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Investment Proposal For HNW Clients March2023
Investment Proposal For HNW Clients March2023
Investment Proposal For HNW Clients March2023
Dear sir,
Mutual Funds provide better returns than Bank Deposits after Tax
Al Meezan with the highest Management Quality rating of AM1 (awarded by JCR-VIS & PACRA) is the
largest Shariah Compliant Asset Management Company in Pakistan. With over 25 years of experience
and one of the longest track records in private sector in the area of investment management in Pakistan,
Al Meezan is the largest and the only full-fledged Shariah compliant asset management company in
Pakistan with assets under management of over Rs.272.86 billion and a customer base of over 200,000
investors (as on January 31, 2023).
Benefits of Investing in Mutual Funds
Taxation
Taxes on Money Market and Fixed Taxes on Bank Deposits (In Banks )
Income Mutual Funds (In Al Meezan )
Individual Client Individual Client
*10% CGT (Final Tax) as per Section 37 A Bank Charge 15% at time of profit disbursement and remaining
of ITO 2001 tax charge at the time of filing income tax return as per
OR following slab
Withholding TAX on dividend is 15% Tax Rates for Profit on Debt (as per Division IIIA of Part1 of
(Final Tax) as per Section 150 of ITO First Schedule of IT0,2001)
No Progressive Taxation -Tax rate where profit on debt does not exceeds Rs. 5 million is
Significant Benefit as compare to Bank 15%.
deposits -Profit on debt exceeding Rs. 5 million is taxable under Final Tax
Regime at applicable slab rates of 15%, 25% and 35%
Meezan Rozana Amdani Fund (MRAF), an Open Ended Shariah Compliant Money Market Scheme which
aims to meet return and liquidity requirements of our corporate investors by providing DAILY PAYOUT
through investments in Shariah Compliant money market instruments with AUM’s of over 90.78 Billion as
on January 31, 2023. The daily net profit, will be distributed as dividend units, which in turn will be
reinvested in the fund after deducting all applicable taxes.
Risk Disclaimer: All investments in mutual fund are subject to market risks. Past performance is not necessarily indicative of the future results. Please read the Offering
Document to understand the investment policies and the risks involved. This is for general information purposes only. In view of individual nature of tax consequences,
each investor is advised to consult with his/her tax advisor with respect to specific tax consequences of investing in the Fund.
Historical Performance
We accordingly have also attached an illustration to reflect the benefits of Mutual Fund Investments over
Bank Deposits, Government Bonds and other Debt Instruments.
Al Meezan is committed to deliver the best & secure investment solutions under the current tax regime
and market conditions, we therefore request you to confirm your availability at a time of your
convenience so we may schedule a visit to discuss the mentioned investment opportunities that best suit
your requirements.
Risk Disclaimer: All investments in mutual fund are subject to market risks. Past performance is not necessarily indicative of the future results. Please read the Offering
Document to understand the investment policies and the risks involved. This is for general information purposes only. In view of individual nature of tax consequences,
each investor is advised to consult with his/her tax advisor with respect to specific tax consequences of investing in the Fund.
1Assuming rate of profit on Bank Deposits and Fixed Income/Money Market Mutual Funds at 15%.
2Returns on Mutual Funds is assumed to be subject to Dividend Tax of 15%.
*Additional Savings is differential on the basis of 35% tax deduction on Bank Deposits for Tax Filer Individuals.
- Profit on debt exceeding Rs. 5 million is taxable under Final Tax Regime at applicable slab rates of 15%, 25% and 35%
-The returns quoted above are for illustrative purpose only and are not guaranteed.
Yours truly,
Risk Disclaimer: All investments in mutual fund are subject to market risks. Past performance is not necessarily indicative of the future results. Please read the Offering
Document to understand the investment policies and the risks involved. This is for general information purposes only. In view of individual nature of tax consequences,
each investor is advised to consult with his/her tax advisor with respect to specific tax consequences of investing in the Fund.