Islamabad, Dec 22: The Securities and Exchange Commission of Pakistan (SECP) has introduced standardized performance benchmarks for Asset Management Companies (AMCs) offering Collective Investment Schemes (CIS), a move aimed at improving transparency, consistency, and comparability within the asset management sector.
The newly established benchmarks, tailored separately for Conventional and Shariah-compliant schemes, will enable investors to make more informed decisions by aligning disclosed performance metrics with specific investment strategies. The Mutual Funds Association of Pakistan (MUFAP) has been entrusted with the responsibility of calculating and disseminating these benchmarks and peer group average returns for various investment categories every month.
AMCs are required to implement these benchmarks within a month, updating their offering documents and Fund Manager Reports to reflect the changes. This initiative is part of SECP’s broader efforts to enhance investor confidence, foster transparency, and align Pakistan’s mutual fund industry with global best practices.
By standardizing performance disclosures, SECP aims to create a more reliable and competitive investment landscape, empowering investors with tools to better evaluate their investment options across the industry.
