The Securities and Exchange Commission of Pakistan has introduced a dedicated framework creating “Infrastructure Schemes” as a new mutual fund category under open-end collective investment schemes. The framework is designed to provide a clearer regulatory structure for infrastructure-focused funds, following consultations with the Mutual Funds Association of Pakistan and other stakeholders. Asset Management Companies can classify infrastructure schemes as equity, debt, or hybrid funds depending on investment focus, with eligible sectors spanning energy, transport and logistics, water and sanitation, communications, and social and commercial infrastructure including hospitals, educational institutions, industrial parks, affordable housing, and tourism facilities. The rules set minimum fund sizes of PKR 100 million for perpetual schemes and at the close of the subscription period for closed-end schemes, require AMCs to invest at least PKR 25 million seed capital in closed-end schemes with maturities over three years, and permit periodic subscription and redemption windows after one year for closed-end schemes where set out in offering documents. Closed-end schemes must disclose net asset value at intervals not exceeding one month (as specified in constitutive documents), maintain at least 70% of net assets in infrastructure securities on a quarterly basis with any shortfall to be regularised within three months, and comply with management fee caps of 3% per annum for equity schemes and 1.5% for debt schemes, with hybrids subject to a weighted average cap; sales loads are prohibited, although contingent loads may apply for early redemption in closed-end schemes.

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