March 2013
Lakson Outlook Economic and Markets Review FMR Lakson Money Market Fund FMR Lakson Income Fund FMR Lakson Equity Fund FMR Lakson Asset Allocation Developed Markets Fund FMR Lakson Asset Allocation Emerging Markets Fund FMR Lakson Asset Allocation Global Commodities Fund Mutual Funds Performance Comparison Markets Information
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Table of contents Economic & Markets Review
04 - 05
Lakson Money Market Fund
06
Lakson Income Fund
07
Lakson Equity Fund
08
Lakson Asset Allocation Global Commodities Fund
09
Lakson Asset Allocation Developed Markets Fund
10 - 11
Lakson Asset Allocation Emerging Markets Fund
12 - 13
Mutual Funds Performance Comparison
14 - 15
Markets Information
16 - 17
03
Lakson Outlook - March 2013
Economic & Markets Review - Pakistan Economic Review Consumer Price Index ("CPI") for March '13 clocked in at 6.6% YoY, the lowest level witnessed during the current fiscal year. The benign CPI reading during the month was mainly a result of high base effect and a nominal uptick in MoM inflation. On MoM basis, CPI inched up by 0.4% during March '13, compared to a decline of 0.3% in the preceding month. The monthly inflation witnessed a marginal increase as the "Non-Perishable Food" group which accounts for ~30% of the index, declined by 0.4% MoM. For the 9MFY13, CPI averaged at 8.0% vis-à-vis an average of 10.8% in the 9MFY12; a YoY decline of 280 bps.
Yield Curve 13.0% 12.0% 11.0% 10.0% 9.0%
The external account position remained fragile as the current account witnessed a massive deficit of USD 596 million in February '13 taking the cumulative deficit for the 8MFY13 to USD 700 million. The higher current account deficit in February '13 was primarily on account of interest payments to IMF. Moreover, the monthly remittances stood at USD 1,028 million; 12.2% lower than the average monthly inflow of USD 1,172 million during the 7MFY13. Trade deficit declined by 2.8% MoM during February '13, posting a deficit of USD 1,236 million compared to a deficit of USD 1,282 million in the preceding month. The reduction in monthly trade deficit was mainly supported by 7.1% MoM decline in imports which stood at USD 3,156 million. For the 8MFY13, current account deficit as a percentage of GDP stood at 0.3%.
8.0%
98.3
12.8
As of March 22, 2013, the foreign exchange reserves of the country squeezed by USD 566 million owing to a weak external account position. The total liquid reserves of the country as of the above mentioned date stood at USD 12.37 billion, while the reserves of SBP stood at USD 7.27 billion, providing a cover for less than 3 months of the import bill. Pak Rupee depreciated by 0.25% against the green-back during the month and USD/PKR ended the month at 98.43.
98.0
12.5
97.8
12.3
97.5
12.0
97.3
11.8
Fixed Income Market During March '13 the SBP continued its Open Market Operations ("OMOs") and injected an average of PKR 464 billion compared to PKR 558 billion during February '13. Though a decline in the size of weekly liquidity injection over the 1QCY13 is welcome from a systemic risk point of view, it has to be balanced against the PKR 283 billion in deficit financing provided by the SBP during the same period. With March '13 being the last month of the quarter, the market was generally on the higher side which meant the average overnight repo rate increased by 32 bps over February '13 to 9.07%. Cut off yields continued to go up as money market participants demonstrated their preference for shorter tenors in the belief that monetary tightening may commence sooner than expected. 3M, 6M and 12M cut off yields increased by 14 bps, 6 bps and 3 bps respectively over February '13. However despite bids being largely restricted to 3M T-Bills, the government was able to raise PKR 284 billion against its target of PKR 250 billion during the month. The SBP has also announced its T-Bill auction calendar for the 4QFY13 and set a target of PKR 1,325 billion against maturities of PKR 1,246 billion. Going forward liquidity may remain constrained as USD 640 million is repaid to the IMF over April '13 - May '13. And despite a record low CPI figure of 6.56% for Mar '13, interest will remain firmly tilted towards the shorter end of the yield curve as potential macroeconomic instability stemming from a vulnerable fiscal and external position precludes any realistic chance of further cuts in the discount rate. Equity Market Review The KSE-100 Index declined by 0.7% during March' 13, bringing an end to a 9-month streak of positive returns as uncertainty over the caretaker setup took its toll on the index. The KSE-100 Index has posted a cumulative return of 30.7% during the 9MFY13. During the month, the SBP mandated the commercial banks to pay 6.0% rate on all saving deposits on the basis of average monthly balance. This SBP directive created a negative sentiment in the market for the banking sector as the banks used to pay profit on the lowest balance of the month and this directive is expected to have a negative impact of 3-7% on the bottomline of different banks. Fixed line telecommunication sector remained volatile during the month on the ICH related news flow. In CY12 Pakistan was the best performing market in the region however in CY13 despite a 6.7% increase in the first quarter Pakistan is an average performer in the region. Trading activity declined in March '13 as the average volume traded stood at 197 million shares compared to 285 million shares in February '13, a decline of 31% MoM. A 10.5% MoM decline was also witnessed in Foreign Portfolio Investment ("FPI") that stood at USD 25.86 million in March '13 compared to USD 28.91 million in February '13.
1W
2M
6M
2Y
5Y
28-Feb-13
8Y
15Y
31-Mar-13
USD/PKR vs. Forex Reserves Forex Res. (USD bn.) - RHS
98.5
13.0
USD/PKR
97.0
11.5
1-Mar
8-Mar
15-Mar
22-Mar
29-Mar
Market Rates
12.8% 11.8% 10.8% 9.8% 8.8% 7.8% 6.8% 1-Mar
10-Mar 6M KIBOR
19-Mar O/N Repo Rate
28-Mar 6M T-Bill
The external account position remained fragile as the current account witnessed a massive deficit of USD 596 million in February '13.
DISCLAIMER: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not necessarily an indication of future results.
04
Lakson Outlook - March 2013
Economic & Markets Review - International Developed Markets The developed markets cherished the continued quantitative easing programs initiated by various central banks as the MSCI World Index rallied 2.4% during March '13 taking the cumulative gains for the 9MFY13 to 16.1%. The bullish momentum in developed markets was mainly triggered by US & Japanese equities as the S&P 500 Index surged by 3.6% during March '13, while Nikkei 225 Index posted a massive gain of 7.1% during the same period. On the flipside, the Euro Zone remained relatively weak as the MSCI Europe Index fell by 0.5% during the month. The buoyancy in US markets emanated from Federal Reserve's pledge to keep the monthly USD 85 billion bond purchase program intact as the central bank considered US economy still too weak to pull back its stimulus package. The Federal Reserve also left the interest rate unchanged and vowed to keep the interest rate near zero until the jobless rate fell to 6.5%. Moreover, U.S. Manufacturing Purchasing Managers' Index ("PMI") signalled a further improvement in US manufacturing business conditions, as the index was recorded at 54.6 in March' 13, up from February's 54.3. Similarly, the Japanese markets bagged the limelight as the new Bank of Japan ("BoJ") Governor, Haruhiko Kuroda, pledged to continue monetary easing till the 2% inflation target was reached. The economic malaise afflicting the Euro-zone deepened in March '13 after figures for activity across all major industries declined. Markit's Euro-zone composite Purchasing Managers' Index ("PMI"), seen as a reliable economic growth indicator for the bloc, fell more than expected to 46.5 in March '13 from 47.9 in February '13.
Emerging Markets Emerging market equities lost the positive momentum gained during the earlier part of the year as the MSCI Emerging Markets Index declined by -1.9% during March' 13, limiting the gains for the 9MFY13 to 10.4%. Chinese equities remained the major dragger, as the CSI 300 tumbled by 6.7% during the month, taking the highest toll on real estate companies after the government ordered more measures to cool property prices. Among other major Emerging Markets, KOSPI of Korea, Bovespa of Brazil and BSE Sensex 30 of India fell by 1.1%, 1.9%, and 0.3% respectively during the month. China's PMI for the manufacturing sector rose to 50.9 in March '13, from 50.1 in the preceding month but missed the market expectations of 51.2. Similarly, South Korea's economy expanded last quarter at the slowest pace since 2009, rising by 1.5% from a year ago. The government reduced its 2013 growth outlook from 3.0% to 2.3%. On the other hand, India's central bank cut the policy rate second time during the year from 7.75% to 7.50% to revive investment and bolster the weakest economic growth in a decade, while at the same time highlighted that the scope for further monetary easing remained limited.
Commodities Deutsche Bank Commodity Index inched up by 0.7% during March '13, taking the cumulative gains for the 9MFY13 to 6.6%. The index rebounded during the month after witnessing a steep decline of 4.4% during the preceding month as signs of US economic recovery bolstered the outlook for demand and drove rallies in crude oil, cotton, and gold. WTI surged by a massive 5.2% during the month, while cotton and gold increased by 2.5% and 1.3% respectively. On the other hand, the impact of gains from these commodities were neutralized by decline in prices of Aluminum, Soybeans, and Silver which posted monthly decline of 4.7%, 4.4% and 1.8% respectively. According to the data released by Energy Information Administration, the oil demand in the US, the biggest crude-consuming country, increased by the most since December during March '13. Crude Oil also gained as OPEC crude production slipped to a 16-month low during the month as output from Nigeria dropped to the least in more than three years. Output in the 12-member Organization of Petroleum Exporting Countries ("OPEC") declined by 70,000 barrels, to an average of 30.55 million barrels a day in March '13 from 30.62 million in February '13.
Performance of Equities & Commodities 140%
MSCI World Index
MSCI EM Index
DB Commodity Index 120%
100%
80%
60% Mar-12 May-12 28
Jul-12
Sep-12
Nov-12
Jan-13
Valuations of International Markets
24 20 16 12 8 4 DM
US
UK
Japan Canada EM
Brazil Russia India China
P/E Multiple
Federal Reserve's pledged to keep the monthly USD 85 billion bond purchase program intact as the central bank considered US economy still too weak to pull back its stimulus package.
DISCLAIMER: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not necessarily an indication of future results.
05
Lakson Outlook - March 2013
Lakson Money Market Fund
MUFAPs Recommended Format
Investment Objective The investment objective of the Lakson Money Market Fund is to provide stable and competitive returns in line with the money markets, exhibiting low volatility consistent with capital preservation by constructing a liquid portfolio of low risk short term investments. Performance Review The Lakson Money Market Fund ("LMMF") yielded an annualized return of 7.67% in March '13 compared to the Benchmark (average return of all money market funds) return of 8.02% p.a. The LMMF underperformed the average money market fund by 35bps. The LMMF continues to provide liability related to the Workers Welfare Fund ("WWF") that has a negative impact of approximately 17bps in monthly annualized performance. The yield since inception (13th November 2009) of the LMMF stood at 10.78% p.a. compared to a 10.87% p.a. return for the average money market fund. During the month, the LMMF increased exposure in TDRs to 36% as the banks offered better rates on TDRs due to quarter end. As of March 31, 2013, the Weighted Average Maturity ("WAM") of the LMMF portfolio was 39 days compared to 46 days at the start of the month. The WAM of the LMMF declined as the exposure in short term TDRs was increased. The portfolio of the LMMF still offers very high liquidity and as on March 31, 2013, 64% portfolio of the LMMF comprised of instruments that can be liquidated within six (6) business days keeping in view the present market situation. The Standard Deviation, a measure of the volatility of the fund's performance, of monthly returns of the LMMF since inception is just 1.52%. WWF Disclosure As of March 31, 2013 the LMMF has maintained provisions against Workers' Welfare Fund's liability to the tune of PKR 34.84 million. If the same were not made the NAV per unit of the LMMF would be higher by PKR 0.4042. If the LMMF would not have made the WWF provisions during FY13, the year to date annualized return of the LMMF for FY13 would be higher by 0.17%. For details investors are advised to read the Note 9.1 of the latest Financial Statements (Half Yearly Report as of December 31, 2012) of the LMMF.
Asset Allocation
Credit Split
Cash 9%
AA 27%
TDRs 36%
AAA 55%
T-Bills 55%
Fund Facts Fund Type Category Net Assets (PKR Mil.) NAV (31.03.2013) Pricing Mechanism Trustee Auditor Management Fee Front End Load Back End Load Launch Date Benchmark Dealing Days Cut-Off Time Fund Rating Asset Manager Rating
Open-End Money Market Fund 8,627 100.1034 Previous Day CDC Pakistan Limited KPMG Taseer Hadi & Co. 1.25% None None November 13, 2009 Average of returns earned by Money Market Funds in the industry. Mon - Fri 4:00 PM 'AA' by PACRA AM3+
Performance Morningstar FY13 - YTD March-13 2 Months 3 Months 6 Months 12 Months CY13 - YTD
LMMF 9.02% 7.67% 7.56% 7.70% 8.17% 9.39% 7.70%
Benchmark 9.38% 8.02% 7.88% 7.98% 8.49% 9.66% 7.98%
Simple Annualized FY13 - YTD March-13 2 Months 3 Months 6 Months 12 Months CY13 - YTD
LMMF 8.93% 7.41% 7.33% 7.49% 8.01% 9.39% 7.49%
Benchmark 9.27% 7.74% 7.63% 7.75% 8.32% 9.66% 7.75%
AA+ 18%
LMMF vs. Benchmark 120 116
Asset Allocation
112
Instruments Government Securities (T-Bills) Placements with Banks (TDRs) Placements with DFIs (LOPs) Cash
Jan-13 Feb-13 Mar-13 % of Total Assets 75% 84% 55% 25% 10% 36% 0% 5% 0% 0% 1% 9%
WAM* Days 57 21 0 1
9.42% 9.42% 9.12%
9.54%
9.88%
9.33%
9.42%
* Weighted Average Maturity
Key Interest Rates (Monthly Average) KIBOR (1W, 1M, 3M, 6M, 12M) T-Bills (3M, 6M, 12M) Repo (O/N, 1M, 3M, 6M, 12M)
9.45% 9.31% 9.07%
* Source: Bloomberg, Reuters
Disclosures Leverage as on March 31, 2013 Non Performing Assets WAM of Portfolio
Nil. Nil. 39 Days
9.46% 9.53% 9.26%
108 104 100 Jun-11 Sep-11 Dec-11 Mar-12 Jun-12 Sep-12 Dec-12 Benchmark
LMMF
Investment Committee Babar Ali Lakhani A. Aziz H. Ebrahim Muhammad Umair Chauhan Mustafa O. Pasha Syed Imran Raza Kazmi Maryam Hidayatallah
Chairman
DISCLAIMER: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not necessarily an indication of future results.
06
Lakson Outlook - March 2013
Lakson Income Fund
MUFAPs Recommended Format
Investment Objective The investment objective of the Lakson Income Fund is to provide competitive total return through investment in a diversified portfolio of fixed income securities. Investments will be made in a variegated mix of short term, medium term and longer term maturities depending on the assessment by the Investment Team of interest rate trends and prospective returns. Performance Review The Lakson Income Fund ("LIF") provided an annualized yield of 8.12% for the month of March '13, compared to the Benchmark return (average return of all income funds) of 8.77%. The LIF underperformed the average income fund by 65bps. The yield since inception (13th November 2009) of the LIF stands at an annualized rate of 11.04%, compared to the Benchmark return of 8.16% p.a. During the month the LIF increased exposure in TDRs to 15% as the banks offered better rates on TDRs due to quarter end. As of March 31, 2013, the WAM of the LIF portfolio was 437 days compared to 467 days at the start of the month. The WAM declined during the month as the exposure in shorter tenure instruments was increased. As of March 31, 2013, 50% of the portfolio of the LIF comprised of liquid instruments that can be liquidated within six (6) business days keeping in view the prevailing market conditions. In a situation where the income funds are providing very volatile returns, the standard deviation of annualized monthly returns of the LIF is only 1.87% compared to 4.81% for the Benchmark.
WWF Disclosure As of March 31, 2013 the LIF has maintained provisions against Workers' Welfare Fund's liability to the tune of PKR 7.76 million. If the same were not made the NAV per unit of the LIF would be higher by PKR 0.4074. If the LIF would not have made the WWF provisions during FY13, the year to date annualized return of the LIF for FY13 would be higher by 0.17%. For details investors are advised to read the Note 10.1 of the latest Financial Statements (Hal Yearly Report as of December 31, 2012) of the LIF.
Asset Allocation CPs 13%
Credit Split
Cash 3% MTS 4%
AA12% T-Bills 47%
TDRs 15%
NR 5% A+ 1%
AAA 48%
AA 18%
AA+ 16%
TFCs 18%
Fund Facts Fund Type Category Net Assets (PKR Mil.) NAV (31.03.2013) Pricing Mechanism Trustee Auditor Management Fee Front End Load Back End Load Launch Date Benchmark Dealing Days Cut-Off Time Fund Rating Asset Manager Rating
Performance Morningstar FY13 - YTD March-13 2 Months 3 Months 6 Months 12 Months CY13 - YTD
LIF 9.44% 8.12% 7.94% 7.97% 8.54% 9.95% 7.97%
Benchmark 9.16% 8.77% 8.15% 7.67% 8.03% 9.25% 7.67%
Simple annualized FY13 - YTD March-13 2 Months 3 Months 6 Months 12 Months CY13 - YTD
LIF 9.33% 7.83% 7.69% 7.74% 8.36% 9.95% 7.74%
Benchmark 9.05% 8.39% 7.85% 7.44% 7.86% 9.25% 7.44%
TFCs Portfolio Name of the Issue Askari Bank Limited Bank Al Habib Limited Bank Alfalah Limited NIB Bank Limited Orix Leasing Pakistan Limited Pakistan Mobile Communication Standard Chartered Bank United Bank Limited
LIF vs. Benchmark Issue Date 23-Dec-11 30-Jun-11 20-Feb-13 05-Mar-08 30-Jun-11 18-Apr-12 29-Jun-12 14-Feb-08
Rating % of Total Assets AA3.83% AA 1.17% AA4.65% A+ 0.78% AA+ 1.82% AA3.08% AAA 1.31% AA 0.79%
Asset Allocation Instruments Government Securities (T-Bills) Placements with Banks (TDRs) Term Finance Certificates (TFCs) Commercial Papers (CPs) Margin Trading System (MTS) Cash
120 116 112 108 104 100
Jan-13
Feb-13
44% 21% 18% 13% 2% 2%
% of Total Assets 55% 10% 18% 13% 1% 3%
* Weighted Average Maturity
Disclosures Leverage as on March 31, 2013 Non Performing Assets WAM of Portfolio
Open-End Income Fund 1,912 100.4452 Forward Day CDC Pakistan Limited KPMG Taseer Hadi & Co. 1.50% 1.50% None November 13, 2009 Average of returns earned by the Income Funds in the industry Mon - Fri 4:00 PM 'A+' by PACRA AM3+
Nil. Nil. 437 Days
Mar-13
WAM*
46% 15% 18% 13% 4% 4%
Days 32 22 2,279 110 30 1
Jun-11
Sep-11 Dec-11 Mar-12 Jun-12
Sep-12 Dec-12
Benchmark
LIF
Investment Committee Babar Ali Lakhani A. Aziz H. Ebrahim Muhammad Umair Chauhan Mustafa O. Pasha Syed Imran Raza Kazmi Maryam Hidayatallah
Chairman
DISCLAIMER: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not necessarily an indication of future results.
07
Lakson Outlook - March 2013
Lakson Equity Fund
MUFAPs Recommended Format
Investment Objective The investment objective of the Lakson Equity Fund is to provide long term capital appreciation by investing mainly in equity and related listed securities. Investments will be made in companies of substance, financial strength and demonstrably superior management skills with some exposure given to smaller capitalized value stocks. Performance Review The Lakson Equity Fund ("LEF") increased by 0.26% in March '13 compared to the KSE-30 Index decline of 4.48% and the KSE-100 Index decline of 0.72%. The LEF outperformed the KSE-30 Index by 474bps and the KSE-100 Index by 98bps. The LEF has provided a cumulative return of 64.55% since its inception. During the month, the LEF reduced its exposure in equities to 75% compared to 77% at the start of the month. The LEF reduced exposure in Commercial Banks and Personal Goods sectors while the exposure in Construction & Materials and Chemicals sectors was increased. Presently the market is trading at a P/E multiple of 8.00x with an average dividend yield of 6.46%. WWF Disclosure As of March 31, 2013 the LEF has maintained provisions against Workers' Welfare Fund's liability to the tune of PKR 1.49 million. If the same were not made the NAV per unit of the LEF would be higher by PKR 1.0339. If the LEF would not have made the WWF provisions during FY13, the year to date return of the LEF for FY13 would be higher by 0.52%. For details investors are advised to read the Note 7.1 of the latest Financial Statements (Half Yearly Report as of December 31, 2012) of the LEF.
Asset Allocation Top 10 Holdings (In Alphabetical Order) D. G. Khan Cement 5.98% Engro Corporation Limited 4.88% Fauji Fertilizer Company Limited 3.32% Kohat Cement Limited 4.53% Lucky Cement Limited 6.74% Oil & Gas Development Company 6.06% Pakistan Oilfields Limited 6.86% Pakistan Petroleum Limited 7.63% Pakistan Reinsurance Company Limited 3.45% United Bank Limited 3.99%
Cash & Equi. 25%
Equities 75%
Fund Facts
Fund Type Category Net Assets (PKR Mil.) NAV (31.03.2013) Pricing Mechanism Trustee Auditor Management Fee Front End Load Back End Load Launch Date Benchmark Dealing Days Cut-Off Time Asset Manager Rating
Performance FY13 - YTD March-13 2 Months 3 Months 6 Months 12 Months CY13 - YTD
Feb-13
Mar-13
Oil & Gas Construction & Materials Commercial Banks Chemicals Non Life Insurance Others
22.91% 14.03% 18.44% 9.12% 3.24% 7.04%
23.77% 17.25% 12.26% 10.51% 3.45% 7.76%
Asset Allocation (% of Total Assets) Equities Cash & Equivalents
LEF
KSE-30
KSE-100
25.33% 0.26% 4.21% 6.66% 14.83% 24.87% 6.66%
19.18% -4.48% 0.88% 3.23% 9.05% 17.29% 3.23%
30.74% -0.72% 4.64% 6.73% 16.82% 31.11% 6.73%
Sectorwise Exposure LEF vs. Benchmark
Others
Sectorwise Exposure
Open-End Equity Fund 183 126.6204 Forward Day CDC Pakistan Limited BDO Ebrahim & Co. 3.00% 3.00% None November 13, 2009 KSE-100 Index Mon-Fri 4:00 PM AM3+
Non Life Insurance
145
Oil & Gas
Chemicals
135 125
Commercial Banks
115
Const. & Mat.
105 95
Jan-13 79% 21%
Feb-13 77% 23%
85 Jun-11
Mar-13 75% 25%
LEF
Sep-11
Dec-11
Mar-12
Jun-12
Sep-12
KSE-100
Dec-12 KSE-30
Pakistan vs. Global Markets Country Pakistan India Malaysia Dubai USA USA
Index KSE-100 BSE Sensex 30 FTSE KLCI DFM General DJIA S&P 500
* Source: Reuters, Bloomberg
Disclosures Leverage as on March 31, 2013 Non Performing Assets
1M Return -0.72% -0.14% 2.08% -5.08% 3.73% 3.60%
P/E 8.00 15.78 15.07 12.65 14.18 15.31
Div. Yield 6.46% 1.63% 3.37% 4.51% 2.45% 2.12%
Investment Committee Babar Ali Lakhani A. Aziz H. Ebrahim Muhammad Umair Chauhan Mustafa O. Pasha Syed Imran Raza Kazmi Maryam Hidayatallah
Chairman
Nil. Nil.
DISCLAIMER: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not necessarily an indication of future results.
08
Lakson Outlook - March 2013
Lakson Asset Allocation Global Commodities Fund
MUFAPs Recommended Format
Investment Objective The investment objective of the Lakson Asset Allocation Global Commodities Fund is to provide longterm capital appreciation by investing in a mix of domestic debt and commodities. Performance Review The Lakson Asset Allocation Global Commodities Fund ("LAAGCF") increased by 0.12% in March '13 compared to the Benchmark (70% 6-month T-Bills + 30% DB Commodity Index) return of 0.85%. The LAAGCF underperformed the Benchmark by 73bps. The LAAGCF has appreciated by 10.48% since its inception. As of March 31, 2013, the LAAGCF has 27% exposure in International commodities. The LAAGCF's 27% international exposure is in DB Balanced Commodity ETF which tracks the performance of DBLC-OY Balanced Index. Commodities witnessed a mixed trend during the month as Oil, Gold and Cotton increased while Aluminum, Soybeans, and Silver declined during the month. WWF Disclosure As of March 31, 2013 the LAAGCF has maintained provisions against Workers' Welfare Fund's liability to the tune of PKR 0.88 million. If the same were not made the NAV per unit of the LAAGCF would be higher by PKR 0.1752. If the LAAGCF would not have made the WWF provisions during FY13, the year to date return of the LAAGCF for FY13 would be higher by 0.09%. For details investors are advised to read the Note 7.1 of the latest Financial Statements (Half Yearly Report as of December 31, 2012) of the LAAGCF.
Fund Facts Fund Type Category Net Assets (PKR Mil.) NAV (31.03.2013) Pricing Mechanism Trustee Auditor Management Fee Front End Load Back End Load Launch Date Benchmark Dealing Days Cut-Off Time Asset Manager Rating
Open-End Asset Allocation Fund 526 104.6864 Forward Day CDC Pakistan Limited BDO Ebrahim & Co. 2.00% 2.50% None October 10, 2011 30% DB Commodity Index +70% 6-month TBills Mon - Fri 04:00 PM AM3+
Global Commodities (DB Balanced Commodity ETF) Commodity Gold Brent Crude Oil RBOB Gasoline WTI Crude Oil Heating Oil Sugar Soybeans Corn Zinc Copper Aluminium Natural Gas Silver Minnepolis Wheat Wheat (Kansas) Wheat
Weight as of Feb-13 12.74% 8.69% 8.64% 8.51% 8.17% 7.48% 7.26% 6.75% 6.42% 6.31% 6.22% 3.43% 3.08% 2.16% 2.08% 2.06%
Asset Allocation
Commodities 27%
T-Bills 71%
Precious Metals 15.82%
Benchmark
4.38% 0.12% -0.67% 0.42% 1.03% 6.34% 0.42% 10.48%
8.47% 0.85% 0.15% 1.65% 3.04% 8.59% 1.65% 15.89%
LAAGCF vs. Benchmark
115.00
Energy 37.44%
Base Metals 18.95%
110.00
105.00
Agriculture 27.79%
100.00 Dec-11 Mar-12 Apr-12 Jun-12 Aug-12 Sep-12 Nov-12 Jan-13 Feb-13 Benchmark
Jan-13 Feb-13 Mar-13 % of Total Assets 71% 71% 71% 28% 27% 27% 1% 2% 2%
Disclosures Leverage as on March 31, 2013 Non Performing Assets
LAAGCF
120.00
Asset Allocation
Government Securities (T-Bills) Global Commodities Cash
FY13 - YTD March-13 2 Months 3 Months 6 Months 12 Months CY13 - YTD Since Inception
Sectorwise Exposure
Sectorwise Exposure as of Feb-13 Energy 37.44% Agriculture 27.79% Base Metals 18.95% Precious Metals 15.82%
Instruments
Fund Performance
Cash 2%
Nil. Nil.
LAAGCF
Investment Committee Babar Ali Lakhani A. Aziz H. Ebrahim Muhammad Umair Chauhan Mustafa O. Pasha Syed Imran Raza Kazmi Maryam Hidayatallah
Chairman
DISCLAIMER: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not necessarily an indication of future results.
09
Lakson Outlook - March 2013
Lakson Asset Allocation Developed Markets Fund Investment Objective The investment objective of the Lakson Asset Allocation Developed Markets Fund is to provide longterm capital appreciation by investing in a mix of domestic debt and developed markets securities. Performance Review The Lakson Asset Allocation Developed Markets Fund ("LAADMF") increased by 0.93% in March '13 compared to the Benchmark (70% 6-month T-Bills + 30% MSCI World Index) return of 1.26%. The LAADMF underperformed the Benchmark by 33bps. The LAADMF has appreciated by 15.65% since its inception. As of March 31, 2013 the LAADMF has 29% exposure in the Developed Markets equities. The Developed Markets ex Europe showed a positive trend during March '13 as the benchmark MSCI World Index increased by 2.4%. The LAADMF's 29% exposure international exposure is in iShares MSCI World ETF which tracks the performance of the MSCI World Index. WWF Disclosure As of March 31, 2013 the LAADMF has maintained provisions against Workers' Welfare Fund's liability to the tune of PKR 1.26 million. If the same were not made the NAV per unit of the LAADMF would be higher by PKR 0.2669. If the LAADMF would not have made the WWF provisions during FY13, the year to date return of the LAADMF for FY13 would be higher by 0.18%. For details investors are advised to read the Note 7.1 of the latest Financial Statements (Half Yearly Report as of December 31, 2012) of the LAADMF.
Developed Markets Equities (iShares MSCI World ETF)
Security Exxon Mobil Corp Apple Inc Nestle SA General Electric Intl Business Machines Corp Cheveron Corp Johnson & Johnson AT&T Inc Pfizer Inc Microsoft Corp
Asset Allocation
As of Mar-13
% of ETF's Assets 1.55% 1.49% 0.92% 0.91% 0.89% 0.85% 0.82% 0.82% 0.80% 0.80%
Cash 2% DM Equities 29%
MUFAPs Recommended Format
Fund Facts Fund Type Category Net Assets (PKR Mil.) NAV (31.03.2013) Pricing Mechanism Trustee Auditor Management Fee Front End Load Back End Load Launch Date
Open-End Asset Allocation Fund 518 109.2189 Forward Day CDC Pakistan Limited BDO Ebrahim & Co. 2.00% 2.50% None October 10, 2011 30% MSCI World Index +70% 6-month T-Bills Mon - Fri 04:00 PM AM3+
Benchmark Dealing Days Cut-Off Time Asset Manager Rating
Fund Performance FY13 - YTD March-13 2 Months 3 Months 6 Months 12 Months CY13 - YTD Since Inception
LAADMF Benchmark 8.67% 0.93% 1.41% 3.37% 5.82% 11.17% 3.37% 15.65%
11.42% 1.26% 1.90% 4.18% 7.32% 12.89% 4.18% 23.06%
T-Bills 69%
LAADMF vs. Benchmark 120.00
115.00
Asset Allocation Instruments
Jan-13 Feb-13 Mar-13 % of Total Assets 68% 68% 69% 29% 29% 29% 3% 3% 2%
Government Securities (T-Bills) Developed Markets (DM) Equities Cash
110.00
105.00
100.00 Dec-11
Weight 53.90% 9.14% 8.89% 4.49% 3.87%
Sectors Financials Information Technology Consumer Discretionary Health Care Consumer Staples
Disclosures Leverage as on March 31, 2013 Non Performing Assets
Apr-12
Jun-12
Aug-12
Oct-12
Dec-12
Benchmark
MSCI World Index Composition (As of Mar-13) Country United States United Kingdom Japan Canada Switzerland
Feb-12
Weight 20.28% 11.69% 11.37% 11.12% 11.08%
Feb-13
LAADMF
Investment Committee Babar Ali Lakhani A. Aziz H. Ebrahim Muhammad Umair Chauhan Mustafa O. Pasha Syed Imran Raza Kazmi Maryam Hidayatallah
Chairman
Nil. Nil.
DISCLAIMER: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not necessarily an indication of future results.
10
Lakson Outlook - March 2013
iShares MSCI World ETF (Developed Markets): Allocations
Type IDWR LN Equity DES and click on Allocations
iShares MSCI World ETF (Developed Markets): Holdings
Type IDWR LN Equity DES and click on Holdings
11
Lakson Outlook - March 2013
Lakson Asset Allocation Emerging Markets Fund
MUFAPs Recommended Format
Investment Objective The investment objective of the Lakson Asset Allocation Emerging Markets Fund is to provide longterm capital appreciation by investing in a mix of domestic debt and emerging market securities. Performance Review The Lakson Asset Allocation Emerging Markets Fund ("LAAEMF") increased by 0.09% in March '13 compared to the Benchmark (70% 6-month T-Bills + 30% MSCI Emerging Markets Index) return of 0.07%. The LAAEMF outperformed the Benchmark by 2bps. The LAAEMF has appreciated by 13.32% since its inception. As of March 31, 2013 the LAAEMF has 28% exposure in Emerging Markets equities. The LAAEMF's 28% international exposure is in iShares MSCI Emerging Markets ETF which tracks the performance of the MSCI Emerging Markets Index. Emerging market equities lost the positive momentum gained during the earlier part of the year as the MSCI Emerging Markets Index declined by -1.9% during March '13. WWF Disclosure As of March 31, 2013 the LAAEMF has maintained provisions against Workers' Welfare Fund's liability to the tune of PKR 1.05 million. If the same were not made the NAV per unit of the LAAEMF would be higher by PKR 0.2234. If the LAAEMF would not have made the WWF provisions during FY13, the year to date return of the LAAEMF for FY13 would be higher by 0.14%. For details investors are advised to read the Note 7.1 of the latest Financial Statements (Half Yearly Report as of December 31, 2012) of the LAAEMF.
Emerging Market Equities (iShare MSCI EM ETF)
Security
Asset Allocation
As of Mar-13
Cash 2%
% of ETF Assts
Samsung Electronics Co Ltd
3.97%
EM Equities 28%
Taiwan Semiconductor Manufacturing Co Ltd 2.17% China Mobile Ltd
1.68%
China Construction Bank Corp
1.55%
Gazprom OAO
1.19%
Industrial & Commercial Bank of China Ltd
1.19%
America Movil SAB de CV
1.10%
Itau Unibanco Holdings
1.07%
Petrobras - Petroleo Bras
1.00%
Banco Bradesco SA
0.94%
T-Bills 70%
Fund Facts Fund Type Category Net Assets (PKR Mil.) NAV (31.03.2013) Pricing Mechanism Trustee Auditor Management Fee Front End Load Back End Load Launch Date
Dealing Days Cut-Off Time Asset Manager Rating
Open-End Asset Allocation Fund 502 107.0983 Forward Day CDC Pakistan Limited BDO Ebrahim & Co. 2.00% 2.50% None October 10, 2011 30% MSCI Emerging Markets Index +70% 6-month T-Bills Mon - Fri 04:00 PM AM3+
Fund Performance
LAAEMF Benchmark
Benchmark
FY13 - YTD March-13 2 Months 3 Months 6 Months 12 Months CY13 - YTD Since Inception
6.67% 0.09% -0.32% 0.18% 3.92% 9.03% 0.18% 13.32%
9.65% 0.07% 0.31% 1.42% 5.40% 9.65% 1.42% 20.08%
LAAEMF vs. Benchmark 120.00
Asset Allocation Instruments Government Securities (T-Bills) Emerging Markets (EM) Equities Cash
115.00
Jan-13 Feb-13 Mar-13 % of Total Assets 69% 70% 70% 29% 29% 28% 2% 1% 2%
110.00
105.00
100.00 Dec-11 Mar-12 Apr-12 Jun-12 Aug-12 Sep-12 Nov-12 Jan-13 Feb-13 Benchmark
VWO Composition (As of Mar - 13) Country Exposure China Korea Brazil Taiwan South Africa
17.46% 14.72% 12.64% 10.74% 7.01%
Sectors Allocations Financials Information Technology Energy Materials Consumer Staples
Disclosures Leverage as on March 31, 2013 Non Performing Assets
Nil. Nil.
27.23% 13.90% 11.89% 10.77% 9.16%
LAAEMF
Investment Committee Babar Ali Lakhani A. Aziz H. Ebrahim Muhammad Umair Chauhan Mustafa O. Pasha Syed Imran Raza Kazmi Maryam Hidayatallah
Chairman
DISCLAIMER: This publication is for informational purposes only and nothing herein should be construed as a solicitation, recommendation or an offer to buy or sell any fund. All investments in mutual funds are subject to market risks. The NAV based prices of units and any dividends/returns thereon are dependant on forces and factors affecting the capital markets. These may go up or down based on market conditions. Past performance is not necessarily an indication of future results.
12
Lakson Outlook - March 2013
Vanguard MSCI Emerging Markets ETF: Allocations
Type VWO UP Equity DES and click on Allocations
Vanguard MSCI Emerging Markets ETF: Holdings
Type VWO UP Equity DES and click on Holdings
13
Lakson Outlook - March 2013
Mutual Funds Performance Comparison Position as of April 01, 2013 Income Funds ABL Income Fund Atlas Income Fund Faysal Savings Growth Fund First Habib Income Fund HBL Income Fund IGI Income Fund JS Income Fund Lakson Income Fund MCB Dynamic Cash Fund NAFA Financial Sector Income Fund NAFA Income Fund NAFA Income Opportunity Fund NAFA Saving Plus Fund NIT - Income Fund Pakistan Income Fund PICIC Income Fund UBL Savings Income Fund
Annualized Returns (%) 30 Days 7.38 8.04 7.15 6.99 6.93 8.31 8.17 8.07 9.94 8.39 4.82 18.34 7.78 7.22 10.47 7.85 7.96
90 Days 6.57 7.66 7.17 11.14 7.46 8.17 9.74 7.87 7.78 8.64 3.00 11.84 7.88 7.08 5.71 7.72 7.18
180 Days 7.97 8.96 7.62 9.55 6.67 9.56 9.17 8.42 8.83 8.67 (1.12) 10.98 8.20 8.50 5.63 8.44 7.93
270 Days 10.21 10.19 8.72 10.06 7.69 9.46 11.39 9.37 10.17 9.42 4.30 8.45 8.87 9.87 6.71 9.66 9.61
365 Days 10.29 11.14 9.29 10.00 7.80 9.82 10.98 9.98 10.10 10.31 3.77 7.65 9.30 10.11 7.50 10.11 9.96
7.76 8.30 7.49 7.60 7.53 7.65 7.73 7.55 7.83 8.00 7.79 8.01 7.37 7.74 7.38 7.70 7.94 7.70 7.61 9.33 7.47
7.83 8.30 7.72 7.77 7.58 7.70 7.90 7.66 8.05 8.59 7.64 8.07 7.55 7.86 7.48 7.81 7.94 7.70 7.76 N/A 7.61
8.19 8.80 8.24 8.26 8.11 8.31 8.22 8.19 8.55 9.57 8.03 8.44 7.89 8.36 7.86 8.29 8.21 8.11 8.22 N/A 7.97
9.21 9.66 9.23 N/A 9.17 9.27 N/A 9.20 9.52 10.07 N/A N/A 8.88 9.36 8.70 9.28 9.09 9.14 N/A N/A 9.07
9.56 10.00 9.67 9.67 9.62 9.81 9.52 9.65 9.91
9.96 20.90 13.98 8.73 7.93 9.60 8.33 44.36 16.03 21.57
9.07 14.30 9.59 7.94 7.34 6.91 4.52 17.47 9.42 20.27
4.02 22.95 (0.39) 10.19 8.43 8.43 6.67 N/A 8.17 13.32
5.55 13.75 (1.28) 13.49 9.74 9.89 10.35 16.59 6.56 9.70
5.56 12.49 (4.78) 15.46 9.46 12.16 13.41 32.82 6.69 9.56
Money Market Funds ABL Cash Fund* AKD Cash Fund* Alfalah GHP Cash Fund* Askari Sovereign Cash Fund* Atlas Money Market Fund * BMA Empress Cash Fund* Faysal Money Market Fund* First Habib Cash Fund* HBL Money Market Fund* IGI Money Market Fund* JS Cash Fund KASB Cash Fund Lakson Money Market Fund* MCB Cash Management Optimizer* NAFA Government Securities Liquid Fund* NAFA Money Market Fund* Pakistan Cash Management Fund* PICIC Cash Fund* Primus Cash Fund* Primus Daily Reserve Fund* UBL Liquidity Plus Fund
9.71 9.73 9.38 9.66 9.21 9.70 9.27 9.65 N/A N/A 9.59
Aggressive Income Funds AKD Aggressive Income Fund Alfalah GHP Income Multiplier Fund Askari High Yield Scheme BMA Chundrigar Road Saving Fund Faysal Income & Growth Fund IGI Aggressive Income Fund JS Aggressive Income Fund KASB Income Opportunity Fund Pakistan Income Enhancement Fund United Growth & Income Fund
*These money market funds are providing liability related to Workers Welfare Fund N/A = Not Available
Source: MUFAP
14
Lakson Outlook - March 2013
Mutual Funds Performance Comparison Position as of April 01, 2013 Equity Funds
Absolute Returns (%) 30 Days
90 Days
180 Days
270 Days
ABL Stock Fund
2.71
12.33
20.42
29.96
365 Days 37.49
AKD Opportunity Fund
2.32
6.60
22.25
39.37
54.68
Alfalah GHP Alpha Fund
0.62
8.10
12.23
19.88
17.67
Askari Equity Fund
2.78
7.59
17.16
22.52
22.15
Atlas Stock Market Fund
0.42
9.35
18.67
32.94
39.51
First Habib Stock Fund
1.37
7.62
14.38
21.83
23.62
HBL Stock Fund
1.81
10.67
19.32
29.00
29.27
IGI Stock Fund
2.54
17.74
28.49
44.02
45.45
JS Large Cap Fund
4.79
15.53
26.95
36.30
41.59
Lakson Equity Fund
0.67
6.87
14.87
25.39
26.57
MCB Dynamic Stock Fund
2.11
9.23
18.73
31.82
40.12
NAFA Stock Fund
1.16
8.13
16.07
31.59
38.18
National Investment Unit Trust
0.50
3.67
14.71
28.76
31.68
Pakistan Premier Fund
1.57
8.59
18.24
29.65
37.48
Pakistan Stock Market Fund
1.52
8.70
18.56
29.95
37.82
Pakistan Strategic Allocation Fund
0.56
8.06
16.02
23.08
29.50
PICIC Stock Fund
2.36
8.44
16.29
27.20
29.02
United Stock Advantage Fund
1.06
8.81
17.18
30.19
28.575
26.95
Balanced Funds HBL Multi Asset Fund
1.09
7.62
15.21
24.34
NAFA Multi Asset Fund
1.16
6.18
9.56
17.40
21.46
Pakistan Capital Market Fund
0.79
4.68
10.36
18.54
22.77
Unit Trust of Pakistan
2.09
9.90
17.46
27.74
29.01
Asset Allocation Funds Alfalah GHP Value Fund
(0.44)
6.01
11.49
17.12
17.65
Askari Asset Allocation Fund
2.96
6.60
14.75
23.96
27.12
Faysal Asset Allocation Fund
0.69
1.82
(0.92)
6.16
2.20
JS Aggressive Asset Allocation
0.16
5.44
8.48
14.71
17.75
KASB Asset Allocation Fund
2.16
10.09
15.55
22.69
25.00
Lakson Asset Allocation Developed Markets Fund
1.11
3.38
5.82
8.65
11.21
Lakson Asset Allocation Emerging Markets Fund
(0.04)
0.59
3.92
6.65
9.06
Lakson Asset Allocation Global Commodities Fund
0.01
0.33
1.03
4.36
6.37
MCB Dynamic Allocation Fund
0.97
3.34
7.57
14.87
18.58
NAFA Asset Allocation Fund
0.83
7.82
10.39
19.29
20.05
Pak Oman Advantage Asset Allocation Fund
(1.18)
8.27
16.93
21.81
21.64
Capital Protected Funds ABL AMC Capital Protected Fund
0.88
3.24
6.66
10.70
N/A
IGI Capital Protected Fund
0.59
2.48
4.08
3.84
4.79
N/A = Not Available
Source: MUFAP
15
Lakson Outlook - March 2013
Markets Information Equities Total Return in PKR and % YTD-CY13 3-mo
1-yr
5-yr
Total Return in USD and %
Markets
Index
YTD-CY13 3-mo
1-yr
5-yr
World
MSCI All Country World Index
7.4%
7.4%
17.3%
55.3%
6.0%
6.0%
8.0%
-1.1%
Developed
MSCI World Index
8.6%
8.6%
18.7%
56.7%
7.2%
7.2%
9.3%
-0.2%
Emerging
MSCI Emerging Markets Index
-0.6%
-0.6%
7.9%
47.1%
-1.9%
-1.9%
-0.6%
-6.3%
Europe
MSCI Europe Index
3.4%
3.4%
16.1%
20.2%
2.1%
2.1%
6.9%
-23.4%
China
CSI 300
0.5%
0.5%
11.9%
16.7%
-0.8%
-0.8%
3.1%
-25.7%
Dubai
DFM
14.2%
14.2%
20.5%
-46.3%
12.7%
12.7%
10.9%
-65.8%
India
BSE Sensex 30
-0.5%
-0.5%
10.1%
39.7%
-1.8%
-1.8%
1.4%
-11.0%
Japan
Nikkei 225
11.3%
11.3%
17.4%
64.4%
9.8%
9.8%
8.1%
4.7%
Malaysia
FTSE Bursa
-0.9%
-0.9%
12.6%
117.1%
-2.2%
-2.2%
3.7%
38.3% -24.0%
Pakistan
KSE 100
6.7%
6.7%
31.1%
19.3%
5.3%
5.3%
20.7%
Sri Lanka
Colombo All Share
3.8%
3.8%
16.3%
177.3%
2.4%
2.4%
7.1%
76.6%
UK
FTSE 100
3.0%
3.0%
14.6%
35.3%
1.6%
1.6%
5.5%
-13.9%
US
DJIA
12.7%
12.7%
19.8%
86.6%
11.3%
11.3%
10.3%
18.9%
US
S&P 500
11.5%
11.5%
21.0%
86.3%
10.0%
10.0%
11.4%
18.6%
US
NASDAQ 100
7.3%
7.3%
11.1%
148.3%
5.9%
5.9%
2.3%
58.2%
Germany
DAX Index
0.8%
0.8%
17.1%
52.1%
-0.5%
-0.5%
7.8%
-3.1%
CANADA
TSX 300 Composite Index
1.3%
1.3%
9.7%
51.1%
0.0%
0.0%
1.0%
-3.8%
France
CAC - 40
0.9%
0.9%
13.7%
1.1%
-0.4%
-0.4%
4.7%
-35.6%
Brazil
Sao Paulo SE Bovespa Index
-4.9%
-4.9%
-14.3%
25.7%
-6.2%
-6.2%
-21.1%
-19.9%
Korea
Korea SE Kospi
-2.6%
-2.6%
10.2%
64.6%
-3.8%
-3.8%
1.5%
4.8%
Taiwan
Taiwan SE Weighted Index
1.4%
1.4%
7.2%
47.7%
0.1%
0.1%
-1.3%
-5.9%
Automobile and Parts
15.9%
15.9%
44.8%
-12.1%
14.3%
14.3%
33.4%
-44.0%
Banks
-6.5%
-6.5%
13.1%
-57.1%
-7.7%
-7.7%
4.2%
-72.7%
Chemicals
2.1%
2.1%
-2.1%
14.4%
0.7%
0.7%
-9.8%
-27.1%
Construction and Materials
17.1%
17.1%
130.5%
21.7%
15.5%
15.5%
112.3%
-22.5%
-30%
-5%
20%
45%
70%
KSE Sectors
Electricity
9.7%
9.7%
40.5%
43.0%
8.3%
8.3%
29.4%
-8.9%
Fixed Line Telecommunication
18.8%
18.8%
80.5%
-55.6%
17.3%
17.3%
66.2%
-71.7%
Food Producers
17.6%
17.6%
96.7%
260.8%
16.0%
16.0%
81.2%
129.8%
Non Life Insurance
1.3%
1.3%
31.6%
-78.8%
-0.1%
-0.1%
21.2%
-86.5%
Oil and Gas
3.9%
3.9%
21.7%
22.2%
2.5%
2.5%
12.0%
-22.2%
Personal Goods
9.3%
9.3%
98.0%
26.2%
7.8%
7.8%
82.3%
-19.6%
YTD 3-mo
Fixed Income Current Interbank Rates on Money Market
1M
3M
6M
12M
Historic 6-month Interbank Rates YTD-CY13 3-mo
1-yr
10.50%
2-yr
10.25% 10.00%
China
SHIBOR
3.40%
3.88%
4.10%
4.40%
4.49%
4.10%
4.29%
4.74%
Dubai
UAE IBOR
0.67%
1.13%
1.31%
1.48%
1.57%
1.43%
1.54%
1.67%
India
MIBOR
9.63%
9.78%
N.A.
N.A.
N.A.
N.A.
N.A.
N.A.
Japan
TIBOR
0.16%
0.25%
0.35%
0.36%
0.42%
0.38%
0.42%
0.43%
Malaysia
KLIBOR
3.10%
3.21%
3.25%
3.36%
3.25%
3.25%
3.25%
3.27%
Pakistan
KIBOR
9.59%
9.53%
9.58%
9.92%
10.83%
9.44%
10.55%
11.78%
Sri Lanka
SLIBOR
11.93%
12.79%
13.28%
13.81%
12.77%
13.59%
13.35%
11.19%
8.75%
UK
LIBOR
0.50%
0.51%
0.60%
0.91%
1.00%
0.63%
0.90%
1.07%
8.50%
US
SIBOR
0.20%
0.28%
0.44%
0.73%
0.64%
0.47%
0.61%
0.60%
Current Market Yields on Government Securities
Govt. Securities vs. KIBOR
9.75% 9.50% 9.25% 9.00% Interbank March-13 Govt. Sec. March-13 1W
Historic 12-Month Paper Rates
3M
12M
5Y
10Y
YTD-CY13 3-mo
China
2.60%
2.70%
3.30%
3.59%
2.70%
India
8.02%
7.79%
7.96%
7.96%
8.08%
Japan
0.04%
0.04%
0.14%
0.55%
Malaysia
3.04%
3.03%
3.22%
3.47%
Pakistan
9.39%
9.51%
11.36%
Sri Lanka
9.24%
11.14%
UK
0.41%
0.22%
US
0.07%
0.12%
3M
6M
1Y
2Y
12M Yields of Government Securities
1-yr
2-yr
2.79%
2.66%
2.88%
India
7.84%
8.01%
8.17%
Japan
0.09%
0.07%
0.09%
0.10%
Malaysia
3.03%
3.03%
3.04%
3.02%
Pakistan
11.89%
10.74%
9.40%
10.46%
11.64%
Sri Lanka
11.33%
11.91%
11.81%
11.13%
12.27%
10.21%
0.70%
1.77%
0.31%
0.29%
0.28%
0.40%
0.76%
1.85%
0.16%
0.14%
0.16%
0.15%
China
UK US 0%
16
1M
3%
6%
9%
Lakson Outlook - March 2013
12%
Markets Information Commodities Total Return Commodity
Unit
YTD-CY13 3-mo
DB Commodity Index
USD Excess Return
-1.2%
Current Prices DBCI
1-yr
5-yr
-1.2%
-3.9%
-21.8%
542.2
S&P Global Commodity Index
USD Total Return
0.6%
0.6%
-5.0%
-40.1%
4915.9
Dow Jones UBS Commodity Index
USD Total Return
-1.1%
-1.1%
-3.0%
-30.8%
276.7
Coal
USD/Tonne
-3.3%
-3.3%
-15.3%
N.A
90.7
Copper
USc/lbs
-6.9%
-6.9%
-11.1%
-11.2%
340.2
Cotton
USc/lbs
17.7%
17.7%
-5.4%
27.6%
88.5
Gold
USD/t oz.
-4.8%
-4.8%
-4.5%
74.1%
1594.8
Palm Oil
USD/Tonne
-0.3%
-0.3%
-33.4%
-28.5%
757.7
Sugar
USc/lbs
-9.5%
-9.5%
-28.5%
51.1%
17.7
Wheat
USD/Bushel (60Ibs)
-11.6%
-11.6%
4.1%
-26.0%
6.9
WTI
USD/bbl
5.9%
5.9%
-5.6%
-4.3%
97.2
Brent Crude
USD/bbl
-1.0%
-1.0%
-10.5%
9.7%
110.0
Heating Oil
USd/Gallon
-4.3%
-4.3%
-8.0%
N.A
291.5
RBOB Gasoline
USD/Gallon
10.4%
10.4%
-8.4%
18.7%
3.1
Natural Gas
USD/MMBTU
20.1%
20.1%
89.3%
-60.2%
4.0
Silver
USD/t Ozs
-6.1%
-6.1%
-12.8%
63.6%
28.3
SPGSCI
DJUBS
115
105
95
85
75 Mar-12
May-12
Jul-12
Sep-12
Nov-12
Jan-13
Mar-13
Currencies Change Versus PKR in %
Current Exchange Rates
YTD-CY13
3-mo
1-yr
5-yr
6.51%
58.24%
CAD - PKR
96.75
160
Canadian Dollar
CAD
-1.32%
-1.32%
Euro
EUR
-1.67%
-1.67%
4.28%
27.48%
EUR - PKR
126.18
140
Indian Rupee
INR
0.00%
0.00%
0.69%
14.80%
INR - PKR
1.7941
120
Japanese Yen
JPY
-6.85%
-6.85%
-4.51%
86.59%
JPY - PKR
1.0449
Pound Sterling
GBP
-5.32%
-5.32%
3.05%
20.29%
GBP - PKR
149.61
Singaporian Dollar
SGD
-0.35%
-0.35%
10.08%
74.15%
SGD - PKR
79.37
US Dollar
USD
1.33%
1.33%
8.58%
57.00%
USD - PKR
98.43
17
GBP
EUR
CAD
USD
Oct-12
Dec-12 Feb-13
100 80 60 Mar-12 May-12
Jul-12
Sep-12
Lakson Outlook - March 2013
Notes
18
Lakson Outlook - March 2013
Disclaimer This information has been prepared by Lakson Investments for your general information and private use only. It does not constitute investment advice and is not intended to be an offer to buy or sell or a solicitation of an offer to buy or sell any securities mentioned. It should not be considered as an incentive to invest. The securities described in this document may not be eligible for sale or subscription in all jurisdictions or to certain categories of investors. This document is not intended for distribution to a person or within a jurisdiction where such distribution would be restricted or illegal. This document may not be conveyed to or used by a third party without our express consent. Any other use is not authorized. The information contained herein has been obtained from sources believed to be reliable and no member of Lakson Investments makes any warranty, expressed or implied, as to the accuracy or completeness of the information. All the information included in this presentation is current when this document is prepared and subject to changes at any time. Any forecast or projection or forward looking statement made in this document is not necessarily indicative of future or likely performance, future events or future financial performance of securities, countries, markets or companies. Such statements are only predictions and actual events or results may differ. Lakson Investments may from time to time provide services to the companies and their affiliates mentioned herein. Employees of Lakson Investments or ersons/entities connected to them may from time to time have position in or are holding any of the securities mentioned in this document. No consideration have been given to and no investigation was made of your investment objectives, financial situation or particulars, and accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of you acting on such information or opinion or estimate. Lakson Investments expressly disclaims any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on this information in this document. Disclaimer: All investments in mutual funds are subject to market risks. The NAV of Units may go up or down based on market conditions. Past performance is not necessarily indicative of the future results. The investors are advised in their own interest to carefully read the Offering Document in particular the investment policy in Clause 2.2 and risk disclosure and warning statements contained in Clause 2.11 and Part 11 respectively in this Offering Document.
Transaction Locations: Islamabad: Contact Person: Mr. Ali Kazmi - Branch Manager Office No.6, Mezzanine floor, Kashmir Plaza, Jinnah Avenue, Blue Area, Islamabad. UAN: 051.111-111-717 Fax: 051.2870228 Lahore: Contact Person: Mr.Tassawar - Branch Manager 14 Ali Block, 1st Floor New Garden Town, Lahore. Tel: 042.591.1025/26 Rawalpindi: Contact Person: Mr. Tariq Aziz - Branch Manager Suite No.3, 1 st Floor, Majeed Plaza Bank Road, Rawalpindi Tel: 051.551.2251/52 Fax: 051.511.0996 Faisalabad: Contact Person: Mr. Shahbaz Choudhry - Branch Manager 1 st Floor, FM Plaza 15-D, Peoples Colony, Faisalabad Tel: 041.324.1704/07 Fax: 041.855.4453 Sialkot: Contact Person: Mr. Nisar Bhatti - Branch Manager 1 st Floor, Karim Plaza Iqbal Town, Defence Road, Sialkot Tel: 052.324.1704/07 Fax: 052.324.1703
19
Lakson Outlook - March 2013
1954
DECADES OF SEASONED INVESTMENT
Tritex Cotton
Century Insurance
Merit Packaging Limited
Century Paper & Board Mills
Hassan Ali Karabhai Foundation
Lakson Investments Limited. Lakson Square, Building No. 2, Sarwar Shaheed Road, Karachi-74200, Pakistan
UAN T F E
+92.21 111 Lakson +92.21 3569.8000 +92.21 3568.1653
[email protected] www.li.com.pk
