IGI|Life

Funds Performance ReportApril 2018

IGI Life Insurance Limited

July 2015

Source: SBP, PBS, Bloomberg

Equity Market Review and Outlook:

FUND MANAGER REPORT

For the month of April 2018

Macro Review and Outlook:CPI InflationApr-18 CPI clocks in at +3.68%YoY:

Apr-18 headline inflation clocked in at +3.68%YoY, comapred to +4.77%YoY in the same period last year, bringing 10MFY18 CPI inflation to +3.77%YoY comapred to +4.10%YoY in 10MFY17. As has been the trend, HRI contributed most to the headline inflation, rising by +7.03%YoY, while eudcation index grew by +12.99%YoY. Combined, this inflated the non-food basket by +6.37%YoY. Simultaneouly, food index declined by 0.13%YoY primarily due to lower Alchoholic Beverages and Tobacco index, down 17.00%YoY . Concurrrently, core (NFNE) inflation grew by +7.0% compared to average of 5.4% in the last 9 months depicting rising aggregate demand in the economy.

External AccountCurrent account balance down by 9.2%MoM in Mar-18

Current account deficit clocked in at USD 1.2bn for the month of Mar-18, down by 9.2%MoM despite a +13.9%MoM rise in trade in goods. Cumulatively for the 9MFY18, current account deficit reached to USD 12.0bn, up by +50.6%YoY due to growth in imports, up by +16.6%YoY, meagre growth in remittances by +3.6%YoY but despite strong growth in foreign direct investment, up by +8.4%YoY and rising exports, up by +12.0%YoY.

During the Month, Country’s exports stood at USD 2.3bn, up by +11.7%MoM, whereas import bill also rose by +12.9%MoM to post USD 4.9bn. Resultantly, country’s trade deficit reached USD 2.6bn, rising by +13.9%MoM.

FX Reserves fall by 0.6%MoM in Apr-18 FX reserves by the end of Apr-18 stood at USD 17.7bn as compared to USD 18.3bn in Feb-18 (down by 0.1bn).

KSE 100 down by +0.16%MoM in Apr-18

KSE 100 index fell by 71 points during the month to close at 45,489 points, losing 0.16% over Mar-18. The market turned negative during the month due to 1) negative impact of pension case on banks 2) decline in cement prices and 3) uncertainity over budget. Average daily traded volumes rose to 208mn shares, up by +7.8%MoM. Leaders and Laggards:

The biggest laggard was the Cement sector, going down by 7% followed by the Textile composite sector, down by 7%. On the other hand, Oil & Gas Marketing Companies and Tobacco sector pulled the index up, rising +6%, and +18% respectively.

Key domestic/international news

• Proposed reduction in corporate tax rate for non-banking comapnies by 1% every year untill 2023 at which point the corporate tax rate will be at 25% as per the finance bill FY18.• Proposed continuation of super-tax with phasing out untill FY20 in the finance bill FY18.• Proposed removal of tax on issue of Bonus shares in finance bill FY18. • PKR depreciated further, crossing PKR 119/USD during the month.

KSE 100

Money Market Review and Outlook:

Yield CurveMoney Market Review

Due to regular liquidity injections at close to policy rate by by SBP (6x OMO injections) during the month, money market continued to trade close to the target rate. T‐bill auctions recorded a participation of PKR 4,501bn against target of PKR 1,150bn and maturity of PKR 1,129bn. SBP accepted total bids worth PKR 3,360bn, with PKR 3,295bn and PKR 65bn in 3-M and 6-M tenors respectively, while cut-off yields were on average at 6.25% and 6.35% respectively. The Government also conducted a PIB auction in Apr-18 with PKR 33bn worth of accepted bids against an offer of PKR 88bn in 3-10 years tenor while cut-off rate ranged between 7.2-8.5%.

Strategy

Risk Profile

Pricing Mechanism

Pricing Days

Management Fee

Launch Date

Apr‐18 Mar‐18 MoM %

NAV per Unit (PKR) 122.2                   122.2                   0.02%

Net Assets Value (PKR '000) 398,763              374,973              6.34%

* Asset Allocation have been developed by looking through the underlying assets of mutual funds investments.

30 Days 60 Days 90 Days 180 Days 365 Days CYTD Since Inception

IGI Aggressive Fund ‐ IAF 0.02% 2.53% 1.26% 6.03% ‐6.90% 15.72% 7.97%

21‐Sep‐15 Value of 100 Rupees invested since inception

IGI Takaful Aggressive Fund‐TAF

For the month of April 2018

INVESTMENT OBJECTIVE:To provide investors with an opportunity to earn long‐term capital appreciation optimizing through broad mix of asset classes largely driven by Shariah

compliant equity with a proportion of Shariah compliant fixed income & money market instruments.

FUND INFORMATION: RETURNS:Fixed Income / Equity

High During the month the fund generated an

absolute return of 0.02% against its last

month absolute return of 2.51%. 

Daily Forward Pricing

Monday to Friday

1.5%

Absolute Return Annualized Return

IGI Aggressive Fund ‐ IAF BID PRICE:

Disclaimer:  Past performance is not indicative of future performance. Market volatility can significantly affect short‐term performance. The value of 

investment can fall as well as rise.

ASSETS UNDER MANAGEMENT:

Note: Fund returns are gross of management fee.

ASSET ALLOCATION *:

Apr‐18 Mar‐18

FUND PERFORMANCE:

131.23

134.95

126.46124.98

117.70 118.26115.23 115.89 116.17

120.65119.16

122.15 122.18

105.00

110.00

115.00

120.00

125.00

130.00

135.00

140.00

Apr‐17 May‐17 Jun‐17 Jul‐17 Aug‐17 Sep‐17 Oct‐17 Nov‐17 Dec‐17 Jan‐18 Feb‐18 Mar‐18 Apr‐18

24.0%

5.1% 8.7%

58.5%

3.6%

BankDeposits

TFC's /Sukuk

T‐Bills TDR PIB's Stock DFI &Others

21.3%

4.0%

21.6%

51.1%

2.0%

BankDeposits

TFC's /Sukuk

T‐Bills TDR PIB's Stock DFI &Others

100

105

110

115

120

125

130

135

Apr‐16

Apr‐17

Apr‐18

Strategy

Risk Profile

Pricing Mechanism

Pricing Days

Management Fee

Launch Date

Apr‐18 Mar‐18 MoM %

NAV per Unit (PKR) 116.4                  116.2                  0.17%

Net Assets Value (PKR '000) 932,064              897,075              3.90%

* Asset Allocation have been developed by looking through the underlying assets of mutual funds investments.

30 Days 60 Days 90 Days 180 Days 365 Days CYTD Since Inception

IGI Balanced Fund ‐ IBF 0.17% 1.72% 1.18% 4.01% ‐3.29% 9.96% 6.00%

21‐Sep‐15 Value of 100 Rupees invested since inception

IGI Takaful Balanced Fund‐TBF

For the month of April 2018

INVESTMENT OBJECTIVE:The investment objective of the Fund is to earn competitive long term return by investing in mix of Shariah compliant equity, fixed income and money

market instruments. This fund is suited for investors with moderate risk tolerance.

FUND INFORMATION: RETURNS:Fixed Income / Equity

Moderate During the month the fund generated an

absolute return of 0.17% against its last month

absolute return of 1.55%. 

Daily Forward Pricing

Monday to Friday

1.5%

Absolute Return Annualized Return

IGI Balanced Fund ‐ IBF BID PRICE:

Disclaimer:  Past performance is not indicative of future performance. Market volatility can significantly affect short‐term performance. The value of 

investment can fall as well as rise.

ASSETS UNDER MANAGEMENT:

Note: Fund returns are gross of management fee.

ASSET ALLOCATION *:

Apr‐18 Mar‐18

FUND PERFORMANCE:

32.6%

9.0%12.5%

41.7%

4.1%

BankDeposits

TFC's /Sukuk

T‐Bills TDR PIB's Stock DFI &Others

27.3%

6.0%

29.5%34.8%

2.5%

BankDeposits

TFC's /Sukuk

T‐Bills TDR PIB's Stock DFI &Others

100

105

110

115

120

125

Apr‐16

Apr‐17

Apr‐18

120.39

122.68

118.22117.47

112.91 113.41111.95 112.47 112.75

115.08 114.47116.24 116.44

106.00

108.00

110.00

112.00

114.00

116.00

118.00

120.00

122.00

124.00

Apr‐17 May‐17 Jun‐17 Jul‐17 Aug‐17 Sep‐17 Oct‐17 Nov‐17 Dec‐17 Jan‐18 Feb‐18 Mar‐18 Apr‐18

Strategy

Risk Profile

Pricing Mechanism

Pricing Days

Management Fee

Launch Date

Apr‐18 Mar‐18 MoM %

NAV per Unit (PKR) 110.0                  109.7                  0.32%

Net Assets Value (PKR '000) 50,086                49,184                1.83%

* Asset Allocation have been developed by looking through the underlying assets of mutual funds investments.

30 Days 60 Days 90 Days 180 Days 365 Days CYTD Since Inception

IGI Conservative Fund ‐ ICF 0.32% 0.86% 1.06% 2.47% 2.05% 5.34% 3.72%

21‐Sep‐15 Value of 100 Rupees invested since inception

IGI Takaful Conservative Fund ‐ TCF

For the month of April 2018

INVESTMENT OBJECTIVE:To provide stable and competitive returns in line with the money markets exhibiting low volatility consistent with capital preservation by constructing a

liquid portfolio of low risk short term Shariah compliant investments yielding competitive returns.

FUND INFORMATION: RETURNS:Fixed Income

Low During the month the fund generated an

absolute return of 0.32% against its last month

absolute return of 0.54%. 

Daily Forward Pricing

Monday to Friday

1.5%

Absolute Return Annualized Return

IGI Conservative Fund ‐ ICF BID PRICE:

Disclaimer:  Past performance is not indicative of future performance. Market volatility can significantly affect short‐term performance. The value of 

investment can fall as well as rise.

ASSETS UNDER MANAGEMENT:

Note: Fund returns are gross of management fee.

ASSET ALLOCATION *:

Apr‐18 Mar‐18

FUND PERFORMANCE:

56.6%

17.3% 17.4%

3.4% 5.2%

BankDeposits

TFC's /Sukuk

T‐Bills TDR PIB's Stock DFI &Others

36.7%

12.5%

43.9%

3.0% 3.9%

BankDeposits

TFC's /Sukuk

T‐Bills TDR PIB's Stock DFI &Others

100

102

104

106

108

110

112

Apr‐16

Apr‐17

Apr‐18

107.80

108.50

107.86 107.95

106.86107.33 107.36

107.75108.11

108.86 109.07109.66

110.01

105.00

106.00

107.00

108.00

109.00

110.00

111.00

Apr‐17 May‐17 Jun‐17 Jul‐17 Aug‐17 Sep‐17 Oct‐17 Nov‐17 Dec‐17 Jan‐18 Feb‐18 Mar‐18 Apr‐18