this presentation is about stock Exchanges of Pakistan

2. Stock Exchange of Pakistan

3. WHAT IS STOCK EXCHANGE?
Definition of Stock Exchange:
The securities regulation act of 1956
defined stock exchange as “an
association , organization , or a
individual which is established for the
purpose of assisting , regulating , and
controlling business in buying ,selling
and dealing in securities.”

4. HISTORY OF STOCK EXCHANGE
The stock exchange was established by “East India
company” in 18th century . In India it was established
in 1850 with 22 stock brokers opposite to town hall
Bombay .This stock exchange is known as oldest stock
exchange of Asia.

5. Largest stock exchanges IN THE WORLD
 LONDON STOCK EXCHANGE
 NEW YORK STOCK EXCHANGE
 SHANHAI STOCK EXCHANGE
 AUSTRALIA STOCK EXCHANGE
 TOKYO STOCK EXCHANGE
 HONG KONG STOCK EXCHANGE
 TORONTO STOCK EXCHANGE
 DEUTSCHE BORSE
 BM&F BOVESPA
 KARACHI STOCK EXCHANGE

6. FEATURES OF STOCK EXCHANGE
It is an organized market
It is a securities market
It is an important constituent of capital market
i.e., market for long-term finance
It is a voluntary association of persons desirous of
dealing in securities
Stock exchange is a voluntary association, its
membership is not open to everybody

7. Different Terms Used in Stock Exchange
Bull
Bear
Stage (Deer)
Lame Duck

8. BULL
He is speculator who expects the
future raise in price of securities
he buys the securities to sell them
at future date at the higher price.
He is called as bull because his
activities resembles as a bull , as
the bull tends to throw its victims
up in the air through its horns. In
simple the bull speculator tries to
raise the price of securities by
placing a big purchase orders.

9. BEAR
He is speculator who expects future fall in
prices , he does an agreement to sell securities
at future date at the present market rate .
He is called as bear because his altitude
resembles with bear , as the bear tends
to stamp its victims down to earth
through its paws . In simple the bear
speculator forces of prices of securities
to fall through his activities.

10. STAG {DEER}
He operates in new issue of market . He is just like a
bull speculator . He applies large number of shares in the issue
market only by paying , application money , allotment money. He
is not a genuine investor because , he sells the allotted securities at
the premium and makes profit. In simple he is cautious in his
dealings . He creates an artificial rise in prices of new shares and
makes profits.

11. LAME DUCK
He is speculator when the bear operator finds it difficult to
deliver the securities to the consumer on a particular day
as agreed upon , he struggles as a lame duck in fulfilling
his commitment . This happens when the prices do not fall
as expected by the bear and the other party is not willing
to postpone the settlement to the next period.

12. Stock Exchanges In Pakistan
There are three stock exchange in Pakistan:
 Karachi Stock Exchange(KSE)-Sep 18, 1947
 Lahore Stock Exchange(LSE)-October 1970
 Islamabad Stock Exchange(ISE)-October 25, 1989

13. KSE Introduction
 The Karachi Stock Exchange (KSE)
was established on Sep 18, 1947.
 Its Started work with 5 companies
with a paid-up capital of Rs. 37 million
Rupees.
 The Karachi Stock Exchange (KSE),
Pakistan's largest Stock Exchange.
 The Karachi Stock Exchange (KSE) is
the premier stock exchange of the
country.

14.  There are 580 companies listed in KSE.
 The total market capital is US$73.1 billion - (22.01.2015).
 Current Managing Director is Nadeem Naqvi.

15. Vision
 To be a leading financial institution, offering efficient, fair and transparent
securities market in the region and enjoying full confidence of investors
and listed securities issuers.
 To strive to provide quality and value-added services to the capital
market in an efficient, transparent and orderly manner, compatible
with international standards and best practices.
Mission

16. Top Associated Companies of KSE
 Atlas Battery Limited
 Atlas Honda Limited
 Murree Brewery Company Limited
 Shezan International Limited
 Agritech Limited
 Allied Bank Limited
 Standard Chartered Bank Limited
 Akzo Nobel Pakistan Limited
 Attock Cement (Pakistan) Limited

17. Lahore Stock Exchange
 It is Pakistan's second largest
stock exchange in the country.
 There are 671 companies is
enlisted in LSE.
 The market capitalization
stood at $ 36.44 billion.

18. History of LSE
 Lahore Stock Exchange is Pakistan's second largest stock
exchange after the Karachi Stock Exchange (KSE).
It came into existence in October 1970, under the Securities
and Exchange Ordinance of 1969 by the Government of
Pakistan in response to the needs of the provincial
metropolis of the province of Punjab. It initially had 83
members and was housed in a rented building in the
crowded Bank Square area of Lahore. The LSE was the first
stock exchange in Pakistan to use the internet and currently
50% of its transactions are carried out via internet.

19. VISION
To be a leading financial institution, offering efficient,
fair and
transparent securities market in the region and
enjoying full confidence
of the investors.
Mission
To strive to provide quality and value-added services to the
capital market in an efficient, transparent and orderly manner,
compatible with international standards and best practices.

20. LSE – Associated Companies
Associated Companies
Central
Depository
Company of
Pakistan
Sole depository of
shares
National
Clearing
Company of
Pakistan
Clearing &
settlement
company in
Pakistan for the
three exchanges
National
Commodities
Exchange Ltd.
First automated
and regulated
commodities
Exchange
Pakistan Credit
Rating Agency
First credit rating
agency of
Pakistan formed
as joint venture of
IFC & LSE
Facilities
Management
Co.
Operating
company for
LSE’s buildings

21. Islamabad Stock Exchange
 ISE is the youngest of the three
stock exchanges of Pakistan
 There are 261 companies is
enlisted in ISE.
 The market capitalization stood at
Rs. 2,275.00 billion.

22. History of ISE
 Islamabad Stock Exchange is the youngest of the three stock
exchanges of Pakistan. The Islamabad Stock Exchange (ISE)
was incorporated as a guarantee limited Company on
October 25, 1989 in Islamabad Capital territory of Pakistan
with the main object of setting up of a trading and
settlement infrastructure, information system, skilled resources,
accessibility and a fair and orderly market place that ranks
with the best in the world. The purpose for establishment of
the stock exchange in Islamabad was to cater to the needs
of less developed areas of the northern part of Pakistan. It
was licensed as a stock exchange on January 7, 1992.

23. Vision
“ To develop ourselves into a dynamic and prominent
multi product trading place, a well respected
corporate entity and a valued contributor to the
economy. ”
23
Mission
“ To deliver sustainable value and offer best
possible satisfaction to all stakeholders associated
with our Company. ”

24. Top 10 Associated Companies
 Auto Mobile Parts and Accessories
 AUTOMOBILE ASSEMBLER
 BONDS
 CABLES & ELEC. GOODS
 CEMENT
 CHEMICAL
 CLOSE-END MUTUAL FUNDS
 COMMERCIAL BANKS
 ENGINEERING
 FERTILIZER

25. Registration Process of New Investor