AWT Investments joins AM2+ club

August 06, 2025 (MLN): AWT Investments Ltd. has officially joined the elite AM2+ club, following a rating upgrade by the Pakistan Credit Rating Agency (PACRA).

This marked a significant milestone in the firm’s evolution as a trusted asset manager in Pakistan’s financial landscape.

The AM2+ rating—one of the highest tiers in PACRA’s asset management scale reflects AWT’s strengthened governance framework, consistent fund performance, and enhanced risk controls.

The upgrade positions the firm alongside top-performing peers in the industry, reinforcing its credibility among institutional and retail investors.

“Reaching new heights,” the company said in a statement, celebrating the upgrade as a testament to its commitment to high investment management standards.

The announcement came amid growing investor demand for professionally managed portfolios, as market volatility and macroeconomic uncertainty drive a flight to quality.

AWT Investments has seen steady growth in assets under management, supported by disciplined fund strategies and a focus on long-term value creation.

AWT Investments is an emerging player in the evolving asset management industry, focusing on expanding its customer outreach through superior investment performance, a well-diversified fund portfolio, focused marketing efforts and strong management expertise.

As a fully owned entity of the Army Welfare Trust, which is dedicated to the welfare of martyrs’ families, AWT Investments Limited has gained upward momentum during the period in Pakistan’s asset management industry, as evidenced by its improved relative standing among peers.

The rating upgrade of the AMC reflects enhancements across multiple key performance areas, including improved fund performance, growth and diversification of assets under management with a strategic focus on the retail segment, enhanced customer services and improved profitability. 

AWT Investments continues to prioritize retail penetration, which has contributed to greater stability and longevity in its asset base.

The AMC demonstrates a well-balanced and healthy client base, with a clientele mix comprising 45% retail investors and 55% institutional investors.

AWT Investments has witnessed significant growth in new account openings, driven by its focused marketing efforts and public awareness initiatives.

On the digital side, the AMC is in the process of launching Mobile App v2.0, which is expected to be launched soon. During 9MFY25, the AMC demonstrated a robust 100% growth in AUMs since Jun'24, clocking in at PKR 60bln (Jun'24: Rs30bln).

The AMC's market share doubled to 2% in 9MFY25 (FY24: 1%), reflecting improved positioning relative to its peers. Wherein, AWT Islamic Income Fund carries the significant weightage in total AUMs; dilution is encouraged.

However, the Fund significantly attracted a high number of accounts. The Fund performance remained in top quartile during the trailing 12 months ending on Mar'25.

At the end of April 2025, AWT Investments expanded its product portfolio through the launch of Voluntary Pension Schemes (VPS).

This strategic initiative marks a significant step in diversifying the AMC’s portfolio, catering to the long-term retirement planning needs of individual investors.

During 9MFY25, the financial matrix reveals that the management fee of the AMC increased significantly by 2 times; consequently, the AMC reported a net profit of Rs146m in 9MFY25 (9MFY24: Rs49m).

At the end of 9MFY25, the equity base of the AMC increased to Rs596m (FY24: Rs450m), wherein, in addition to internally generated profits, the sponsor's support in the form of fresh equity remains critical.

Furthermore, AWT Investments has initiated its transition toward becoming a fully Shariah-compliant asset management company, with full conversion expected soon.

The process has been initiated by transforming its conventional funds into Shariah-compliant funds.

Since Jun'24, the AMC’s presence in the Islamic asset management industry has strengthened, with market penetration rising to 3.4%. (Jun'24: 1.9%).

The rating is dependent on the AMC’s ability to continuously strengthen its market position.

At the same time, stability in key human resources, structured improvement in risk management framework, and success of initiatives to increase retail AUM will remain crucial for the rating.

Diversification in the AUM base among various fund categories along with improvements in the overall operating platform will bode well for the Company.

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