Lucky Investments achieves highest asset manager rating of AM1

August 10, 2026 (MLN): The Pakistan Credit Rating Agency (PACRA) has upgraded the asset manager rating of Lucky Investments Limited to "AM1" from "AM2++", citing the company's strengthening presence in the Islamic asset management space and the institutional backing of the YBG Group.

The upgrade, effective August 07, 2026, carries a "Stable" outlook, according to the rating notification issued by PACRA.

As of the latest reporting period, the company's assets under management (AUMs) stood at around Rs126bn, comprising nearly 3% of the overall asset management industry and about 6% of the Islamic asset management segment.

The bulk of the AUM remains concentrated in the Lucky Islamic Money Market Fund, followed by the Lucky Islamic Income Fund, with overall fund performance broadly in line with industry averages.

During the period, the AMC launched its first Islamic Pension Fund, which is expected to draw participation from YBG Group employees, corporate retirement funds, and government pension schemes.

It also introduced a distribution platform allowing investors to access Collective Investment Schemes managed by other asset management companies, adding a fresh stream of distribution fee income while widening its product offering. PACRA further noted that the company is progressing plans to launch Pakistan's first ESG-focused fund and a Capital Protected Fund, alongside pursuing an RMC license to set up a REIT Fund.

The investor base remains largely concentrated among institutional and high-net-worth clients, though retail participation is gradually rising.

To expand its retail footprint, the AMC has operationalized its Lahore office and is planning further expansion into Islamabad, Peshawar, and Karachi. It has also built secure API-based integrations with fintechs, Electronic Money Institutions (EMIs), and other digital ecosystem partners to enable digital onboarding, payments, fund transfers, and value-added services.

These steps have helped lift retail investors to around 22% of the company's investor base.

On the financial front, profit after tax rose to Rs226mn in FY26, driven primarily by higher fee and commission income, which in turn strengthened the AMC's equity base and overall financial profile.

PACRA said the rating remains contingent on the company's ability to sustain AUM growth, reinforce its market position, maintain competitive fund performance, and execute its branch expansion and distribution strategy, alongside continued diversification of its investor base through deeper retail penetration and digital and strategic distribution channels.

Achieving Pakistan's highest asset manager rating within such a short period showcases Lucky Investments' disciplined execution strategy, unwavering commitment to Shariah-compliant investing, and the confidence placed in the Company by its investors, sponsors, regulators, business partners, and other stakeholders.

PACRA noted that Lucky Investments, a fully Shariah-compliant asset management company, commenced operations in December 2024 and has, within roughly 1.5 years, built a meaningful presence in the fast-growing Islamic asset management segment.

The rating agency attributed this to effective execution of the AMC's business strategy, its access to established corporate and financial relationships across the YBG Group ecosystem, and an experienced management team operating under an effective governance framework.

Commenting on the achievement, Mohammad Shoaib, CFA, Chief Executive Officer of Lucky Investments Limited, said:

"Alhamdulillah, achieving PACRA's highest Asset Manager Rating, AM1, within 1.5 years (18 months) of commencing operations is yet another extraordinary milestone for Lucky Investments. This is another accolade and puts Lucky Investments ahead of its peers both in terms of AUM growth and time taken to achieve the Highest possible asset manager rating. It is a reflection of the trust placed in us by our investors and stakeholders. We are deeply grateful to Allah (SBWT), investors, directors, sponsors, management team, business partners, regulators, and everyone who has contributed to this remarkable journey."

He added "The AM1 rating reinforces our commitment to maintaining the highest standards of governance, fiduciary responsibility, investment excellence, and Shariah compliance. As we continue to grow, our focus remains on delivering innovative investment solutions, enhancing investor experience through digital transformation, branch distribution network expansion and contributing meaningfully to the continued development of Pakistan's Islamic capital markets, thereby promoting financial inclusion, savings and investments, which is so critical for sustainable GDP growth of the country. “

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