KARACHI, Oct 15: Net Asset Value of an NIT unit stood at Rs31.27 on September 30, 2004, up from Rs30.53 (ex-dividend) on June 30, 2004, representing increase of 2.42 per cent during the first quarter (July-Sept).
Chairman Tariq Iqbal Khan stated in a press release at the conclusion of the meeting of the board that approved accounts of the Fund. NIT chairman claimed that the Fund had outperformed the market during the quarter by 3.58 per cent, since during the KSE-100 index had witnessed decline of 1.16 per cent during the same period.
"NIT has been consistently outperforming this benchmark by healthy margins of 12.8pc in FY03 and 5.6pc in FY04," contended the NIT chairman. The NIT chairman said that active participation of the Fund in the stock market made it possible to book gains at high levels, and enter the market at low levels when the core stocks became attractive on valuation multiples.
As a result, capital gains during the period under review stood at Rs298m. The Fund had managed to book healthy capital gains in spite of the bearish sentiments at the market during the quarter.
Dividend income for the period under review stood at Rs861 million as compared to Rs481 million in the corresponding period of last year. The net income earned by the Fund prior to factoring in the effect of unrealized gains, stood at Rs1062 million that depicted a growth of 3.2pc over the corresponding period of last year. Thus the earning per NIT unit for the first quarter worked out at Rs0.65/unit.
The Net Assets under management have increased from Rs49.5 billion as on June 30, 2004 to Rs50.2 billion as on September 30, 2004, a growth of 1.5pc despite redemption of Rs1.95bn worth of NIT units as some investors opted for booking gains at the relative high value of the units, stated the NIT press release, adding that during the quarter under review, sale of NIT units stood at Rs1.56bn (including CIPs).
