A Spotlight on Financial Inclusion - Introducing An Asset Allocation Fund for Women

Often times, we are one decision away from changing our lives. That decision is bridged by how much we know about financial tools, and literacy that can enable that change. This is often the reality of the underserved segments, particularly women in emerging markets. Creating products that not only serve this audience but also navigates systemic barriers requires innovative framework which leverages digital transformation and business strategy.

Accordingly, I developed an Asset Allocation Fund of Fund investment scheme that specifically served this audience, from product conceptualization to the IPO-stage. Each stage outlined below covers how:

 The first step towards understanding a sizeable audience is to ask basic questions rooted in identifying a market opportunity : 'This is a scalable audience - sure, but what is it about financial products that makes it so crucial?', and with this frame comes succeeding questions such as market-size growth, how the audience interacts with the product in an ecosystem, and what the customer acquisition strategy could look like for an audience that is socio-demographically nuanced.

These questions led me to the following findings:

Primary Research Findings

• Target Market Size: 12.4+ million working women in Pakistan (World Bank data, 2021)

• Growth Trend Analysis: Working women population increased from 14.9M (2011) to 20.4M (2021)

• Market Gap Identified: Significant disparity between number of women in workforce and their participation in formal financial systems

Quantitative Justification

• Mobile money accounts of women showed conversion rates 1.3x higher than men (GSMA Mobile Gender Gap Report)2

• Customer acquisition costs 40% lower than male demographic (McKinsey Global Institute, Women in Financial Services Report)3

• Account holder data from Faysal Funds showed growing female segment, showing 85.8% year-over-year growth.

The product vision has been to simply create the first women-focused financial ecosystem that transforms working women from financial observers to confident investors, driving both economic empowerment and sustainable business growth. Accordingly, the strategy has been to address three critical barriers through a multi-faceted approach of building accessibility (an inclusive fund with minimum entry barriers through streamlined Know-Your-Customer (KYC) process and flexible contribution schedules), education (leverage strategic networks for financial literacy) and enablement (through digital transformation initiatives to channel touchpoints for engagement)

Problem Statement

Working women in Pakistan, and emerging markets at large, face three interconnected challenges:

• Limited financial literacy and investment knowledge (S&P Global FinLit Survey shows just 18% of Pakistani women are financially literate)4

• High dependency on others for financial decisions

• Limited access to beginner-friendly investment vehicles

Strategic Vision

• Mission: "Enable financial independence for women through accessible investment solutions" (aligned with Faysal Funds' corporate mission of "creating value through innovation")5

• Value Proposition: A low-barrier, education-integrated investment platform designed specifically for women's unique financial journey

• Brand Promise: "Your Future. Powered By You" – emphasizing self-determination and financial autonomy

The Fund operates as a registered open-ended mutual fund with a low entry barrier of 5000 currency units. Classified as "Low to Moderate Risk" under securities regulation guidelines, it invests primarily in fixed-income and money-market instruments while offering flexible contribution schedules. This structure balances regulatory compliance with accessibility, particularly appealing to first-time investors entering financial market in emerging economies.

Regulatory Structure

• Open-ended mutual fund registered with Securities and Exchange Commission of Pakistan (SECP)6

• Low minimum investment threshold (PKR 5000) to maximize accessibility

Risk Management

• Product categorized as "Low to Moderate Risk" profile based on SECP risk classification guidelines

• Fixed-income and money-market instruments as primary underlying assets (following the Asset Management Company’s established risk management framework)8

• Perpetual tenure with flexible contribution options (monthly/quarterly)

In terms of Product Design and User Experience, the Fund would materialize, through mobile applications and Web Interface, as a goal-based financial planning tool designed to empower women through accessible, beginner-friendly savings journeys. With a simple step-by-step UX, the product helps users set savings goals, assess risk, and build personalized plans—bridging financial literacy with action. Designed for scale and inclusion, the tool integrates trusted partners for education, enablement, and reach. 

Core Product Features

• Innovative Eligibility Criteria: Exclusively available to women investors

• Flexible Contribution Options: Monthly and quarterly contribution schedules, consistent with Asset Management Company’s other open-ended products9

• Accessibility Focus: Minimum investment of PKR 5000

• Tenure Structure: Perpetual with no lock-in period to maximize flexibility

User Journey Design

Developed a 7-step onboarding process focused on simplicity and education:

1. Introduction to financial independence concept : we talk about how savings can enable fulfilment of goals, and touch-upon key financial concepts – from tax filing, to mortgage in order to create a foundation of materializing financial wellness.

2. Goal identification : enable the investor to delineate between short-term and long-term goals to create a step-wise process to plan well financially and build towards those objectives

3. Time horizon selection : enable the investor to select the time-frame to align with their risk-propensity.

4. Contribution frequency selection : monthly and/or quarterly

5. Risk propensity assessment : based on age, dependents, and income

6. Provide a personalized savings plan generation

7. Route to account activation and initial contribution through Faysal Funds' digital platform to help them get started.

The fund-based product is supported by a strategic partnership ecosystem designed to drive awareness, access, and long-term engagement. Fintech platforms enable seamless savings experiences, education partners deliver financial literacy content, and brand collaborators extend reach through integrated campaigns. Together, these partnerships create an inclusive, scalable model for empowering women through goal-based financial planning. 

Identified three categories of strategic partners:

• Technology Enablement Partner:

  • Oraan – Pakistan's first women-focused financial technology platform14

  • Partnership scope: Digital interface development, payment integration, user experience design

  • Complementing Faysal Funds' existing digital investment solutions15

• Educational Content Partners:

  • Ladiesfund – Pakistan's premier women's network16

  • Institute of Business Administration (IBA) – Leading business school

  • Partnership scope: Development of video lessons, articles, and webinars on financial literacy

  • Aligned with Faysal Funds' investor education initiatives17

• Distribution & Marketing Partner:

  • Khaadi – Popular Pakistani retail brand with primarily female customer base

  • Partnership scope: QR code integration with product tags, SMS marketing to customer database, loyalty program integration

  • Extended Faysal Funds' distribution beyond traditional banking channels18

Partnership Integration Model

Developed an integrated ecosystem where each partner contributed to a specific aspect of the customer journey:

• Awareness creation through retail partner

• Education through content partners

• Activation and engagement through technology partner

A data-driven marketing strategy was developed to increase adoption of a digital investment product among underrepresented female segments in Pakistan. The target audience was segmented into four key personas: self-employed professionals, affluent homemakers, fresh graduates entering the workforce, and women-focused organizations. A multichannel approach combined educational content through partners, financial literacy seminars, retail integration using QR code-based registration, and targeted digital campaigns. Messaging was structured around three pillars: education (“Understanding your financial future”), enablement (“Tools to take control”), and empowerment (“Financial independence in your hands”). 

Target Audience Segmentation

Segmented target audience into four distinct personas based on State Bank of Pakistan demographic data19:

• Self-employed professionals (representing 12% of working women)

• Home-makers with discretionary income (an estimated 8.6 million women)

• Fresh graduates entering workforce (approximately 300,000 annually)

• Organizations focused on women's empowerment

Marketing Channels & Tactics

• Content Marketing: Educational materials through partner platforms

• Event Marketing: Financial literacy seminars through women's forums

• Retail Integration: QR code-based registration linked to shopping experiences, with point redemption secured through retail check-out application translating to investment units.

• Digital Campaigns: Targeted messaging for each audience segment through Faysal Funds' social media channels20

Key Messaging Framework

Developed messaging around three core themes:

• Education: "Understanding your financial future"

• Enablement: "Tools to take control"

• Empowerment: "Financial independence in your hands"

The revenue model was structured to align with Faysal Funds’ existing product framework, incorporating a front-end load of 0–2% and a 1.5% management fee, with additional income streams from partner integrations and future upsell opportunities through expanded offerings. Profitability projections were informed by break-even and sensitivity analyses under varied market scenarios, with long-term models incorporating customer lifetime value and leveraging existing economies of scale in fund administration. A success metrics framework was established across acquisition, engagement, retention, and impact, measuring indicators such as new account openings, average investment amounts, and improvements in financial literacy. Growth was guided by a phased strategy focused on deepening market penetration, expanding the product suite, and building a dedicated financial ecosystem for women. 

Revenue Model

• Management fee structure aligned with Faysal Funds' existing product offerings (front-end load: 0-2%, management fee: 1.5%)23

• Additional revenue through partner integrations

• Future upsell pathways through expanded product offerings

Profitability Projections

• Break-even analysis based on projected adoption rates

• Sensitivity analysis considering multiple market scenarios

• Long-term profitability model incorporating customer lifetime value

• Leveraging Faysal Funds' economies of scale in fund administration24

Success Metrics Framework - KPI Analysis

Established key performance indicators across four dimensions:

• Acquisition: New account openings, conversion rates

• Engagement: Average investment amounts, frequency of contributions

• Retention: Account persistency, long-term investment behavior

• Impact: Changes in financial literacy, confidence, and independence

Growth Strategy

Implementation of a three-phase growth strategy:

1. Market Penetration: Deepen reach within initial target segments

2. Product Expansion: Develop complementary financial products (following Faysal Funds' product diversification strategy)27

3. Ecosystem Development: Create comprehensive financial platform for women

IPO preparation and launch strategy focused on ensuring regulatory compliance, investor readiness, and market confidence. Key initiatives included the development of comprehensive financial disclosures, alignment of internal controls with listing requirements, and engagement with legal and advisory partners to streamline due diligence. A robust investor relations plan was implemented, featuring pre-IPO roadshows, targeted institutional outreach, and public communications to build awareness and trust. Valuation scenarios were modeled based on projected growth and market conditions, while governance structures were strengthened to support transparency and long-term shareholder value. The launch was positioned to reinforce the organization’s vision, stability, and future scalability in the financial services landscape. 

Pre-Launch Regulatory Process

• Detailed submission to Securities and Exchange Commission of Pakistan

• Legal framework development and compliance verification

• Risk disclosure documentation and approval based on SECP requirements

• Prospectus preparation following Faysal Funds' established procedures25

Offering Structure

• Initial public offering structure and pricing strategy - extensively outlined in Trust Deed and Offering Document.

• Institutional vs. retail investor allocation

• Market making arrangements and liquidity provisions

• Distribution through Faysal Funds' network of distributors and sales agents26

Key Achievement

• Successful IPO of the first-ever gender-based fund within the Asset Management Industry that continues to attribute to business scalability and inclusion

This initiative reinforced the need to design with a deep understanding of gender-specific financial barriers, highlighting gaps in data access and user insights. An education-first approach proved key to adoption, integrating financial literacy into the product experience. Challenges such as regulatory complexity, cultural norms, and varied tech readiness underscored the importance of adaptable, user-centered design. The launch marked a meaningful step toward more inclusive and scalable financial solutions. 

Critical Success Factors

• Deep understanding of gender-specific financial barriers : from conceptualization to implementation, the process underscored systemic limitations, such as limited access of data, and quantifying pain-points of existing users for savings applications in the market which helped gain a better understanding of current market needs and the trajectory of market growth.

• Education-first approach to product design : this product development process required core focus on financial literacy and wellness to allow for seamless product adoption.

Implementation Challenges

• Regulatory navigation for novel product structure

• Cultural barriers to women's financial independence

• Technology adoption in varying demographic segments 

These challenges have been crucial in underscoring the solutions that need to be implemented, developed and improved to represent the underserved segments much better, and the successful launch of this product is the beginning of a profound narrative - instilled through an innovative product development approach.