stability fund manager s report - js investments · stability performance trust ... accepting total...

Growth

Stability

Performance

Trust

Experience

Important Information: The value of mutual fund investments may go up or down and are subject to market conditions. Past performance is not necessarily indicative of future results and annualized returns for period of less than one year can be misleading. JS Investments Limited has exercised due diligence and care in preparing the information contained herein and believes it to be reliable as of the date indicated. However no guarantee is given that it is accurate or complete. JS Investments Limited shall not be liable for any direct, indirect, special, incidental, consequential, punitive or exemplary damages or losses, including lost profits arising in any way from the information contained herein. Please consult your legal and/ or financial advisor before making any investment decisions. Information provided here is for the use of intended recipients only and the contents may not be reproduced, redistributed, or copied in whole or in part for any purpose without prior express consent of JS Investments Limited.

FUND MANAGER’S REPORT

FEBRUARY 2009

Market Review

Unit Trust of Pakistan (UTP)

JS Aggressive Asset Allocation Fund (JS AAA)

UTP Islamic Fund (UTP ISF)

JS Income Fund (JS IF)

JS Fund of Fund (JS FOF)

UTP A30+

JS Capital Protected Fund (JS CPF)

JS Capital Protected Fund II (JS CPF II)

JS Capital Protected Fund III (JS CPF III)

JS Capital Protected Fund IV (JS CPF IV)

JS Aggressive Income Fund (JS AIF)

Money market review Interbank ratesKIBOR (Average) Feb-09 vs. Jan-09

Equity market review Market activityDaily volume vs. KSE-30 movement

Important Information: The value of mutual fund investments may go up or down and are subject to market conditions. Past performance is not necessarily indicative of future results and annualized returns for period of less than one year can be misleading. JSInvestments Limited has exercised due diligence and care in preparing the information contained herein and believes it to be reliable as of the date indicated. However no guarantee is given that it is accurate or complete. JS Investments Limited shall not be liablefor any direct, indirect, special, incidental, consequential, punitive or exemplary damages or losses, including lost profits arising in any way from the information contained herein. Please consult your legal and/ or financial advisor before making any investmentdecisions. Information provided here is for the use of intended recipients only and the contents may not be reproduced, redistributed, or copied in whole or in part for any purpose without prior express consent of JS Investments Limited.

Feb-09

During the month of February, interest rates fell sharply which indicates furtherimprovement in liquidity conditions in the market. The 6M KIBOR decreased by 2.09%during the month and yields on PIBs and T-bills also decreased around 2% on alltenors.

During the month, active participation in Treasury bill auctions, especially in longertenors, continued to show improvement in the liquidity situation. The SBP conductedtwo T-bill auctions, accepting total PKR 306 bn against maturity of PKR 236.50 bn.

At the auction on 11th Feb '09, the cut off yields for 3 and 6 month decreased byaround 14 basis points to 13.6237% and 13.8731%, respectively (from 13.7624% and14.0108% previously) and cut off yield on 12 month paper decreased by 30 basispoints to 13.9074% (from 14.2072% previously).

At the auction on 25th Feb '09, the cut off yields for 3, 6 and 12 month paperdecreased further by 101 bps, 89 bps and 90 bps, respectively.

Out of total PKR 306 bn accepted, SBP sold PKR 160 bn worth of 12 month paper asparticipants, foreseeing declining rates, showed major interest in longer tenors.

In addition, the SBP conducted a PIB auction on 18th Feb and accepted PKR 20 bnworth of bids. The cut-off yield for 10-year tenor stood at 14.94%.

In February, 1M KIBOR averaged 12.45%, against 13.49% in January, and closed at10.97%. 6M KIBOR averaged 14.28%, against 15.50% and closed at 13.03%.

During the month, activity in the stock market remained volatile. The KSE-30 gained13.5% to close at 5896.83, with average volumes improving to 104.5 mn sharesagainst 72.8 mn shares during January showing buying interest among local investors.KSE-30 market capitalization was recorded at Rs. 269.4 bn (10.7% MoM).

Initially, the market remained range bound due to uncertainty regarding the accountingtreatment of impairment losses for investment in listed securities as per InternationalAccounting Standard (IAS) 39. On Feb 13, SECP announced a relaxation in accountingtreatment for equity investments classified as 'Available for Sale' under IAS 39 tillDecember 2009 which was well received by the market and the KSE-30 gained 15.8%during Feb 13 - 19 and reached as high as 6250.94 level. In addition, good corporateresults, particularly in the Power, Oil & Gas and Banking sectors, declining interestrates and IMF's approval to release the second tranche of USD 840mn led to furtherbuying interest in the market.

However, towards the end of the month, investment climate became inauspicious dueto uncertainty caused by recent political developments after which volatility in themarket increased and volumes remained relatively depressed.

Foreign investors, as per Special Convertible Rupee Account (SCRA), remained netsellers in the market and sold equities worth USD 56.61 mn during Feb, as comparedto USD 140.16 mn in January, taking the YTD outflow to USD 506.71 mn.

Market Review

0.00

3.00

6.00

9.00

12.00

15.00

18.00

1M 3M 6M 9M 1Y 2Y 3Y

Jan Feb

-

20,000,000

40,000,000

60,000,000

80,000,000

01-Feb-09 07-Feb-09 13-Feb-09 19-Feb-09 25-Feb-095,000

6,200

7,400

8,600

9,800

Volume (L.H.S) KSE-30 (R.H.S)

-

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

30,000,000

01-Feb-09 07-Feb-09 13-Feb-09 19-Feb-09 25-Feb-095,000

6,200

7,400

8,600

9,800

11,000


-

40

80

120

160

1-Feb 6-Feb 11-Feb 16-Feb 21-Feb 26-Feb

Shares in Millions

5,000

5,500

6,000

6,500


Performance data and analytics

Investment philosophy Asset allocation%

Equity 31.01 Fixed Income 38.74 Cash & Equivalents 30.25 Total 100.00

Equity breakdownPerformance (%) Cumulative return** %

6M 1Y 2Y 3Y Launch Oil and Gas Exploration Cos. 9.89 Fund -24.13 -42.85 -28.40 -29.35 355.24 Textiles 7.07 Benchmark -23.84 -47.18 -33.43 -32.15 n/a Paper & Board 3.20 Difference -0.29 4.33 5.03 2.80 n/a Investment Banks 2.98

Transport 2.42 Others 5.45

Monthly performance (%)2009 2008 2007 2006 2005 Total 31.01

Jan -27.15 2.36 6.99 6.62 5.11Feb 3.95 5.36 0.53 7.44 9.08Mar 3.66 0.04 0.93 -7.20 Statistical analysisApr 2.73 6.53 0.53 -1.32 Fund BenchmarkMay -11.06 3.76 -9.95 -5.44 Beta 0.4 1.0Jun 2.73 7.14 -0.37 6.70 Standard Deviation 15.9% 24.8%Jul -13.87 -1.87 5.39 1.12 Largest Month Gain 11.7% 19.3%Aug -10.12 -7.59 -5.16 4.06 Largest Month Loss -27.2% -25.7%Sep 0.19 5.21 2.39 6.67 % Positive Months 78.1% 61.3%Oct * n/a 2.43 5.69 1.32Nov * n/a -0.41 -3.31 5.82Dec * n/a 0.75 -3.64 5.47 Key informationYTD -24.27 -18.61 24.95 5.09 34.46 Fund type Open end - Balanced FundBenchmark 1.33 -43.83 26.92 7.29 39.63 Fund launch date 27 October, 1997Difference -25.60 25.22 -1.97 -2.20 -5.17 Fund Assets (PKR mn) 2,522.17* No dealing in units during this period Benchmark 30% 6M Kibor & 70% KSE30 Index

Listing LSEFund manager's review Trustee CDC

Auditors Ford Rhodes Sidat Hyder & Co.Risk profile MediumManagement fee 2.00%PACRA Rating 5 Star (Normal & Long Term)

For further information contact usJS Investments LimitedToll Free: 0800 - 00887E-mail: [email protected]: www.jsil.com

** Cumulative return is based on Value Added Monthly Index (VAMI)

Feb-09


UTP is a balanced fund that aims to preserve and grow investor’s capital in the longterm while providing a regular stream of current income on an annual basis. The fundoperates a diverse portfolio of equity and fixed income investments whereby the equitycomponent is meant to provide the growth in capital while dividends on the equitycomponent along with the fixed income investments help generate the current income.

The fund’s NAV appreciated by 3.95% as compared to an increase of 3.67% and6.51% in the Benchmark (BM) and KSE-100 index, respectively, during the month.

Monthly inflation (CPI) for Feb '09 increased to 21.1% (YoY) from 20.5% in theprevious month. However, high base effect will come into play from March '09, withexpectations of a sharp drop in monthly inflation. The yield curve has also sharplyshifted downwards by more than 260bps since beginning of February to price in anexpected cut in discount rate in April - June. Political uncertainty brought with it mixedsentiment during the month, with investors mostly looking positively towards expectedcut in discount rates and change in rules regarding impairment losses. We addedexposure in select Oil & Gas Exploration and Textile stocks during the month, andgoing forward we will be looking towards stocks where dividend yields and valuationsare still attractive.

As of February 28, 2009, the fund's exposure in Equities and Fixed Income stood at31.01% and 38.74%, respectively.

Unit Trust of Pakistan (UTP)



Equity 10.18 Cash & Equivalents 89.82

Total 100.00


6M 1Y 2Y 3Y Launch Textiles 9.61 Fund -45.78 -65.82 -61.44 -65.09 -28.22 Technology & Communication 0.57 Benchmark -42.18 -67.90 -58.04 -64.30 -41.06Difference -3.60 2.08 -3.40 -0.79 12.84


Jan -46.65 2.21 6.65 11.11 n/aFeb 1.82 7.42 1.75 7.00 n/aMar 5.37 -0.02 0.62 n/a Statistical analysisApr 3.43 7.14 -0.94 n/a Fund BenchmarkMay -12.79 3.21 -17.32 n/a Beta 0.3 1.0Jun 2.63 6.84 2.10 n/a Standard Deviation 43.5% 45.1%Jul -21.51 -3.46 6.25 2.00 Largest Month Gain 7.4% 13.5%Aug -17.66 -11.86 -5.77 9.86 Largest Month Loss -46.7% -45.1%Sep -0.18 2.88 2.97 21.03 % Positive Months 60.0% 30.0%Oct * n/a 0.63 5.22 7.67Nov * n/a -2.13 -5.39 8.63Dec * n/a 0.88 -3.38 9.04 Key informationYTD -45.68 -30.91 11.48 -0.81 72.97 Fund type Open end - Asset Allocation FundBenchmark 7.50 -67.19 33.49 -5.15 31.99 Fund launch date 28 June, 2005Difference -53.18 36.28 -22.01 4.34 40.98 Fund Assets (PKR mn) 164.50* No dealing in units during this period Benchmark KSE30 Index


Auditors KPMG Taseer Hadi & Co.Risk profile HighManagement fee 3.00%PACRA Rating 4 Star (Normal)



Feb-09


JS AAA (formerly UTP AAA) is a dynamic asset allocation fund that aims to achievesuperior risk adjusted growth in investor’s capital over the long term. The fundoperates a diverse portfolio of equity and fixed income investments and it mayconstantly adjust the asset mix as equity markets rise or fall and the economystrengthens or weakens. The fund is allowed to invest up to 100% of net assets in anyone type of asset class.

During the month, JS AAA’s benchmark, i.e. KSE-30, gained 13.5%. The rise in indexwas mainly on the back of announcement of relaxation in accounting treatment forequity investments classified as ‘Available for Sale’ as the index picked up 15.8%during the period Feb 13 - Feb 19. During the month, we maintained a prudent stance and continued to focus onmaintaining high cash positions given the ongoing political situation and volatility inequity market. JS AAA’s allocation to equities decreased to 10.18% in Feb-09 from34.5% in Jan-09.

JS Aggressive Asset Allocation Fund (JS AAA)



Equity 41.78Cash & Equivalents 58.22

Total 100


6M 1Y 2Y 3Y Launch Oil and Gas Exploration Cos. 14.91Fund -31.19 -56.67 -48.82 -52.67 12.63 Commercial Banks 8.52Benchmark -31.09 -53.48 -41.94 -54.53 n/a Textiles 6.7Difference -0.10 -3.20 -6.88 1.86 n/a Autos 5.84

Oil & Gas Marketing Cos. 3.54Others 2.27


Jan -30.79 2.13 8.77 6.30 4.96Feb -0.62 3.53 -0.29 11.86 10.86Mar 4.46 -1.09 2.21 -6.38 Statistical analysisApr -1.15 7.25 -2.62 -5.71 Fund BenchmarkMay -15.41 5.14 -12.62 -5.61 Beta 0.5 1.0Jun 1.07 3.55 0.38 6.42 Standard Deviation 26.3% 29.9%Jul -15.51 1.45 6.86 1.31 Largest Month Gain 11.9% 20.2%Aug -15.58 -12.99 -7.74 4.67 Largest Month Loss -30.8% -37.1%Sep 0.04 6.39 1.14 7.74 % Positive Months 63.2% 52.6%Oct * n/a 5.57 5.45 0.12Nov * n/a 0.57 -3.54 6.66Dec * n/a -2.99 -3.69 6.17 Key informationYTD -31.22 -33.39 21.16 1.39 33.66 Fund type Open end - Islamic Equity FundBenchmark 11.40 -54.76 21.75 -6.60 45.80 Fund launch date 27 December, 2002Difference -42.62 21.37 -0.59 7.99 -12.14 Fund Assets (PKR mn) 317.41* No dealing in units during this period Benchmark DJIMPK


Auditors M. Yousuf Adil Saleem Co.Risk profile HighManagement fee 2.00%PACRA Rating 4 Star (Normal)



Feb-09


UTP ISF aims to grow investor’s capital in the long term in adherence with principles ofShariah compliance as advised by the Shariah Supervisory Council (SSC) of this fundwhile ensuring liquidity. The fund investments are limited to asset classes approved bythe Shariah Supervisory Council and all companies under investment consideration areregularly screened for Shariah compliance.

The fund’s NAV decreased by 0.62% as compared to the rise in Benchmark of 6.31%in February 2009.

Monthly inflation (CPI) for Feb '09 increased to 21.1% (YoY) from 20.5% in theprevious month. However, high base effect will come into play from March '09, withexpectations of a sharp drop in monthly inflation. The yield curve has also sharplyshifted downwards by more than 260bps since beginning of February to price in anexpected cut in discount rate in April - June. Political uncertainty brought with it mixedsentiment during the month, with investors mostly looking positively towards expectedcut in discount rates and change in rules regarding impairment losses. We addedexposure in select Oil & Gas Exploration and Textile stocks during the month whiletrimming Oil & Gas Marketing and Commercial Bank stocks. Going forward we will belooking towards stocks where dividend yields and valuations are still attractive.

As of February 28, 2009, the fund's exposure in Equities stood at 41.78%.

UTP Islamic Fund (UTP ISF)


Investment philosophy Asset allocation (%)Jan-09 Feb-09

Cash & Equivalents 41.02 32.35Term Finance Cert.(s) 29.56 30.03Term Deposits 19.50 23.43Placements 4.48 6.00Others 2.03 2.56Pak. Investment Bond 1.57 3.14Commercial Paper 1.84 2.49

Performance (%) Annualised performance**1M 6M 1Y 3Y Launch

Fund 15.64 6.11 8.46 9.52 9.71Benchmark 13.56 14.28 13.45 11.09 7.22Difference 2.09 -8.17 -4.99 -1.57 2.48 Total 100.00 100.00

Monthly performance (%) Statistical analysis2009 2008 2007 2006 2005 Fund Benchmark

Jan 1.00 0.82 0.86 0.99 0.60 Beta 0.1 1.0Feb 1.20 0.69 0.81 0.88 0.76 Standard Deviation 2.4% 1.2%Mar 0.76 0.72 0.79 2.05 Largest Month Gain 3.7% 1.2%Apr 0.80 0.95 0.82 0.67 Largest Month Loss -2.6% 0.0%May 0.78 0.71 1.01 0.78 % Positive Months 94.9% 100.0%Jun 0.85 0.81 0.86 2.31Jul 1.06 0.81 0.79 0.65Aug 0.91 0.78 0.77 0.68 Key informationSep 1.11 0.73 0.84 1.20 Fund type Open end- Income FundOct 1.17 0.82 0.74 1.06 Fund launch date 26 August, 2002Nov -2.58 0.70 0.81 0.93 Fund Assets (PKR mn) 5,078.78Dec 1.15 0.70 0.90 0.98 Benchmark 1M KIBORYTD 2.21 7.75 9.82 10.69 13.43 Listing LSEBenchmark 2.17 12.88 10.06 9.58 7.47 Trustee MCSFLDifference 0.04 -5.13 -0.23 1.11 5.96 Auditors KPMG Taseer Hadi & Co.

Risk profile LowManagement fee 1.50%

Fund manager's review PACRA Rating 5 Star (Normal & Long Term)


** Annualised performance is based on Value Added Monthly Index (VAMI)Important Information: The value of mutual fund investments may go up or down and are subject to market conditions. Past performance is not necessarily indicative of future results and annualized returns for period of less than one year can be misleading. JSInvestments Limited has exercised due diligence and care in preparing the information contained herein and believes it to be reliable as of the date indicated. However no guarantee is given that it is accurate or complete. JS Investments Limited shall not be liablefor any direct, indirect, special, incidental, consequential, punitive or exemplary damages or losses, including lost profits arising in any way from the information contained herein. Please consult your legal and/ or financial advisor before making any investmentdecisions. Information provided here is for the use of intended recipients only and the contents may not be reproduced, redistributed, or copied in whole or in part for any purpose without prior express consent of JS Investments Limited.

Feb-09

JS IF (formerly UTP IF) is an income fund that aims to preserve investor’s capital whileproviding a regular stream of current income on an annual basis which is higher thanthat offered by commercial banks on deposits of a similar liquidity profile as this fund.The fund operates a diverse portfolio of investment-grade debt securities, governmentsecurities and money market instruments. The fund maintains liquidity in the form ofCFS investments, spread transactions and bank deposits.

During the month of Feb 09 JS IF earned a return of 15.64% p.a. The fundoutperformed the benchmark by 2.09%. The increase in mark to market prices of TFCwas the main reason for the out performance. The fund size was reduced by 28.5%,which resulted in decline of cash & equivalent to 32.35% this month from 41.02% lastmonth.

JS Income Fund (JS IF)



Open-end 0.53 Close-end 39.57 Cash & Equivalents 59.90 Total 100.00

Performance (%) Cumulative return** Statistical analysis6M 1Y 2Y 3Y Launch Fund Benchmark

Fund -13.12 -30.21 -13.78 -19.67 -2.71 Beta 0.4 1.0Benchmark 13.58 5.05 n/a n/a n/a Standard Deviation 16.0% 12.0%Difference -26.70 -35.26 n/a n/a n/a Largest Month Gain 7.4% 9.9%

Largest Month Loss -11.6% -6.9%% Positive Months 68.3% 85.4%

Monthly performance (%) (net of fees)2009 2008 2007 2006

Jan -11.64 2.31 6.52 4.90 Key informationFeb -2.88 4.14 0.85 4.97 Fund type Open end - Fund of FundsMar 0.93 -0.77 -2.00 Fund launch date 31 October, 2005Apr 1.84 6.51 1.08 Fund Assets (PKR mn) 268.72May -6.93 2.26 -10.73 Benchmark BM FoF***Jun 3.16 2.07 -0.42 Listing LSEJul -11.31 0.71 2.69 Trustee CDCAug -8.22 -4.07 -4.00 Auditors KPMG Taseer Hadi & Co.Sep 1.24 0.00 0.00 Risk profile MediumOct * n/a 2.58 3.84 Management fee 1.00%Nov * n/a 1.37 -3.37 PACRA Rating 4 Star (Normal)Dec * n/a 0.34 -2.80YTD -14.18 -13.35 24.56 -4.50Benchmark 13.09 1.82 14.87 0.00Difference -27.27 -15.17 9.69 -4.50* No dealing in units during this period

Fund manager's review



*** Average monthly return for the top ten equity-related open-end funds


Feb-09

JS FoF (formerly UTP FoF) is a fund of funds that aims to grow investor’s capital in thelong term while diversifying the asset manager risk bundled together with the benefitsof an asset allocation fund. The fund operates a diverse portfolio of equity, balanced,fixed income and money market funds (both open and closed ended) with the option toadjust the asset mix as equity markets rise or fall and the economy strengthens orweakens.

JS FoF's exposure in closed-end funds is at around 40% while rest of the funds areallocated to cash and cash equivalents. The fund has invested heavily in closed-endfunds due to deep discounts available in the market. Further, the fund continues tolook for opportunities in both fixed income and equity funds. We continued to maintainhigh cash holdings due to the ongoing political situation and volatility in capitalmarkets.

JS Fund of Funds (JS FoF)



Equity 96.84 Cash & Equivalents 3.16

Total 100.00


6M 1Y 2Y 3Y Launch Commercial Banks 30.96Fund -40.19 -66.10 -55.81 n/a -49.14 Oil and Gas Exploration Cos. 25.95Benchmark -42.18 -67.90 -58.03 n/a -50.90 Fertilizer 15.54Difference 1.99 1.80 2.22 n/a 1.76 Power Generation & Dist. 4.7

Investment Banks 4.54Other 15.15

Monthly performance (%)2009 2008 2007 2006 Total 96.84

Jan -47.07 -0.44 14.44 n/aFeb 13.64 9.91 -1.33 n/aMar 0.89 0.40 n/a Statistical analysisApr -1.07 10.47 n/a Fund BenchmarkMay -22.51 5.36 n/a Beta 0.6 1.0Jun 2.28 5.74 0.52 Standard Deviation 39.6% 38.1%Jul -15.53 -4.16 6.04 Largest Month Gain 14.4% 13.5%Aug -15.17 -11.36 -4.23 Largest Month Loss -47.1% -45.1%Sep -0.56 10.13 5.52 % Positive Months 58.8% 44.1%Oct * n/a 6.32 5.91Nov * n/a -3.12 -4.16Dec * n/a 0.02 -6.78 Key informationYTD -39.85 -38.32 34.49 1.92 Fund type Open end - Equity FundBenchmark 7.50 -67.19 33.51 4.31 Fund launch date 29 May, 2006Difference -47.35 28.87 0.98 -2.39 Fund Assets (PKR mn) 74.78* No dealing in units during this period Benchmark KSE30 Index

Listing LSETrustee MCFSLAuditors Ford Rhodes Sidat Hyder & Co.Risk profile HighManagement fee 1.50%PACRA Rating 4 Star (Normal)


** Cumulative return is based on Value Added Monthly Index (VAMI)Important Information: The value of mutual fund investments may go up or down and are subject to market conditions. Past performance is not necessarily indicative of future results and annualized returns for period of less than one year can be misleading. JSInvestments Limited has exercised due diligence and care in preparing the information contained herein and believes it to be reliable as of the date indicated. However no guarantee is given that it is accurate or complete. JS Investments Limited shall not be liablefor any direct, indirect, special, incidental, consequential, punitive or exemplary damages or losses, including lost profits arising in any way from the information contained herein. Please consult your legal and/ or financial advisor before making any investmentdecisions. Information provided here is for the use of intended recipients only and the contents may not be reproduced, redistributed, or copied in whole or in part for any purpose without prior express consent of JS Investments Limited.

Feb-09

UTP A30+ is an index fund that aims to track the performance of the KSE-30 Index byinvesting in constituent companies of the index in proportion to their weighting. Thefund targets sophisticated investors who can time their entry and exit from the fund inaccordance with the expected performance of the equity market or for investors whoseek long term exposure to the equity market. To ensure liquidity, the fund may investup to fifteen percent of its portfolio in fixed income instruments.

UTP A30+ Fund (UTP A30+)





6M 1Y 2Y 3Y Launch Transport 3.85 Fund -1.79 -0.91 11.04 n/a 11.04Benchmark -5.83 -14.03 1.00 n/a 1.00Difference 4.04 13.12 10.04 n/a 10.04

Monthly performance (%)2009 2008 2007 Total 3.85

Jan -3.58 1.81 n/aFeb 1.13 1.19 n/aMar 2.23 0.88 Statistical analysisApr 2.47 1.78 Fund BenchmarkMay 0.41 0.96 Beta 0.2 1.0Jun 2.01 0.84 Standard Deviation 5.7% 10.6%Jul -4.78 0.84 Largest Month Gain 2.5% 4.2%Aug -1.25 -0.92 Largest Month Loss -4.8% -10.6%Sep 0.72 1.09 % Positive Months 84.0% 72.0%Oct * n/a 1.52Nov * n/a 0.93Dec * n/a 0.55 Key informationYTD -2.49 4.69 8.78 Fund type Open end - Special FundBenchmark 3.55 -13.64 12.95 Fund launch date 21 February, 2007Difference -6.04 18.33 -4.17 Fund Assets (PKR mn) 708.00* No dealing in units during this period Benchmark TDR Rate & KSE-30 Index


Auditors Ford Rhodes SHCRisk profile Low riskManagement fee 1.25%PACRA Rating n/a


** Cumulative return is based on Value Added Monthly Index (VAMI)Important Information: The value of mutual fund investments may go up or down and are subject to market conditions. Past performance is not necessarily indicative of future results and annualized returns for period of less than one year can be misleading. JSInvestments Limited has exercised due diligence and care in preparing the information contained herein and believes it to be reliable as of the date indicated. However no guarantee is given that it is accurate or complete. JS Investments Limited shall not be liablefor any direct, indirect, special, incidental, consequential, punitive or exemplary damages or losses, including lost profits arising in any way from the information contained herein. Please consult your legal and/ or financial advisor before making any investmentdecisions. Information provided here is for the use of intended recipients only and the contents may not be reproduced, redistributed, or copied in whole or in part for any purpose without prior express consent of JS Investments Limited.

Feb-09

JS CPF (formerly UTP CPF) is a low-risk profile, capital protected product that aims tosafeguard investor capital by placing a significant percentage of the fund as bankdeposit(s), and use the remaining funds to gain exposure into equity markets. The fundoperates a portfolio of high return fixed income and money market instruments, as wellas equity market investments or any other SECP permissible investment that themanagement feels would be appropriate to maximize total return.

During the month of Feb 2009, the KSE-30 index increased by 13.5% whilst the KSE-100 index increased by 6.5%. CPF’s portfolio allocation to equities declined to 3.85% inFeb 09 from 4.42% in Jan 09. We continue to maintain high cash positions given theuncertain economic and political conditions.

JS Capital Protected Fund (JS CPF)





6M 1Y 2Y 3Y Launch Technology & Communication 0.79 Fund 3.26 6.48 n/a n/a 14.99 Power Generation & Dist. 0.14 Benchmark -1.97 -5.95 n/a n/a 3.33 Investment Banks 0.01 Difference 5.23 12.43 n/a n/a 11.66


Jan 1.62 2.59 n/aFeb 0.82 1.10 n/aMar 1.09 n/a Statistical analysisApr 0.60 n/a Fund BenchmarkMay 0.45 n/a Beta 0.1 1.0Jun 0.76 n/a Standard Deviation 3.1% 7.4%Jul -0.15 0.66 Largest Month Gain 2.9% 3.0%Aug 0.33 -1.02 Largest Month Loss -1.0% -6.7%Sep 0.79 0.36 % Positive Months 90.5% 71.4%Oct * n/a 0.94Nov * n/a 0.26Dec * n/a 2.89 Key informationYTD 2.45 7.79 4.12 Fund type Open end - Special FundBenchmark 2.97 -5.68 6.39 Fund launch date 18 June, 2007Difference -0.51 13.47 -2.27 Fund Assets (PKR mn) 1,479.50* No dealing in units during this period Benchmark TDR Rate & KSE-30 Index


Auditors Ford Rhodes Sidat Hyder & Co.Risk profile Low riskManagement fee 1.50%PACRA Rating n/a


** Cumulative return is based on Value Added Monthly Index (VAMI)Important Information:The value of mutual fund investments may go up or down and are subject to market conditions. Past performance is not necessarily indicative of future results and annualized returns for period of less than one year can be misleading. JSInvestments Limited has exercised due diligence and care in preparing the information contained herein and believes it to be reliable as of the date indicated. However no guarantee is given that it is accurate or complete. JS Investments Limited shall not be liablefor any direct, indirect, special, incidental, consequential, punitive or exemplary damages or losses, including lost profits arising in any way from the information contained herein. Please consult your legal and/ or financial advisor before making any investmentdecisions. Information provided here is for the use of intended recipients only and the contents may not be reproduced, redistributed, or copied in whole or in part for any purpose without prior express consent of JS Investments Limited.

Feb-09

JS CPF II (formerly UTP CPF II) is a low-risk profile, capital protected product that aimsto safeguard investor capital by placing a significant percentage of the fund as bankdeposit(s), and use the remaining funds to gain exposure into equity markets. The fundoperates a portfolio of high return fixed income and money market instruments, as wellas equity market investments or any other SECP permissible investment that themanagement feels would be appropriate to maximize total return.

During the month of Feb 2009, the KSE-30 index increased by 13.5% whilst the KSE-100 index increased by 6.5%. CPF II’s portfolio allocation to equities increased to0.94% in Feb 09 from 0.51% in Jan 09, due to a slight increase in our equity exposure.We continue to maintain cash positions given the uncertain equity market outlook.

JS Capital Protected Fund (JS CPF II)





6M 1Y 2Y 3Y Launch Power Generation & Dist. 0.44 Fund 2.34 4.52 n/a n/a 8.56Benchmark 0.26 -0.89 n/a n/a 4.30Difference 2.08 5.41 n/a n/a 4.26


Jan 1.13 1.01 n/aFeb 0.54 0.89 n/aMar 0.83 n/a Statistical analysisApr 0.40 n/a Fund BenchmarkMay 0.16 n/a Beta 0.1 1.0Jun 0.65 n/a Standard Deviation 1.4% 4.9%Jul -0.18 n/a Largest Month Gain 1.1% 2.2%Aug 0.26 n/a Largest Month Loss -0.2% -4.0%Sep 0.65 n/a % Positive Months 94.4% 77.8%Oct * n/a 0.37Nov * n/a 0.94Dec * n/a 0.60 Key informationYTD 1.68 4.76 1.92 Fund type Open end - Special FundBenchmark 2.36 4.76 1.92 Fund launch date 20 September, 2007Difference -0.69 0.00 0.00 Fund Assets (PKR mn) 1,303.54* No dealing in units during this period Benchmark TDR Rate & KSE-30 Index





Feb-09

JS CPF III is a low-risk profile, capital protected product that aims to safeguardinvestor capital by placing a significant percentage of the fund as bank deposit(s), anduse the remaining funds to gain exposure into equity markets. The fund operates aportfolio of high return fixed income and money market instruments, as well as equitymarket investments or any other SECP permissible investment that the managementcompany considers appropriate to maximize total return.

During the month of Feb 2009, the KSE-30 index increased by 13.5% whilst the KSE-100 index increased by 6.5%. CPF III’s portfolio allocation to equities declined to0.44% in Feb 09 from 0.62% in Jan 09. We continue to maintain cash positions giventhe uncertain equity market outlook.

JS Capital Protected Fund (JS CPF III)





6M 1Y 2Y 3Y Launch Oil & Gas Marketing Cos. 1.04 Fund -0.90 0.49 n/a n/a 0.49 Paper & Board 0.15 Benchmark -6.57 -16.07 n/a n/a -16.07 Commercial Banks 0.11 Difference 5.67 16.56 n/a n/a 16.56

Monthly performance (%)2009 2008 Total 1.30

Jan -2.59 n/aFeb 0.87 n/aMar n/a Statistical analysisApr n/a Fund BenchmarkMay 0.64 Beta 0.0 1.0Jun 1.16 Standard Deviation 3.3% 13.4%Jul -0.56 Largest Month Gain 1.2% 4.1%Aug -0.25 Largest Month Loss -2.6% -11.0%Sep 0.72 % Positive Months 75.0% 58.3%Oct * n/aNov * n/aDec * n/a Key informationYTD -1.74 2.13 Fund type Open end - Special FundBenchmark 3.41 -18.84 Fund launch date 17 April, 2008Difference -5.15 20.97 Fund Assets (PKR mn) 694.64* No dealing in units during this period Benchmark TDR Rate & KSE-30 Index

Listing LSEFund manager's review Trustee MCFSL




Feb-09

JS CPF IV is a low-risk profile, capital protected product that aims to safeguard investorcapital by placing a significant percentage of the fund as bank deposit(s), and use theremaining funds to gain exposure into equity markets. The fund operates a portfolio ofhigh return fixed income and money market instruments, as well as equity marketinvestments or any other SECP permissible investment that the management companyconsiders appropriate to maximize total return.

During the month of Feb 2009, the KSE-30 index increased by 13.5% whilst the KSE-100 index increased by 6.5%. CPF IV’s portfolio allocation to equities declined to1.31% in Feb 09 from 5.19% in Jan 09, due to reduction in some of our equityposition. We continue to maintain cash positions given the uncertain equity marketoutlook.

JS Capital Protected Fund (JS CPF IV)


Investment philosophy Asset allocation (%)Jan-09 Feb-09

Cash & Equivalents 66.89 62.37Term Finance Cert.(s) 33.11 33.26Commercial Paper 0.00 4.36

Performance (%) Annualised performance**1M 6M 1Y 3Y Launch

Fund 15.64 5.66 7.75 n/a 7.30Benchmark 13.56 14.28 13.45 n/a 12.22Difference 2.09 -8.62 -5.70 n/a -4.92 Total 100.00 100.00

Monthly performance (%) Statistical analysis2009 2008 Fund Benchmark

Jan 1.09 n/a Beta 0.2 1.0Feb 1.20 0.75 Standard Deviation 3.8% 1.1%Mar 0.76 Largest Month Gain 1.4% 1.2%Apr 0.87 Largest Month Loss -3.1% 0.0%May 0.53 % Positive Months 92.9% 100.0%Jun 0.86Jul 0.96Aug 0.74 Key informationSep 1.10 Fund type Open end - Income FundOct 1.15 Fund launch date 22 January, 2008Nov -3.06 Fund Assets (PKR mn) 419.52Dec 1.37 Benchmark 1M KIBOR YTD 2.30 6.39 Listing LSEBenchmark 2.17 11.96 Trustee CDCDifference 0.13 -5.58 Auditors M. Yousuf Adil Saleem & Co.

Risk profile MediumManagement fee 1.50%

Fund manager's review PACRA Rating n/a


** Annualised performance is based on Value Added Monthly Index (VAMI)Important Information: The value of mutual fund investments may go up or down and are subject to market conditions. Past performance is not necessarily indicative of future results and annualized returns for period of less than one year can be misleading. JSInvestments Limited has exercised due diligence and care in preparing the information contained herein and believes it to be reliable as of the date indicated. However no guarantee is given that it is accurate or complete. JS Investments Limited shall not be liablefor any direct, indirect, special, incidental, consequential, punitive or exemplary damages or losses, including lost profits arising in any way from the information contained herein. Please consult your legal and/ or financial advisor before making any investmentdecisions. Information provided here is for the use of intended recipients only and the contents may not be reproduced, redistributed, or copied in whole or in part for any purpose without prior express consent of JS Investments Limited.

Feb-09

JS AIF aims at generating current income on investments while maintaining theprospects of capital appreciation by investing in a diversified portfolio of money marketand fixed income instruments. The fund may aggressively adjust asset weightings totake advantage of directional macro and micro economic trends and may hold some oreven all of its assets in cash to either provide liquidity or for defensive purposes.

The trend of liquidity improvement in the interbank market continued in the month ofFeb 09, which resulted in increase in prices of the TFC`s in the market. The increase inmark to market prices of TFC enabled the fund to out perform the bench mark by2.09%. The fund's return was 15.64% p.a. for the month of Feb 09 compared to12.83% p.a. in Jan 09.

JS Aggressive Income Fund (JS AIF)

Important Information:The value of mutual fund investments may go up or down and are subject to market conditions. Past performance is not necessarily indicative of future results and annualized returns for period of less than one year can be misleading. JSInvestments Limited has exercised due diligence and care in preparing the information contained herein and believes it to be reliable as of the date indicated. However no guarantee is given that it is accurate or complete. JS Investments Limited shall not be liablefor any direct, indirect, special, incidental, consequential, punitive or exemplary damages or losses, including lost profits arising in any way from the information contained herein. Please consult your legal and/ or financial advisor before making any investmentdecisions. Information provided here is for the use of intended recipients only and the contents may not be reproduced, redistributed, or copied in whole or in part for any purpose without prior express consent of JS Investments Limited.

Feb-09

Glossary of Terms

Glossary of Terms

Annualised Return Annualised return reflects an expected or approximate return for a full year. Beta Beta is a measure of the volatility, or systematic risk, of a security or a portfolio in comparison to the

market as a whole. For example, a beta of 1 indicates that the fund will move with the market. A beta of less than 1 means that it will be less volatile than the market and conversely, a beta of greater than 1 indicates that the fund will be more volatile than the market.

Standard Deviation Standard deviation calculated as the square root of the variance and measures how much the return on

the fund is deviating from the expected normal returns. Total Return Total return is the return on an investment over a given time period, usually a year. VAMI Value Added Monthly Index (VAMI) – This index reflects the growth of a hypothetical Rs. 1,000 in a

given investment over time. The index is equal to Rs. 1,000 at inception. Subsequent month-end values are calculated by multiplying the previous month’s VAMI index by 1 plus the current rate of return.

Where Vami = 1000 and Where R N = Return for period N Vami N = (1 + RN ) x Vami N-1

JS INVESTMENTS LIMITED Karachi 7th Floor, The Forum , Block 9, Clifton, Karachi, Pakistan UAN: 021 111 222 626 Lahore 307, Ground Floor, Upper Mall, Lahore, Pakistan UAN: 042 111 222 626 Islamabad Chaudhary Palza, 65-West, Ground Floor No 6, Fazal-e-Haq Road, Blue

Area, Islamabad, Pakistan UAN: 051 111 222 626

CHANNEL PARTNERS Investments can also be made through branches of our following Channel Partners Standard Chartered Bank Toll free: 0800 66666 or UAN: 111 002 002 Citibank N.A UAN: 111 222 222 JS Bank UAN: 111 572 265

For Further Information contact us

Toll Free: 0800 00887 E-mail: [email protected] Website: www.jsil.com

BRANCH DIRECTORY

Important Information: The value of mutual fund investments may go up or down and are subject to market conditions. Past performance is not necessarily indicative of future results and annualized returns for period of less than one year can be misleading. JS Investments Limited has exercised due diligence and care in preparing the information contained herein and believes it to be reliable as of the date indicated. However no guarantee is given that it is accurate or complete. JS Investments Limited shall not be liable for any direct, indirect, special, incidental, consequential, punitive or exemplary damages or losses, including lost profits arising in any way from the information contained herein. Please consult your legal and/ or financial advisor before making any investment decisions. Information provided here is for the use of intended recipients only and the contents may not be reproduced, redistributed, or copied in whole or in part for any purpose without prior express consent of JS Investments Limited.

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