A mutual fund is an entity that pools the money of many investors -- its unit-holders -- to invest in different securities. Investments may be in shares, debt securities, money market securities or a combination of all these. Those securities are professionally managed on behalf of the unit-holders and each investor holds a pro rata share of the portfolio i.e. entitled to on a pro rata basis, any profits when the securities are sold, but subject to any losses in value as well.

These are mutual funds which continually create new units or redeem issued units on demand. They are also called unit trusts, because they are registered as trusts. The unit holders buy the units of the fund or may redeem them on a continuous basis at the prevailing NAV.

JS Investments Limited (JSIL,formerly JS ABAMCO Limited) is a public limited company duly licensed under non-banking finance company (NBFC) rules to carry investment advisory and asset management services. JSIL manages various open-end and closed-end mutual funds, pension funds, and separately managed accounts.

Security Exchange Commission of Pakistan (SECP) has licensed JS Investments Limited (JSIL,formerly JS ABAMCO Limited) under the Non-Banking Finance Company (NBFC) rules. JSIL meets the criteria for issuance of license set by the SECP to guard investors against fraudulent companies. All the funds related to the investors are under the custody of the Trustee. As far as value of the investments is concerned they are subject to volatility in the capital markets.

JSIL is rated AM2+ by Pakistan Credit Rating Agency (PACRA), which is the highest rating achieved to date by any AMC in Pakistan.

An investor is required to purchase minimum one unit. So the initial investment can be made to the extent of the price of one unit prevailing at the time of investment.

There is no lock-in period in the case of open-end funds (except for the core investors). Units can be encashed at any time by filling redemption form.

Documents Required
Resident adult individuals
National Identity Card (N.I.C),
Zakat Declaration (optional)

Minor through parent/lawful guardian
Form 'B' of the Minor
N.I.C of the Parent/Guardian
Zakat Declaration (optional)

Companies, Corporate Bodies, Financial Institutions, Banks, Partners of a Firm, and Insurance Companies
Board Resolution Memorandum and Articles Of Association Power of Attorney listing Authorized Signatories By Laws (Societies) N.I.C

Foreign Nationals and Companies outside Pakistan
N.I.C/Passport Subject to the regulations of the State Bank of Pakistan and Ministry of Finance

Provident, Pension and Gratuity Funds, Non Profit Institutions, funds, trusts, societies or other organizations, and Societies incorporated in Pakistan
Power of Attorney listing Authorized Signatories Resolution authorizing investment Bye Laws/Trust Deed N.I.Cs

Note:
1. In case of existing holders, if any of the documents which have been previously submitted, fresh submission of the same documents may not be required.
2. If the application is incomplete or incorrect in any way the distribution company will advise the applicant in writing to remove the discrepancy within a period of 15 days, failing which the application will be rejected and the amount will be refunded without any interest or mark-up.
3. The distribution company will be entitled to verify the application form. In case of any incorrect information the application may be rejected.

You can view your account statement to confirm your holding. Current value of the investments can be determined by multiplying the holding with current redemption prices. The current prices of the funds are quoted in Business Recorder, available on our website and may also be sent via SMS or emailed upon request.
Investors may also contact JSIL Investor Relations at 0800 00887 anytime during business hours.

A transaction confirmation is issued on each unit transaction. This includes purchase of units, redemption of units, transfer of units etc. Additionally, an account statement is issued periodically.

Yes.

Investment can only be made in Pak rupees.

Payment is acceptable in the form of crossed cheque, demand draft or pay-order.

Out-station cheques should be deposited in our authorized distribution company in the city from where the cheque is issued.

Yes, you can invest in the funds by opening a Special Convertible Rupee Account. This account can be operated by way of courier or fax instructions.

Yes, dividends can be reinvested at NAV as on that period.

Dividends are paid annually after the year-end (June 30). Returns in the form of gain can be realized by redeeming the units at any point of time.

It depends on the performance of the fund.

On payment of dividends tax is deducted at the prevailing rate on the portion of dividend income which is derived from sources other than capital gains.

Yes, Zakat will be deducted at source unless Zakat declaration form is submitted.

Yes there is a tax credit on purchase of open ended mutual fund and you can avail the tax credit if you retain the investment for one year. The Income Tax Law provides a tax rebate at an average rate of tax on investment in new securities/units issued first time to the extent of 10% of taxable income, Rs. 100,000 or the amount of investment, whichever is lower.

Yes, they are listed on the Lahore stock exchange.

Only closed-end funds can be traded on the listed stock exchange.

Open ended funds can be purchased or redeemed at any authorized distributor/channel partner or JSIL offices.

The unit is priced based on the NAV (net asset value). Normally units are offered to the public at price NAV plus sales load. This sales load is often a %age of NAV.

The NAV is the current market worth of a mutual fund unit. It is calculated on business days by taking the funds' total investments, cash and any accrued earnings deducting liabilities, and dividing the remainder by the number of units outstanding. NAV of units under any fund/ scheme shall be calculated as shown below.

NAV (Rs.) = (Market or Fair Value of the fund investments + Current Assets - Current Liabilities and Provisions) / No. of units outstanding under the fund)

Open-end funds recover a sales charge (called sales load) from unit/ share holders. Sales load is a certain fixed percentage of NAV. Some mutual funds recover the sales load when investors purchase the units, whereas others do when investors redeem the units. Mutual funds generally do not charge sales load on reinvestment of dividend. The shorter the period of investment, the greater will be the impact of the sales load. Maximum benefit can be derived from mutual fund investment by regularly investing, reinvesting the dividend and holding the investment for a longer period.

Investors can apply the equation and guidelines as given below to calculate the return from open-end mutual funds. Following symbols stand for:
a = Date of investment
b = Date of calculation of return or date of redemption
x = (b-a) i.e. period of investment holding
PP = Purchase Price or NAV at the beginning of relevant year
RP = Redemption Price or NAV at the end of relevant year
D = Dividends received during the investment holding period or relevant year
Profit from investment can be worked out as under:
(RP+D-PP)
The return can be worked out by dividing the profit from investment by the PP and then be annualized. Investors can work out the return for the entire holding period (i.e. x), or separately for each year.

Alternatively, this information is available in the monthly Fund Manager Report or investors may visit Performance Analytics on our website.

Yes. Out-station cheques should be deposited in our authorized distribution company in the city from where the cheque is issued.

Currently JS Investments Limited doesn't offer any such schemes.

Mutual funds cannot increase the load beyond the level mentioned in the offering document. Any change in the load will be applicable only to prospective investments and not to original investments. In case of imposition of fresh loads or increase in existing loads, the mutual funds are required to amend their offering documents so that the new investors are aware of loads at the time of investment.

Considering the market trends, any prudent fund managers can change the asset allocation i.e. he can invest higher or lower percentage of the fund in equity or debt instruments compared to what is disclosed in the offer document. It can be done on a short term basis on defensive considerations i.e. to protect the NAV. Hence the fund managers are allowed certain flexibility in altering the asset allocation considering the interest of the investors. In case the mutual fund wants to change the asset allocation on a permanent basis, they are required to inform the unit holders and giving them option to exit the scheme at prevailing NAV without any load.

There may be changes from time to time in a mutual fund. The mutual funds are required to inform any material changes to their unit holders. Apart from it, many mutual funds send quarterly newsletters to their investors. At present, offering documents are required to be revised and updated at least once in two years. In the meantime, new investors are informed about the material changes by way of addendum to the offer document till the time offer document is revised and reprinted.

In case of winding up of a scheme, the mutual funds pay a sum based on prevailing NAV after adjustment of expenses. Unit holders are entitled to receive a report on winding up from the mutual funds which gives all necessary details.

JS Pension Savings Fund is a defined contributions voluntary pension plan. This means that participants are free to choose ‘how much’ and ‘how frequently’ they contribute towards their pension goal; and upon retirement they will receive the accumulated balance in their Individual Pension Account.

Upon retirement participants may withdraw a tax-free lump sum of up to 50% of the accumulated balance in their Individual Pension Savings Account. With the remainder of balance, participants will have multiple convenient options for a monthly stipulate. They may either:
* Enter Into a Payment Plan
* Purchase an Annuity Plan
* Alternatively, participants may also withdraw the entire balance immediately – however an amount in excess of 50% will be subject to tax.

The JS Pension Savings Fund provides easy and convenient contribution options: cheque, pay order at any JSIL Sales office, EFU sales office and SCB branch.
* Each time a participant makes a contribution, they will be sent a confirmation along with the current Individual Pension Savings Account balance.
* Contribution may be made by either or both the individual themselves or by their employer on their behalf.

Each contribution towards a participant’s Individual Pension Account will provide tax benefits.
* A tax credit of their total annual contribution up to 20% of their taxable income or PKR 500,000 – whichever is lower.

No. Participants have the flexibility to withdraw from their Pension Savings Fund balance at any time, but these withdrawals are subject to tax.

Each participant is free to choose their own allocation amongst three sub-funds in accordance to their risk appetite: Debt, Equity, Money Market
* Each year, units within each Individual Pension Account will be re-allocated amongst the sub-funds to ensure that allocation amongst the Sub-funds is in accordance with the Allocation policy selected by the participant. Participants may update their allocation policy annually.

Subject to a minimum initial contribution, participants shall be provided with free Accidental Death & Disability insurance cover of up to PKR 4 million.

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