable to Securities and Exchange Commission of Pakistan 72Dividend payable 1711Accrued and other liabilities 639 257TOTAL LIABILITIES

CONTINGENCY 7 -

NET ASSETS



Net assets value per unit 104.67

-------------------No. of units------------------

--------------------Rupees--------------------Net assets value per unit 104.67


Deposit, prepayments and receivablesPreliminary and flotation costsTOTAL ASSETS

Bank balances 45

6

114,076824

2,293117,193

2,731116,096

112611

1601566

-

880

116,313 111,061

5,035

1,109,064

100.14



52



for theNine

months

for the periodended from

February 17, 2014


ended March 31,


February 17, 2014

2015 2014 2015 2014Note

INCOME

--------------------- Rupees in '000 ------------------------------------ Rupees in '000 --------------

- bank balances 6,937 8,096 2,402 8,0966,937 8,096 8,096

(123) 4 4

EXPENSES

Remuneration of Primus Investment Management Limited - Management Company 437 321 148 321Sindh Sales tax on remuneration of Management Company 60 60Federal excise duty on remuneration of Management company 70 51 24 51Remuneration of Central Depository Company of Pakistan Limited - Trustee 96 96Remuneration of Central Depository Company of Pakistan Limited - Trustee 96 96Annual fee to Securities and Exchange Commission of Pakistan 48 48Auditors' remuneration 31 31Fee and subscription 16 16Printing and Stationary - -Amortization of deferred formation costs 45 45Provision for contribution to Workers' Welfare Fund 149 149Bank and settlement charges 1 1

Net income for the period before taxation

Taxation - -Net income for the period after taxationNet income for the period after taxation


period March 31,

2,402

1541566

(1)

15417,282 7,2825,033-

5,0331,781

76

13166

199164

93438103

4

Element of losses / income and capital losses / gains included in prices of untis issued less those in units redeemed - net

Return / mark-up on;

(295)

26

4423585414

14432

8187,282

-

8187,282

8

March 31, March 31,


53




5,033 7,282 1,541 7,282

-------------------- Rupees in '000 -------------------------------------- Rupees in '000 ------------------

5,033 7,282 1,541 7,282


- - - -

5,033 7,282 1,541 7,282




for theNine

months


February 17, 2014


ended March 31,


February 17, 2014

2015 2014 2015 2014period March 31, March 31, March 31,


54





ended March 31,


February 17, 2014 March 31,

2015 2014------------------Rupees in '000'-----------------

-

7,282

7,2825,188

5,033

155


Undistributed income carried forward


Undistributed income brought forward


55





ended March 31,

for the periodended from February17, 2014 to March 31,

2015 2014

-------------------Rupees in '000'-------------------


Issue of 180,150 units (2014: 8,332,579) 18,355 833,262

Redemption of 177,965 units (2014: 'Nil') (18,260) -


Element of loss / gain and capital loss / gain included in prices of units issued less those of units redeemed- net 123 (4)

Net assets as at the end of the period


116,313 840,540


56





-----------------------Rupees in '000' -----------------------



Adjustments:Return / mark-up on;- bank balances (6,937) (8,096)Amortization of deferred formation costs 438 45Element of losses / income and capital losses / gains included in prices of untis issued less those in units redeemed - net 123 (4)

(6,376) (8,055)(6,376) (8,055)

Increase / (decrease) in current assetsPrepayments and other receivables 130 (449)Defferred formation cost - (2,922)

130 (3,371)Increase / (decrease) in current liabilitiesPayable to Management Company (2,820) 3,364Remuneration payable to the Trustee 1 96Annual fee payable to Securities and Exchange Commission of Pakistan (6) 48Annual fee payable to Securities and Exchange Commission of Pakistan (6) 48Accrued expenses and other liabilities 382 645

(2,443) 4,153

Return on bank balances received 6,737 2,244

Net cash generated from operating activities 3,081 2,253


Amounts received from issuance of units 18,355 833,262Amounts paid on redemption of units (18,260)Amounts paid on redemption of units (18,260)Dividend paid (1,711) -

Net Cash generated from financing activities (1,616) 833,262Net increase in cash and cash equivalents 1,465 835,515

Cash and Cash equivalents at the beginning of the period 112,611




ended March 31,

for the periodended from February17, 2014 to March 31,

2015 2014


57



PIML Islamic Money Market Fund ("the Fund") has been established under a Trust Deed, dated May 15, 2013 between Primus InvestmentManagement Limited as the Management Company, a company incorporated under the Companies Ordinance, 1984 and CentralDepository Company of Pakistan Limited (CDC) as the Trustee, also incorporated under the Companies Ordinance, 1984.


The Fund is an open-ended money market fund and is listed on Islamabad Stock Exchange Limited. Units are offered for public subscriptionon continuous basis and can be redeemed by surrendering them to the Fund at the option of the unit holder.

The Fund aims to seek high liquidity, competitive return and maximum possible preservation of the capital for investors by investing inlow risk Shariah Compliant securities.

The JCR VIS Credit Rating Company Limited (JCR VIS) has assigned an asset manager rating of AM3 to the Management Company whilethe initial stability rating of AA (f) has been assigned to the PIML - Islamic Money Market Fund by the Pakistan Credit Rating AgencyLimited (PACRA).







4. BANK BALANCES


PLS savings accounts


5. DEPOSIT, PREPAYMENTS AND RECEIVABLESPrepaid listing fee 2 132Return on bank balances 822 622

824 754

6. ACCRUED AND OTHER LIABILITIESWorkers Welfare Fund 144 41FED payable on management company's remuneration 146 76Sales tax payable on Management Company remuneration 17 9PACRA Rating fee 24 -other payable 52 18Auditors' remuneration 176 113Payable against redemption of units 80 -

639 257

----------Rupees in '000'---------

March 31 June 302015 2014

114,076 112,611112,611114,076


58
















Remuneration of Management Company 437 321Sindh sales tax on remuneration of Management Company 164 16Federal excise duty on remuneration of Management Company 199 31Issuance of 'Nil' units (2014: 1,200,000 units) - 120,000Preliminary and floatation costs 100 2,922Initial deposits in opening of fund bank accounts 10 10

---------------- Rupees in '000 ---------------2015


ended March 31,

2014


February 17, 2014to March 31,


59

Pak Brunei Investment Company LimitedIssuance of 'Nil' units (2014: 6,000,000 units) - 600,000Other payable - 449

Central Depository Company of Pakistan Limited - TrusteeRemuneration of the Trustee 103 149

Unit holder holding 10% or more of units in issueIssuance of 'Nil' (2014: 1,000,000 units) - 100,000

Key Management Personnel - Directors and Officers of the Management Company and their relativesOfficers and their relativesIssuance of units 2,797 units (June 30, 2014 : 'Nil' units) 286 -Redemption of units 1,314 units (June 30, 2014 : 'Nil' units) 137 -

March 31, June 302015 2014

(Unaudited) (Audited)9.4 Detail of balances outstanding at the period end with connected persons are as follows:

Primus Investment Management Limited - Management CompanyRemuneration payable to the Management Company 50 49Sindh sales tax payable on remuneration of Management Company 17 9Federal excise duty payable on remuneration of Management Company 146 76Units held - 443 units (June 30, 2014: 443 units) 46 44Preliminary and floatation costs payable to Management Company 100 2,922Initial deposits in opening of fund bank accounts 10 10

Pak Brunei Investment Company LimitedUnits held - 1,043,125 units (June 30, 2014: 6,000,000 units) 109,184 104,459Dividend payable - 1,711

Central Depository Company of Pakistan Limited - Trustee

---------------- Rupees in '000 ---------------

Central Depository Company of Pakistan Limited - TrusteeRemuneration payable to the Trustee 15 14

Key Management Personnel - Directors and Officers of the Management Company and their relativesOfficers and their relativesUnits held - 1,482 units (June 30, 2014 : 'Nil' units) 155 -



2015


ended March 31,2014


February 17, 2014to March 31,



---------------- Rupees in '000 ---------------

PIML ISLAMIC EQUITY FUNDFOR THE NINE MONTHS PERIOD ENDED MARCH 31, 2015


62

64

65

66

67

68

69

70










Islamic Equity FundIMLP

61

















Shariah Advisor Fortune Islamic Services3rd Floor Razi Tower, BC-13, Block-9KDA Scheme No.5, Clifton, Karachi.



62

The Board of Directors of Primus Investment Management Limited, the Management Company of Primus InvestmentManagement Limited . Islamic Equity Fund (¡°the Fund¡±), is pleased to present the un-audited condensed interimfinancial statements for the nine months period ended March 31, 2015.


PIML Islamic Equity Fund was launched on March 04, 2014. The Fund falls in the Islamic Equity category and offersexposure to Shariah compliant equity investments. On March 31, 2015, the Net Assets of the fund stood at PKR122.80 million. The FYTD return of the Fund was registered at 3.63%, while the benchmark return for FY15TD was3.50%, translating into an outperformance by 12 basis points. At the end of this quarter, the Fund.s Net AssetValue (NAV) per unit stood at PKR107.04.

The Fund.s exposure in equities, as a percentage of the net assets, has gradually been increased in outgoing quarter,from 86.96% to 93.08%. For liquidity purposes, the remaining assets are being held as cash in bank and as otherreceivables.

ECONOMIC OUTLOOK



During the period 8MFY15, the country.s current account deficit declined by 65% to USD 1.61mn (0.8% of GDP)against USD 2.45bn (1.5% of GDP) registered 9MFY14. The massive decline in C/A deficit can be attributed to i)38% decline in services trade deficit, ii) 8%YoY increase in surplus of secondary income. Impact of lower oil pricesdid not materialize in any significant impact on import bill as import bill declined by less than 1%during 8MFY15 where as Oil prices tumbled by more than 50% during the same period. On the other hand, balanceof overall payments turned into negative USD 1.29bn during 8MFY15 as compared to surplus of USD 1.24bn in8MFY14. However, the Balance of Payment position is expected to improve as the proceeds from recently concludedHBL.s transaction will result in higher foreign investments. Foreign exchange reserves of the country improved toUSD 16.14bn by the end of March.15, showing an improvement of 14% from the levels of June.14 (USD 14.14bn).Based on improving macros and building foreign exchange reserves, Moody.s upgraded the credit rating outlookof the country from stable to positive.





63






ACKNOWLEDGEMENT






64



March 31 June 302015 2014

Notes --- Rupees in '000 --

5,822114,307

1,399 1782,600 2,6001,177 1,402

125,305 117,931

LIABILITIES

Payabe to Primus Investment Management Limited- Management Company 435 1,798Payable to Central Depository Company of Pakistan Limited - Trustee 64 18Annual fee payable to Securities and Exchange Commission of Pakistan 84 41Dividend Payable - 889Accrued and other liabilities 1,921 5,382TOTAL LIABILITIES 2,504 8,128

CONTINGENCY - -CONTINGENCY - -

NET ASSETS 122,801



Net assets value per unit 107.04 103.2900

--- Rupees in '000 --

-----No. of units----


Bank balancesInvestmentsDeposits, prepayments and receivableSecurity DepositsPreliminary and flotation costsTOTAL ASSETS

ASSETS

6

7

21,66792,084

109,803

1,063,035

8

45



65



Note

INCOME

Return / mark-up on;- bank balances 548 1,502 134 1,502Dividend income 4,005 - 1,552 -Realized gain on sale of investments 133 - (1,905) -Net unrealized gain on investments classified 'at fair valuethrough profit or loss - held-for-trading' 116 9 (4,382) 9

4,802 1,511 (4,601) 1,511Element of income / loss and capital gain / lossElement of income / loss and capital gain / loss in prices of units issued less those of units redeemed - net 319 5 (195) 5

EXPENSES

Remuneration of Primus Investment Management Limited - Management Company 1,769 233 641 233Sindh Sales tax on remuneration of Management Company 308 43 112 43Federal excise duty on remuneration of Management company 283 37 103 37Remuneration of Central Depository Company of Pakistan Limited - Trustee 177 54 64 54Annual fee to Securities and Exchange Commission of Pakistan 84 11 30 11Amortization of deferred formation costs 225 23 74 23Amortization of deferred formation costs 225 23 74 23Auditors' remuneration 201 31 58 31Listing fee 23 - 8 -Provision for contribution to Workers' Welfare Fund 31 21 (122) 21Brokerage and settlement charges 381 2 191 2Other expenses 153 12 9 12

3,635 467 1,168 467

Net income for the period 1,486 1,049 (5,964) 1,049- - -Taxation - - -

1,486 1,049 (5,964) 1,049


9

for the Ninemonths endedMarch 31, 2015

17, to March31, 2014

for the Threemonths endedMarch 31, 2015

17, to March31, 2014

------------------------------ Rupees in '000 ------------------------------

from February for the period for the period

from February


66




The annexed notes from 1 to 11 form an integral part of these condensed interim financial


Other Comprehensive Income For The PeriodOther Comprehensive Income For The Period


Net unrealised gian on revaluation of investments classified as 'available for sale'

disposal of investment classified as 'available for sale'Reclassification adjustment relating to gain realized on maturity /


---------- Rupees in '000 ----------

1,486 1,049

4,377 349

--1,623

7,486 1,398

---------- Rupees in '000 ----------

(5,964) 1,049

1,180 349

--3,672

(1,112) 1,398


17, to March31, 2014

from February for the period

for the Threemonths endedMarch 31, 2015

17, to March31, 2014

for the periodfrom February


67




----------- Rupees in '000 ------------

Undistributed income brought forward 1,182 -





17, to March31, 2014



68




17, to March31, 2014



----------- Rupees in '000 -----------


Issue of 826,971 units (2014: 1,512,975 units) 91,117 151,302

Redemption of 58,546 units (2014: Nil units) (82,378) -


Net unrealised gian on revaluation of investments classified as 'available for sale' 4,377 349

Reclassification adjustment relating to gain realized on maturity / - disposal of investment classified as 'available for sale' 1,623

Element of loss and capital loss included in prices (5) of units issued less those of units redeemed- net (319)

Net assets as at the end of the period 122,801 152,695




69




CASH FLOWS FROM OPERATING ACTIVITIESCASH FLOWS FROM OPERATING ACTIVITIES


Adjustments:Return / mark-up on;- bank balancesDividend incomeNet (gain) on sale of marketable securitiesAmortization of deferred formation costsAmortization of deferred formation costsNet unrealized (gain) on investments classified 'at fair value through profit or loss - held-for-trading'Element of income / loss and capital gain / loss in prices of units issued less those of units redeemed - net

(Increase) / decrease in current assetsInvestments - netFormation CostDividend receivedPrepayments and other receivables

Increase / (decrease) in current liabilitiesPayable to Management CompanyRemuneration payable to the TrusteeAnnual fee payable to Securities and Exchange Commission of PakistanAccrued expenses and other liabilities

Return on bank balances received

Net cash generated from / (used in) operating activities

CASH FLOWS FROM FINANCING ACTIVITIESCASH FLOWS FROM FINANCING ACTIVITIES

Amounts received from issuance of unitsAmount paid on redemption of unitsDividend paid

Net Cash generated from / (used in) financing activitiesNet increase / (decrease) in cash and cash equivalents

Cash and Cash equivalents at the beginning of the period

Cash and Cash equivalents at the end of the period


1,486 1,049

(548) (1,502)(4,005)

(133)225 23225 23

(116) (9)

(319) (5)

(4,896) (1,493)

(18,882) (28,237)- (1,500)

2,802(7) (2,712)

(16,087) (32,449)

(1,363) 1,98546 5443 11

(3,461) 4,856(4,735) 6,906

537 561

(23,695) (25,426)

91,117 151,302(82,378) -

(889) -

7,850 151,302(15,845) 125,876

21,667 -

5,822 125,876

17, to March31, 2014


----------- Rupees in '000 -----------





PIML Islamic Equity Fund ("the Fund") has been established under a Trust Deed, dated May 15, 2013 between Primus InvestmentManagement Limited as the Management Company, a company incorporated under the Companies Ordinance, 1984 and CentralDepository Company of Pakistan Limited (CDC) as the Trustee, also incorporated under the Companies Ordinance, 1984.


The Fund is an open-ended equity fund and is listed on Karachi Stock Exchange Limited. Units are offered for public subscription oncontinuous basis and can be redeemed by surrendering them to the Fund at the option of the unit holder.

The Fund aims to achieve long term capital growth by investing mainly in shariah compliant listed equity securities.







70

5,822 21,6674.1 These represent bank balances with commercial banks carrying market competitive markup rates.

5. INVESTMENTS

Available - for - saleQuoted ordinary shares 5.1 54,237 76,929Held - for - tradingQuoted ordinary shares 5.2 60,070 15,155

114,307 92,084

5,822 21,667

March 31 June 3020142015

---- Rupees in '000 ---(Un-audited) (Audited)

PLS savings accounts4. BANK BALANCES



At the Acquired Bonus / rights Disposed Holding Market % of

Sectors / Companies the period period the period period of the period (Rupees in '000') assets

------------------------ Number of shares --------------------------

beginning of during the received during during the at the end value net




------------------------ Number of shares --------------------------





------------------------ Number of shares --------------------------


Oil & GasOil & Gas Development Company Limited 33,000 9,000 - 42,000 - - -Pakistan Oilfields Limited 15,000 8,000 - 23,000 - - -Pakistan Petroleum Limited 35,000 2,500 - 37,500 - - -Pakistan State Oil Company Limited 32,000 20,000 - 17,000 35,000 12,054 9.82

12,054 10Construction & Materials (Cement)

Lucky Cement Company Limited 32,000 6,000 - 19,100 18,900 8,428 6.86DG Khan Cement Company Limited 70,000 40,000 - 50,000 60,000 6,708 5.46Fauji Cement Company Limited 250,000 100,000 - - 350,000 9,965 8.11Maple Leaf Cement Company Limted 50,000 - - - 50,000 2,402 1.96

27,503 22


71





------------------------ Number of shares --------------------------





------------------------ Number of shares --------------------------





------------------------ Number of shares --------------------------


Personal Goods (Textile)Nishat Mills Limited 35,000 22,500 - - 57,500 5,875 4.78

4.78Fixed Line Telecomunication

Pakistan Telecomunication Company Limited 100,000 - - 95,000 5,000 105 0.09

ElectricityK Electric Company Limited 275,000 - 275,000 - - -Kot Addu Power Company Limited 70,000 5,000 - - 75,000 5,834 4.75

5,834 5Commercial Banks

Meezan Bank Limited 20,000 45,000 - - 65,000 2,867 2.33

Market value as at March 31, 2015 54,237 44Cost as at March 31, 2015 49,108


Held-for-trading

At the Acquired Bonus / rights Disposed Holding Market % of beginning of during the received during during the at the end value net

Sectors / Companies the period period the period period of the period (Rupees) assets

Oil & GasMari Petroleum Company Limited - 7,000 700 7,650 50 26 0.02Pakistan State Oil Company Limited - 5,000 - - 5,000 1,722 1.40

1,748 1Chemicals

Engro Corporation Limited - 37,000 10,000 27,000 6,936 5.65Fauji Fertilizer Bin Qasim Limited 17,000 28,000 45,000 - - -Fatima Fertilizer 82,500 82,500 3,181 2.59

10,118 8House hold goods -Pak Electron Limited - 55,000 - - 55,000 2,444 1.99

Construction & Materials (Cement)Maple Leaf Cement Company Limted 150,000 78,000 - 50,000 178,000 8,551 6.96PIONEER CEMENT LIMITED 88,500 40,000 48,500 3,812 3.10Kohat Cement Limted 500 - - 500 - - -Lafarge Pakistan Cement Limited 300,000 - 300,000 - - -Fauji Cement Compay Limited - 50,000 - - 50,000 1,424 1.16Lucky Cement Company Limited - 2,500 - - 2,500 1,115 0.91

14,902 12Automobile and Parts

Pak Suzuki Motor Company Limited 12,000 28,000 - 19,000 21,000 7,277 5.93Honda Atlas Cars Limited - 28,000 28,000 5,136 4.18

12,413 10

------------------------ Number of shares --------------------------

Pharma and Bio TechGlaxo 11,000 3,000 - 8,400 5,600 982 0.80ABBOT LABORITORIES LIMITED - 2,000 - 500 1,500 746 0.61SEARL LIMITED - 6,500 - - 6,500 1,371 1.12

ElectricityHub Power Company Limited - 95,000 - - 95,000 8,111 6.61Kot Addu Power Company Limited - 4,000 - - 4,000 311 0.25K Electric Company Limited - 100,000 - 100,000 711 0.58

9,133 7


Cost as at March 31, 2015 59,928

3,099 3Personal Goods (Textile)

Nishat Mills Limited - 34,000 - - 34,000 3,474 2.83KOHINOOR TEXTILE MILL 65,000 - - 65,000 2,740 2.23

6,214 5


72













6 DEPOSIT, PREPAYMENTS AND RECEIVABLESListing fee prepaid 7 -Return on bank balances 121 110Dividend receivable 1,271 68

1,399 1787. ACCRUED AND OTHER LIABILITIES

Workers Welfare Fund 83 52PAYABLE AGAINST REDEMPTION OF UNITS - -Haram Income 15 58Payable against purchase of investment 917 4945Auditors' remuneration 176 113Other Payable 235 44FED payable on management company's remuneration 419 137Sales tax payable on Management Company remuneration 76 33

1,921 5,382

March 31 June 3020142015

---- Rupees in '000 ---(Un-audited) (Audited)


73





This condensed interim financial information was authorised for issue on April 30, 2015 by the Board of Directors of the Management Company.

Remuneration of the Trustee



Remuneration of Management CompanySindh sales tax on remuneration of Management CompanyFederal excise duty on remuneration of Management CompanyPreliminary and floatation costs paid to Management CompanyIssuance of 347,395 units (2014: 346,892)Redemption of 474,889 units

Pak Brunei Investment Company LimitedIssuance of 42,127 units (2014: 700,000)Redemption of 42,896 units

Central Depository Company of Pakistan Limited - Trustee

Redemption of 1,628 units (2014 : Nil units)

Key Management Personnel - Directors and Officers of the Management Company and their relativesDirectorsIssuance of 56,978 units (2014 : Nil units)Redemption of 38,853 units (2014 : Nil units)

Primus Investment Management Limited - PROVIDENT FUNDIssuance of 1,628 units (2014 : Nil units)

June 30,2014

-3,785 -5,813

177 54

1,769 233308 43283 37

1,400 -37,949 80052,894 -

5,000 7004,929 -

for the ninemonths period

ended march 31,2015

for the

february 17,to march

-------- Rupees in '000 --------

period from

31, 2014

199 -163 -

March 31,2015


Primus Investment Management Limited - Management CompanyRemuneration payable to the Management CompanySindh sales tax payable on remuneration of Management CompanyFederal excise duty payable on remuneration of Management CompanyUnits held - 219,397 unitsPreliminary and floatation costs payable to Management Company

Pak Brunei Investment Company LimitedUnits held - 699,230 units

Central Depository Company of Pakistan Limited - TrusteeRemuneration payable to the TrusteeSecurity Deposit

Key Management Personnel - Directors and Officers of the Management Company and their relativesDirectorsUnits held - 18,125 units

(Unaudited) (Audited)

222 18076 33

419 13723,484 35,831

100 1,500

74,846 72,304

64 18100 100

194 -

----- Rupees in '000 -----

PIML VALUE EQUITY FUNDFOR THE PERIOD FROM MARCH 13, 2015 TO MARCH 31, 2015


76

78

79

80

81

82

83

84










Value Equity FundIMLP

75



















76

The Board of Directors of Primus Investment Management Limited, the Management Company of Primus InvestmentManagement Limited . Value Equity Fund (¡°the Fund¡±), is pleased to present the un-audited condensed interimfinancial statements for the period from March 13, 2015 to March 31, 2015.


PIML Value Equity Fund (PIML . VEF) was launched on March 13, 2015 with an objective to achieve long termcapital appreciation by investing primarily in listed equities. The Fund falls in the Conventional Equity Category.The Net Assets of the fund at March 31, 2015 were PKR 101.32 million and the net asset value (NAV) per unit wasPKR 91.86.

Since inception till March 31, 2015 PIML . VEF registered a return of negative 8.14% as compared to the benchmark(KSE100) return of 7.2%, underperforming the benchmark by 94 basis points. The Fund gradually increased itsexposure in Equities primarily in construction sector (27.71%) followed by oil sector (14.12%) and banking sector(11.22%). The exposure in equities as on March 31, 2015 stood at PKR 81.66%. The remaining assets are held ascash at bank and other receivables.

ECONOMIC OUTLOOK








77






ACKNOWLEDGEMENT


Karachi:April 30, 2015




78



---Rupees in '000' --

ASSETS

Bank balancesInvestmentsProfit receivable on Bank balancesPrepayments, deposits and receivablesPreliminary and flotation costsTOTAL ASSETS

LIABILITIES

Payabe to Primus Investment Management Limited- Management CompanyPayable to Central Depository Company of Pakistan Limited - TrusteeAnnual fee payable to Securities and Exchange Commission of Pakistan 5Accrued and other liabilities 7 4,406TOTAL LIABILITIES

CONTINGENCY 8 -

NET ASSETS 101,313

Unit holders' funds 101,313

Number of units in issue

Net assets value per unit


No. of units

1,102,916

Rupees91.86

5,831

111,409

107,1441,0643,189

17189,53513,185

2015March 31

(Unaudited)Notes

45

6


CONDENSED INTERIM INCOME STATEMENT (UN-AUDITED)FOR THE PERIOD FROM MARCH 13, 2015 TO MARCH 31, 2015

79



for the periodfrom March 13,

2015 to March 31, 2015

Note ------ Rupees in '000 ------

INCOME

Return / mark-up on;- bank balances 171Dividend income 589Net unrealized (loss) / gain on investments classified 'at fair value through profit or loss - held-for-trading' (9,320)

(8,560)(8,560)Element of (loss) / income and capital (loss) / gain in prices of units issued less those of units redeemed - net (6)

EXPENSES

Remuneration of Primus Investment Management Limited - Management Company 165Sindh Sales tax on remuneration of Management Company 29Sindh Sales tax on remuneration of Management Company 29Federal excise duty on remuneration of Management company 26Remuneration of Central Depository Company of Pakistan Limited - Trustee 11Annual fee to Securities and Exchange Commission of Pakistan 5Amortization of deferred formation costs 11Auditors' remuneration 19Provision for contribution to Workers' Welfare FundBrokerage and settlement charges 141Printing related costs 3Printing related costs 3

410Net income for the period before taxation (8,976)

Taxation -Net income for the period after taxation (8,976)


9 -


80

CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME (UN-AUDITED)FOR THE PERIOD FROM MARCH 13, 2015 TO MARCH 31, 2015




2015 to March 31, 2015



Other comprehensive income for the period:


Rupees in '000

(8,976)

(8,976)

-


81

CONDENSED INTERIM DISTRIBUTION STATEMENT (UN-AUDITED)FOR THE PERIOD FROM MARCH 13, 2015 TO MARCH 31, 2015




2015 to March 31,2015

rupees in '000'

Undistributed income brought forward -

Net income for the period (8,976)

Undistributed income carried forward (8,976)



82

CONDENSED INTERIM STATEMENT OF MOVEMENT IN UNIT HOLDERS' FUND (UN-AUDITED)FOR THE PERIOD FROM MARCH 13, 2015 TO MARCH 31, 2015



for the period

to March 31,2015

Rupees in '000'

Net assets at the beginning of the period -

Issue of 1,102,916 units 110,283


Element of loss and capital loss included in prices of units issued less those of units redeemed- net 6

Net assets as at the end of the periodNet assets as at the end of the period


from March 13, 2015

101,313


83

CONDENSED INTERIM CASH FLOW STATEMENT (UN-AUDITED)FOR THE PERIOD FROM MARCH 13, 2015 TO MARCH 31, 2015





Adjustments:Return / mark-up on;- bank balances (171)Dividend income (589)Amortization of deferred formation costs 11Amortization of deferred formation costs 11Element of (loss) / income and capital (loss) / gain in prices of units issued less those of units redeemed - net 6Net unrealized loss / (gain) on investments classified 'at fair value through profit or loss - held-for-trading' 9,320

8,577

(Increase) / decrease in current assetsInvestments - net (98,855)Prepayments and other receivables (2,600)

(101,455)Increase / (decrease) in current liabilitiesPayable to Management Company 334Remuneration payable to the Trustee 11Annual fee payable to Securities and Exchange Commission of Pakistan 5Accrued expenses and other liabilities 4,406Accrued expenses and other liabilities 4,406

4,756

Return on bank balances and investments received -

Net cash generated from / (used in) operating activities (97,098)


Amounts received from issuance of units 110,283

Net Cash generated from / (used in) financing activities 110,283Net increase / (decrease) in cash and cash equivalents 13,185

Cash and Cash equivalents at the beginning of the period -

Cash and Cash equivalents at the end of the period 13,185



2015 to March 31,2015

Rupees in '000'

Value Equity FundIMLPNOTES TO THE CONDENSED INTERIM FINANCIAL INFORMATION (UN-AUDITED)

FOR THE PERIOD FROM MARCH 13, 2015 TO MARCH 31, 2015

84

.1. LEGAL STATUS AND NATURE OF BUSINESS

Primus Investment Management Value Equity Fund ("the Fund") has been established under a Trust Deed, dated May 15, 2013 betweenPrimus Investment Management Limited as the Management Company, a company incorporated under the Companies Ordinance, 1984,and Central Depository Company of Pakistan Limited (CDC) as the Trustee, also incorporated under the Companies Ordinance, 1984.


The Fund is an open-ended equity scheme. Units are offered for public subscription on continuous basis and can be redeemed bysurrendering them to the Fund at the option of the unit holder.

The Fund aims to achieve long term capital growth by investing mainly in listed equity securities.

The JCR VIS Credit Rating Company Limited (JCR VIS) has assigned as asset manager rating of AM3 'with positive outlook' to theManagement Company.



This condensed interim financial information has been prepared in accordance with the approved accounting standards as applicablein Pakistan. Approved accounting standards comprise of such International Financial Reporting Standards (IFRS) issued by the InternationalAccounting Standards Board as are notified under the Companies Ordinance, 1984, the Non-Banking Finance Companies (Establishmentand Regulation) Rules, 2003 (the NBFC Rules), the Non-Banking Finance Companies and Notified Entities Regulations, 2008 (the NBFCRegulations) and directives issued by the Securities and Exchange Commission of Pakistan (SECP). Wherever the requirements of theNBFC Rules, the NBFC Regulations or directives issued by the SECP differ with the requirements of IFRS, the requirements of the NBFCRules, the NBFC Regulations or the directives issued by the SECP shall prevail.

These are the first financial statements of the fund. The principal accounting policies adopted in the preparation of these condensedinterim financial statements are set out below.


These are the first financial statements of the fund. The principal accounting policies adopted in the preparation of these condensedinterim financial statements are set out below.

3.1 Cash and cash equivalents

Cash and cash equivalents comprise of bank balances including term deposits with banks (with maturity period of less than three monthsfrom the date of deposit) that are readily convertible to known amounts of cash and are subject to an insignificant risk of changes invalue.

3.2 Deferred formation cost

This represents expenses incurred on the formation of the Fund. As permitted in the Non-Banking Finance Companies and NotifiedEntities Regulations, 2008, these expenses are being amortised to the income statement over a period of five years.

3.3 Issue and redemption of units

Units are allocated at the offer price prevalent on the day on which applications for the purchase of units are received (however unitsare issued on realisation of cheques). The offer price represents the net assets value of units at the end of the day plus the allowablesales load (if any).

Units are redeemed at the redemption price prevalent on the day on which the applications for the redemption of units are received.The redemption price represents the net assets value at end of the day.

3.4 Net asset value per unit

The net assets value per unit disclosed in the statement of assets and liabilities is calculated by dividing the net assets of the Fund bythe number of units in issue at the period end.

3.5 Revenue recognition

Gains and losses on sale of investments are accounted for in the period in which they arise.

Profit on bank balances are recognised at effective profit rates based on a time proportion basis.

3.6 Element of income / loss and capital gains / losses in prices of units sold less those in units redeemed

To prevent the dilution of per unit income and distribution of income already paid out on redemption, as dividend, an equalisationaccount called “element of income and capital gains included in prices of units sold less those in units redeemed” is created.

Element of income is recognised in the income statement for the year to the extent that it is represented by income earned during theperiod.


85



beginning ofAcquired Bonus / rights Disposed Holding Market % of

during the received during during the at the endSectors / Companies the period period the period period of the period (Rupees in 000) assets

FertilizerEngro Corporation Limited - 31,300 - - 31,300 8,041 7.94Engro Fertilizer Limited - 5,000 - 5,000 - - -

8,041 7.94

Pakistan State Oil Company Limited - 29,900 - - 29,900 10,298 10.16Hascol Petrol Limited - 56,500 - - 56,500 5,190 5.12

15,488 15.29Construction & Materials (Cement)Maple Leaf Cement Company Limted - 114,000 - - 114,000 5,477 5.41D.G Khan Cement - 18,000 - - 18,000 2,010 1.98Cherat Cement Company Limited - 56,000 - - 56,000 3,843 3.79Fecto Cement Company Limited 15,000 - 15,000 921 0.91Lucky Cement Company Limited - 22,500 - - 22,500 10,034 9.90Pioneer Cement Company Limited - 45,000 - - 45,000 3,537 3.49Fauji Cement Compay Limited - 160,000 - - 160,000 4,555 4.50

30,377 29.98Textile Composite

Nishat Mills Limited - 59,500 - - 59,500 6,080 6.00Kohinoor Textile Mills Limited - 24,000 - - 24,000 1,012 1.00Nishat Chunian Limited - 53,000 - - 53,000 2,011 1.98

9,103 8.99Cable and Electrical GoodsPak Electron Limited - 65,000 - - 65,000 2,889 2.85

Automobile AssemblerHonda Atlas Cars Limited - 18,000 - - 18,000 3,302 3.26

InsuranceAdamgee Insurance Company Limited 76,500 - - 76,500 3,058 3.02

ElectricityKot Addu Power Company Limited - 29,000 - - 29,000 2,256 2.23Karachi Electric Limited - 220,000 - - 220,000 1,564 1.54Hub Power Company Limited - 13,500 - - 13,500 1,153 1.14

4.91Commercial Banks

Allied Bank Limited - 7,000 - - 7,000 662 0.65MCB Bank Limited - 6,000 6,000 - - -Bank Alfalah Limited - 110,000 - - 110,000 2,819 2.78National Bank of Pakistan - 94,000 - 20,000 74,000 3,743 3.69United Bank Limited - 33,000 - - 33,000 5,080 5.01

12,304 12.14


Cost as at March 31, 2015 98,855

------------------------ Number of shares --------------------------

4,973

89,535


2015 to March 31, 2015Rupees in '000'

(Un-audited)

13,1854.1 These represent bank balances with commercial banks carrying market competitive markup rates.

Held - for - tradingQuoted ordinary shares 5.1 89,535

4.

5. INVESTMENTS

13,185

3.7 Taxation

The Fund is exempt from taxation under clause 99 of the Part I of the 2nd Schedule of the Income Tax Ordinance, 2001, subject to thecondition that not less than 90% of its accounting income for the period as reduced by capital gains whether realised and unrealised isdistributed amongst the unit holders.

The Fund is also exempt from the provisions of section 113 (minimum tax) under clause 11A of Part IV of the Second Schedule to theIncome Tax Ordinance, 2001.

PLS savings accountsBANK BALANCES

At thevalue net

Oil & Gas


86

Rupees in '000'(Un-audited)

6 DEPOSIT, PREPAYMENTS AND RECEIVABLESSecurity deposit National Clearing Company of Pakistan Limited (NCCPL) 2,500Security deposit Central Depository Company of Pakistan Limited (CDC) 100Dividend receivable 589

3,189

ACCRUED AND OTHER LIABILITIESAuditors' remuneration 19Payable against transaction in marketable securities 4,372Other Payable 15Broker Payable 4,406

from March 132015 to March 31,

7.

6

.


There were no contingencies and commitments outstanding as at March 31, 2015












for the period

2015


87




Primus Investment Management Limited - Management CompanyRemuneration payable to the Management Company 165Sindh sales tax payable on remuneration of Management Company 29Federal excise duty payable on remuneration of Management Company 26Units held - 1,100,000 units 101,046Preliminary and floatation costs payable to Management Company 1,184

Central Depository Company of Pakistan Limited - TrusteeRemuneration payable to the Trustee 11Security deposit 100

Key Management Personnel - Directors and Officers of the Management Company and their relativesOfficers and their relativesUnits held - 20 units 2

March 31,2015

Rupees in '000(Unaudited)

Rupees in '000



Remuneration of Management Company 165Sindh sales tax on remuneration of Management Company 29Federal excise duty on remuneration of Management Company 26Issuance of 1,100,000 units 110,000

Central Depository Company of Pakistan Limited - TrusteeRemuneration of the Trustee 11Security deposit 100

Key Management Personnel - Directors and Officers of the Management Company and their relativesOfficers and their relativesIssuance of 20 units 2

for the period ended

March 31,2015



This page has been intentionally left blank

Rated “AM3” by PACRA

Office: 4th Floor. Horizon Vista. Commercial 10. Block 4. Scheme 5. Clifton. Karachi. PakistanBoard: .92.21.3529.0006-9 Fax: .92.21.3529.0004 Email: [email protected]

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