PAKISTAN STOCK

EXCHANGE
TALHA AKRAM FA20-BBA-030
AMBAR SHAHZADI FA20-BBA-001
PAKISTAN STOCK EXCHANGE

• established on September 18, 1947

• January 11, 2016
• 5 listed companies initially
• In 1960 and in 2024
• Best performing Stock Exchange in Asia
PATTERN OF SHAREHOLDING

• 40% shareholding by a consortium of Chinese investors

• 60% by the general public
MISSION AND VISION

• Vision
• A world-class exchange for Pakistan.
• Mission
• PSX contributes to the economic development of Pakistan by providing a fair,
transparent, and efficient marketplace to facilitate capital formation for the benefit of
investors, issuers and all stakeholders
EPS, P/E RATIO AND BREAK - UP VALUE

S.No Particulars As at June 30, 2023

1 P/E ratio 27.4

2 Earnings per share 0.27

3 Break up value per share 12.97

FINANCIAL HIGHLIGHTS
FINANCIAL HIGHLIGHTS
PRODUCTS

• Government Debt Securities (GDS)

• Duration of these instruments
• Market Treasury Bills (MTB)
• Pakistan Investment Bonds (PIB)
• Government Ijarah Sukuks (GIS)
EQUITY

• The Equity Market, usually known as the Stock Market

• More than 522 companies
• 37 sectors or groups of industries
FIXED INCOME SECURITIES MARKET
TRADING
• Fixed income securities
• Provide a return in the form of fixed periodic payments
• Investor can purchase these securities listed at the Stock Exchange
DERIVATIVE

• Derivative is a financial security

• Underlying assets include stocks, bonds, commodities, currencies
• Deliverable Future Contracts
MARGIN TRADING SYSTEM

• An investor can buy MTS eligible securities having a part percentage of funds
• The remaining amount is financed or leveraged by the Brokerage firm
• The percentage of funds required for MTS is defined by the Brokerage firm
SERVICES

• Trading Services

• KITS is the Karachi Internet Trading System

• Data Services & Vending
• End-of-day data, Historical Data, General Data Services
LEGAL FRAMEWORK

ACT
• Companies Act 2017
• Futures Market Act 2016
• Securities Act 2015
• Stock Exchanges Corporatization, Demutualization and Integration Act 2012
• Anti-Money Laundering (Second Amendment) Act, 2020
MEMORANDUM & ARTICLES OF ASSOCIATION
OF PSX
• Memorandum of Association
• Company Name, Registered Office, Objectives, Liability, Capital
• Articles of Association
• Transfer of Shares, General Meetings, Directors, Dividends and Reserves, Accounts and
Audits
BOARD DELEGATIONS TO THE MANAGEMENT

• Decision-Making Authority
• Reporting Requirements
• Performance Monitoring
STATEMENT OF CODE OF CONDUCT AND BUSINESS PRACTICES
ETHICS

• Integrity and Honesty

• Compliance with Laws
• Conflict of Interest
• Confidentiality
• Professionalism
MINIMUM INFORMATION SECURITY STANDARDS FOR
COMPLIANCE BY THE SECURITIES BROKERS

• Data Protection
• Access Controls
• Incident Response
• Regular Audits
WHISTLE BLOWING POLIC

• Confidential Reporting Channels

• Protection from Retaliation
• Investigation Procedures
• Accountability
RISK MANAGEMENT POLICY

• Risk Identification
• Risk Assessment
• Mitigation Strategies
• Continuous Monitoring
INTERNAL CONTROL POLICY

• Control Environment
• Risk Assessment
• Control Activities
• Monitoring
SWOT ANALYSIS

• Strengths
• Economic Growth Potential
• Diverse Market Segments
• Strategic Location
• Market Reforms
SWOT ANALYSIS

• Weaknesses
• Low Market Capitalization
• Limited Investor Participation
• Volatility and Political Risk
• Lack of Product Innovation
SWOT ANALYSIS

• Opportunities
• Infrastructure Development
• Financial Inclusion
• Regional Integration
• Technological Advancements
SWOT ANALYSIS

• Threats
• Security Concerns
• Macroeconomic Challenges
• Regulatory Risks
• Global Economic Uncertainty
RECOMMENDATION

• Enhance Board Oversight and Governance

• Strengthen Ethical Practices and Culture
• Enhance Information Security Standards
• Engage with Stakeholders
• Focus on Sustainability and ESG
THANK YOU