NBK Al-Mizan Balanced Fund

Al-Mizan Balanced Fund by National Bank of Kuwait - Egypt is an open-ended balanced investment fund that aims to achieve capital appreciation with the possibility of periodic profit distributions by investing in a diversified portfolio comprising Egyptian equities, fixed-income instruments, and cash instruments. The investment philosophy of Al-Mizan Fund is based on balancing growth opportunities and risk management through the allocation of investments across multiple asset classes, making it suitable for investors seeking medium- to long-term investment opportunities with a moderate level of risk.

The investment policy of Al-Mizan Fund is based on a target allocation of 50% to fixed-income instruments and 50% to equities, with the flexibility to adjust these allocations in response to interest rate movements and stock market performance. In all cases, investments in equities may not exceed 60% of the fund’s net assets, while investments in medium- and long-term fixed-income instruments, together with short-term cash instruments, may not exceed 60% of the fund’s net assets.

As for short-term cash instruments, such as bank deposits and Treasury Bills with maturities not exceeding 91 days, they may not account for more than 50% of the fund’s assets. The fund is also required to maintain at least 10% of its net assets in these instruments to meet redemption requests.

Al-Mizan Fund also complies with a number of investment limits designed to reduce concentration risk. Investments in the securities of a single company may not exceed 15% of the fund’s net assets or 20% of the total securities issued by that company. In addition, the fund may not invest more than 20% of its net assets in the units of another investment fund, provided that such investment does not exceed 5% of the total outstanding units of that fund. Furthermore, investments in securities issued by related entities may not exceed 20% of the fund’s net assets.

Description as published on the distribution platform.