The Securities and Exchange Commission of Pakistan has issued a circular introducing enhanced disclosure requirements in Fund Manager Reports (FMRs) prepared by Asset Management Companies (AMCs) for Collective Investment Schemes (CIS), to improve transparency for investors and unitholders. FMRs must now disclose actual expenses as a percentage of net assets, applicable sales loads, monthly portfolio turnover ratios, risk adjusted return, yield to maturity, modified duration, Macaulay duration, beta and standard deviation. The circular also requires a comparative analysis of benchmark and committed returns, and mandates index descriptions and tracking difference history for exchange-traded funds. To support consistent and accurate reporting, the Mutual Funds Association of Pakistan has been tasked with developing a standardised methodology for calculating the prescribed quantitative measures, with the enhanced disclosures becoming effective immediately upon SECP approval of that methodology.
Securites & Exchange Commission of Pakistan 2025-03-28
Securities and Exchange Commission of Pakistan mandates expanded metrics and ETF tracking disclosures in fund manager reports
The Securities and Exchange Commission of Pakistan mandates enhanced disclosure in Fund Manager Reports for Asset Management Companies managing Collective Investment Schemes. Reports must include detailed financial metrics and comparative analyses to improve investor transparency. The Mutual Funds Association of Pakistan will develop a standardized methodology for these disclosures, effective immediately upon approval.