The Investment objective of NBP Islamic Punjab Pension Fund is to provide a secure source of savings and regular income after retirement to the Employee(s).
The NBP Islamic Punjab Pension Fund will consist of four (4) Sub-Funds as below and their investment objectives are as follows:
| Management Fee | Maximum Total Expense Ratio excluding Takaful charges and government taxes and levies (as % of average daily net assets) |
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|---|---|---|---|---|---|
| Total Asset Under Management (AUM) with a single Pension Fund Manager Relating to GoPb employees |
Money Market Sub Fund |
Debt Sub Fund |
Equity Index Sub Fund |
Equity Active Sub Fund |
|
| Up to PKR 10 billion | 0.75% | 0.75% | 1.00% | 1.75% | |
| Greater than PKR 10 billion up to PKR 20 billion | 0.70% | 0.70% | 0.95% | 1.70% | |
| Greater than PKR 20 billion up to PKR 30 billion | 0.60% | 0.60% | 0.85% | 1.60% | |
| Greater than PKR 30 billion | 0.50% | 0.50% | 0.75% | 1.50% | |
| Takaful charges (as % of average daily net assets) | To be charged on actual basis to the Participants accounts as per the limits and pricing mutually decided by the Punjab Govt. and PFM | ||||
| Risk Profile of the fund as per their allocation | |||
|---|---|---|---|
| Allocation Plan | Risk Profile (Product & Investor) | Risk of Principal Erosion | |
| Customized Plan with 100% in Money Market Sub Fund | Very Low Risk | Principal at very Low Risk | |
| Lifecycle Plan (for age 60 years & above) | Low Risk | Principal at Low Risk | |
| Lifecycle Plan (for age between 50-59 years) Customized Plan with 0% – 20% Equity Active Sub Fund aggregate exposure |
Moderate | Principal at Moderate Risk | |
| Medium Volatility Plan Lifecycle Plan (for age between 51-60 years) Customized Plan with 26% – 50% Equity & Commodity Sub Fund aggregate exposure |
Medium Risk | Principal at Medium Risk | |
| High Volatility & Life Cycle Plans (up to the age of 50 years) Customized Plan with more than 50% Equity & Commodity Sub Fund aggregate exposure |
High Risk | Principal at High Risk | |
| Life Cycle Allocation Scheme | |||||
|---|---|---|---|---|---|
| Age | Equity Index Sub Fund | Equity Active Sub Fund | Combined Exposure to Equity | Debt / Money Market Sub Fund | |
| For the period of 3 years from date of account opening | 0% | 0% | 0% | 100% (Money Market Sub Fund only) | |
| Up to 30 Years | Max 50% | Max 25% | Max 50% | Min 50% | |
| Up to 40 Years | Max 40% | Max 20% | Max 40% | Min 60% | |
| Up to 50 Years | Max 30% | Max 15% | Max 30% | Min 70% | |
| Up to 60 Years | Max 20% | Max 10% | Max 20% | Min 80% | |
| Default Asset Allocation Scheme | |||||
|---|---|---|---|---|---|
| Age | Equity Index Sub Fund | Equity Active Sub Fund | Debt Sub Fund | Money Market Sub Fund | |
| For the period of 3 years from date of account opening | 0% | 0% | 0% | 100% | |
| Up to 30 Years | 30% | 10% | 30% | 30% | |
| Up to 40 Years | 20% | 10% | 30% | 40% | |
| Up to 50 Years | 15% | 5% | 20% | 60% | |
| Up to 60 Years | 10% | 0% | 10% | 80% | |
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FUND FACTS |
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| Fund Category | Open End Shariah Compliant Voluntary Pension Scheme | |
| Fund Inception | November 28, 2025 | |
| Minimum Contribution Amount | No Limit | |
| Allocation Policy |
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| Performance Benchmark | Money Market Sub Fund | 90% three (3) months PKISRV rates+ 10% three (3) months average of the highest rates on savings account of three (3) AA rated scheduled Islamic Banks or Islamic windows of Conventional Banks as selected by MUFAP. |
| Debt Sub Fund | 75% Twelve (12) months PKISRV + 25% six (6) months average of the highest rates on saving account of three (3) AA rated schedule Islamic banks or Islamic windows of conventional banks as selected by MUFAP. | |
| Equity Active Sub Fund | KMI – 30 Index (Total return index) | |
| Equity index Sub Fund | Return of the shariah compliant index being tracked by the PFM (Total return based). | |
| Dealing Days | Monday to Thursday: 9:00 am – 3:00 pm
Friday: 9:00 am – 4:00 pm. In case there is Bank Holiday, then it will be a non-dealing business day for of NBP Islamic Punjab Pension Fund and all sub-Funds |
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| Front End Load | NIL | |
| Back End Load | NIL | |
| Total Expense Ratio | Participants are advised to consult the Fund Manager Report (FMR) of the respective Pension
Fund for the latest information pertaining to the updated TER. |
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| Applicable Taxes |
Disclaimer – Tax Credit U/s 63 of Income Tax Ordinance, 2001 on sources of income from “salary” and “business income” on investment up to 20% of taxable income can be availed on contributions made in any tax year. Currently there is no Capital Gains tax and WHT on dividends, also there is no requirement for distribution dividends from Pension sub-funds). Income from Annuity & Income Payment Plans is subject to income tax as per Income Tax Ordinance, 2001. |
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| Whom is this product suitable for? |
The product is suitable for Punjab Govt.’s Civil Servants who want to avail tax benefits as well as individualized allocation for their retirement savings and earn income after retirement from the Scheme. Tax credit U/s 63 of Income Tax Ordinance, 2001 is available against contributions made in a tax year for salary income. Accumulation/gains are currently tax free and participant can withdraw up to 25% of accumulated amount at the time of retirement from Scheme, making it a tax efficient retirement/pension scheme. |
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| Return Objectives |
Accumulation of pre-retirement savings through various asset allocation plans invested if one or many Sub-Funds of different asset classes, ideally for medium to long-term investment horizon and earn market based or annuity based post-retirement income. |
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| Minimum Retirement Age |
Retirement age of an Employee shall be such date as given below. i. the date after Participant / Employee has completed twenty years of service qualifying for pension or other retirement benefits as the competent authority may, in public interest, direct; or ii. where no direction is given under clause (i) on the completion of the sixtieth year of his age. iii. or any date as defined in Punjab Civil Servant Act 1974 |
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| Options available to participants upon retirement |
a. to withdraw up to 25% percent of amount from his Individual Pension account; and b. to use the remaining amount to purchase an annuity from Takaful Company or Pension Fund Manager, of his choice; or c. to enter into an agreement with the Pension Fund Manager to withdraw from the remaining amount in monthly installments following the date of retirement according to an income payment plan approved by the Commission with a minimum tenure of at least 20 years or till his death, whichever is earlier. |
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| Early Withdrawal Conditions & implications |
Participants cannot withdraw any amount from his pension account before attaining the retirement age. Participants upon leaving service before attaining the retirement age may, by informing the Punjab Pension Fund in writing, to opt to no longer be subject to Punjab Defined Contribution Pension Scheme Rules, 2025 and transfer his pension account from the employer pension fund to another employer pension fund or withdraw accumulated balance in his pension account subject to VPS Rules, 2005 and other applicable laws. |
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| Asset Manager Rating | AM1 by PARCA (Very High Quality) | |
| Trustee | Central Depository Company of Pakistan (CDC) | |
| Fund Investment Risk |
Disclaimer: All investments in the Pension Funds are subject to market risks. The value of such investments may depreciate as well as appreciate, subject to market fluctuations and risks inherent in all such investments. Investors should read this Offering Document carefully to understand the investment policies, risks and tax implication and should consult legal, financial or tax advisors before making any investment decision. For Detail referrer clause 7.10 & 7.11 of the Offering Document of NBP Islamic Punjab Pension Fund |
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Disclaimer: All our operations have been approved by our Shari’ah Advisor Mufti Ehsan Waquar Ahmad whose registration reference number is SECP/IFD/SA/004. Fund Category Open -end – Shariah Compliant Voluntary Pension Scheme; tax exemption are Subject to condition as per section 63 of the income tax ordinance, 2001; Terms and condition apply; Disclaimer: All investment in pension funds are subject to market risk. Past performances is not necessarily indicative of future results. Please read the offering documents to understand the investment policies and the risk involved. NBP Fund Management Limited will play a facilitating role by assisting the insured or the nominee in the claim processing. NBP Fund Management Limited or any of its sales representative cannot guarantee preservation / protection of capital and / or expected returns / profit on investments. In case of initiation of any legal proceeding or any case is filed against the pension fund impacting any sub-fund(s), may also affect the unit holders of other sub-fund(s) under the same pension fund. The use of the name and logo of National Bank of Pakistan does not mean that it is responsible for the liabilities / obligations of the Company (NBP Fund Management Limited) or any investment scheme managed by it.