Atlas Pension Fund (APF) was established by a Trust Deed dated June 8, 2007 between Atlas Asset Management Limited (AAML), as management company and Central Depository Company of Pakistan Limited, (CDC) as trustee.

Atlas Pension Fund’s objective is to provide portable, individualized, flexible and funded (based on defined contribution) pension scheme to assist and facilitate in planning for smooth and hassle-free retirement. APF is a one-window operation providing a diversified portfolio of equity securities and fixed income instruments. Consistent with this policy, the contributions received from the participants shall be allocated, Units in APF – Equity Sub-Fund, APF - Debt Sub-Fund and APF – Money Market Sub-Fund in accordance with the allocation scheme selected by the participants.

o Pakistani national or over the age of eighteen years who hold a valid National Tax Number (NTN) or Computerized National Identity Card (CNIC).

o Employer on behalf of their employees.

o Non-resident Pakistani holding a National Tax Number (NTN) or National Identity Card for Overseas Pakistanis (NICOP).

o Accumulated balances from recognized provident fund can be transferred to APF.

Contributions made in Atlas Pension Fund during any one tax year (i.e. between July 1 to June 30) shall be entitled to a tax credit under Section 63 of the Income Tax Ordinance 2001. This effectively means that the Participant will be allowed tax credit equal to the effective tax on Contribution.

The amount of tax credit allowed in any one tax year shall be calculated according to the following formula: (A / B) x C where;

A is the amount of tax assessed to the person for the tax year, before allowance of any tax credit under this part;
B is the person’s taxable income for the tax year;
C is the lesser of:

o the total contribution or premium paid by the person in the year; or

o twenty percent of the eligible person’s taxable income for the relevant tax year. Provided that an eligible person joining the scheme at the age of forty-one years or above, during the first ten years starting from July 1, 2006, shall be allowed additional Contribution of 2% p.a. for each year of age exceeding forty years. Provided further that the total contributions allowed to such person shall not exceed 50% of the total taxable income of the preceding year.

o It’s yours: The pension account is in your name and is customized according to your specific needs and requirements. Whether the contribution comes from you or your employer, the benefit from your pension account is yours and does not depend on length of service or any other conditions of employment.

o Portable: Atlas Pension Fund is a portable account that will stay with you even if you change jobs. You can resume contributions there after. You can also transfer your account to/from another Pension Fund Manager.

o Asset Allocation*: Atlas Pension Fund consists of the following three Sub-Funds:

a) Equity Sub-Fund: The objective of Equity Sub-Fund is to achieve long term capital growth. It shall invest primarily in equity securities, with a minimum investment of 90% (at all times) of its net asset value in listed shares.

b) Debt Sub-Fund: The objective of Debt Sub-Fund is to provide income along with capital preservation. It shall invest primarily in tradable debt securities with the weighted average duration of the investment portfolio of the Sub-Fund not exceeding five years.

c) Money Market Sub-Fund: The objective of Money Market Sub-Fund is to provide regular income along with capital preservation. It shall invest primarily in short term debt securities with the weighted average duration of the Sub-Fund not exceeding 90 days.

There are six different Allocation Schemes* available to invest in:

1. High Volatility Allocation Scheme
2. Medium Volatility Allocation Scheme
3. Low Volatility Allocation Scheme
4. Lower Volatility Allocation Scheme
5. Lifecycle Allocation Scheme
6. Customized Allocation Scheme

Selection of any Allocation Scheme will allow you to adopt a focused investment strategy, according to your risk/return requirements, in a combination of any two or more of the above Sub-Funds.

o Avail Tax Credit: You get an immediate tax credit on your contributions. While your contribution to Atlas Pension Fund is on your gross contributions, your cash outflow is reduced to the extent of tax credit.

o Tax-free Growth: The contributions paid by you and your employers, plus the investment income, are accumulated tax-free until you retire. However, premature withdrawal and benefits received after retirement are taxable.

o Retirement Age: You choose your retirement age between the age of 60 to 70. The later, the age of retirement, the more monthly pension you will get.

o Payment on Retirement: You can choose to receive a tax-free lump-sum payment (up to 50% of your accumulated balance) when you retire.

o Receive Monthly Pension: From the remaining portion of the 50% or more of your accumulated balance, Atlas Pension Fund offers you, an Income-Payment Plan from which you will receive income on a monthly basis.

o Premature Retirement: If you have to retire early due to any disability that renders you unable to continue work; pension can be paid immediately from the accumulated balance in your pension account, subject to medical certificate from a Medical Board approved by SECP.

o Free Insurance Coverage:

Free Insurance Coverage: Atlas Asset Management Limited (AAML) as the Pension Fund Manager provides free world wide accidental death and disability coverage, 24 hours a day, through New Jubilee Life Insurance Company Limited (NJI) to all the Participants of Atlas Pension Fund (APF) up to the age of 60 years. This insurance coverage shall only be available for as long as the Participant contributes to APF. The Participant shall not be required to undergo medical examination for insurance coverage laid in the policy.