Karachi Stock Exchange

Pakistan Stock Exchange (formerly Karachi Stock Exchange)
PSX Location of Karachi Stock Exchange in Pakistan
Type	Stock Exchange
Location	Karachi, Pakistan
Founded	August 14, 1947
Owner	Pakistan Stock Exchange Limited
Key people	Nadeem Naqvi, managing director
Currency	Pakistani Rupee
No. of listings	559 - as on (August 13, 2015)
Market cap	Rs 7.6 trillion or US$ 75.1 billion - (09 Mar 2015)[1]
Volume	US$ 12 billion
Indices	KSE 100 Index KSE-30 Index KSE-All Shares Index KMI 30 Index
Website	www.psx.com.pk

The Karachi Stock Exchange Limited (KSE), was a stock exchange located at the Stock Exchange Building (SEB) on Stock Exchange Road, in the heart of Karachi's Business District, I. I. Chundrigar Road, Karachi, Sindh Province of Pakistan. It is now incorporated in the Pakistan Stock Exchange along with the other two bourses of Pakistan, the Lahore Stock Exchange and the Islamabad Stock Exchange ^[2] It is Pakistan's largest and one of the oldest stock exchange in South Asia by market capitalization, with many Pakistani consortium as well as overseas enterprises listings. Pakistan Stock Exchange also listed among 10 best stock markets in the world in 2015.^[3][4]

According to Bloomberg, the Pakistani benchmark stock market index is the third-best performer in the world since 2009.^[5] In June 2015, Khaleej Times reported that since 2009, the Pakistani equities delivered 26 percent a year for US dollar investors, making Karachi the best-performing stock exchange in the world.^[6][7]

With effect from January 11, 2016 the Karachi Stock Exchange, Lahore Stock Exchange and Islamabad Stock Exchange were integrated under the Stock Exchanges (Corporatisation, Demutualization and Integration) Act, 2012 to form the Pakistan Stock Exchange Limited as the only stock exchange in Pakistan.

History

Founded on September 18, 1947, Karachi Stock Exchange Limited (KSE) is the exchange in Pakistan. It was declared the "Best Performing Stock Market of the World for the year 2002", the position again re-affirmed^[8] by the Prime Minister of Pakistan in January 2015. However, according to analysis by Bloomberg, Pakistan ranked third in 2014 amongst the Top Ten Best Performing Markets in the world.^[9] A total of 654 companies were listed on December 8, 2009 with a market capitalization of Rs. 8.561 trillion (US$120.5 billion) having listed capital of Rs. 2805.873 billion (US$40.615 billion). The KSE-100 Index closed at 11,967 on May 16, 2011. Total market capitalization of the PSX reached Rs 2.95 trillion (US$35 billion approximately) on July 30, 2011. As on July 10, 2015, total market capitalization reached Rs. 7.33 trillion (US$72 billion approximately).

Hours of Operation

Monday to Thursday

Session	Timing
Pre-open Trading Session	09:15 am – 09:30 am
Regular Order Matching & Confirmation Period *	09:30 am – 9:32 am
Trading Session	09:32 am – 03:30 pm

Friday

Session	Timing
Pre-open Trading Session	09:00 am – 09:15 am
Regular Order Matching & Confirmation Period *	09:15 am – 09:17 am
1st Trading Session	09:17 am – 12:00 pm
Break	12:00 pm – 02:14 pm
Pre-open 2nd Trading Session	02:15 pm – 02:30 pm
Regular Order Matching & Confirmation Period *	02:30 pm – 02:32 pm
2nd Trading Session	02:32 pm – 04:30 pm

The hours of operation for the PSX quoted above are stated in terms the local time (GMT + 5:00). PSX's normal trading sessions are on all days of the week except Saturday, Sundays and holidays declared by the Exchange in advance. On Friday, there are two trading sessions and PSX observe Friday prayer break in between.

• During Regular Order Matching & Confirmation Period, the System shall be static for minimum 2 minutes and maximum for about 10 minutes and no Order shall be input into the System, amended or cancelled.

^[10]

2008 and 2009 Pakistan Stock Exchange Crisis

• April 20 : Karachi Stock Exchange achieved a major milestone when KSE-100 Index crossed the psychological level of 15,000 for the first time in its stock exchange history and peaked 15,737.32 on 20 April 2008. Moreover, the increase of 7.4 per cent in 2008 made it the best performer among major emerging markets.^[11][12]
• May 23: Record high inflation in the month of May, 2008 resulted in the unexpected increase in the interest rates by State Bank of Pakistan which eventually resulted in sharp fall in Karachi Stock Exchange.^[13][14]
• July 17 :Angry investors attacked the Karachi Stock Exchange in protest at plunging Pakistani share prices.^[15][16]
• July 16 : KSE-100 Index dropped one-third from an all-time high hit in April, 2008 as rising pressure on shaky Pakistan's coalition government to tackle Taliban militants exacerbates concern about the country's economic woes.^[17]
• August 18: KSE 100 Index rose more than 4% after the announcement of the resignation of President Pervez Musharraf but Credit Suisse Group said that Pakistan's Post-Musharraf rally in Stock Exchange will be short-lived because of a rising fiscal deficit and runaway inflation.^[18][19]
• August 28 :Karachi Stock Exchange set a floor for stock prices to halt a plunge that has wiped out $36.9 billion of market value since April.^[20]
• December 15: Trading resumes after the removal of floor on stock prices that was set on August 28 to halt sharp falls.^[21][22]
• December 6, 2012 :Pakistan Stock Exchange (PSX) hits third straight record high its history.^[23]

Disputes

Disputes between investors and members of the Exchange are resolved through deliberations of the Arbitration Committee of the Exchange.

See also

• KSE 100 Index
• KSE 30 Index
• Lahore Stock Exchange
• Islamabad Stock Exchange
• 128 Securities
• Economy of Pakistan
• Economy of Karachi
• E-trading in Pakistan
• List of Pakistani companies
• List of stock exchanges

References

2. News, Dawn. "Pakistan Stock Exchange formally launched".
3. Houreld, Katharine (10 April 2013). "Insight: Pakistan's booming market no black and white matter". Yahoo News. Retrieved 10 April 2013.
4. Times, Khaleej (29 October 2015). "Karachi Stock Exchange among 10 best stock markets in the world in 2015". Scene on Hai. Retrieved 9 October 2015.
5. "Pakistan central bank cuts benchmark rate to 42-year low". AFRWEEKEND. May 24, 2015. Archived from the original on May 24, 2015. Retrieved May 24, 2015.
6. "KSE world's best performing frontier stock market: report". The Express Tribune. June 3, 2015. Archived from the original on Jun 8, 2015. Retrieved Jun 8, 2015.
7. "Pak equities to extend bull run on strong fundamentals". Khaleej Times. June 1, 2015. Archived from the original on Jun 8, 2015. Retrieved Jun 8, 2015.
8. Shoaib-ur-Rehman Siddiqi (Jan 30, 2015). "KSE one of best performing stock exchanges in world: PM". Business Recorder. Retrieved March 1, 2015.
9. Agencies (Jan 1, 2015). "Pakistan ranked third amongst top 10 best performing markets in 2014: Bloomberg". Pakistan Today. Retrieved March 1, 2015.
10. Market Hours, Karachi Stock Exchange via Wikinvest
11. Karachi Stock Exchange reaches record high – Gulf News
12. Monster & Critics
13. Pakistan Stocks Slump, Led by Banks, After Unexpected Rate Rise – Bloomberg
14. Billions wiped off on PSX’s ‘black Friday’ - Dawn.com
15. Protest over Pakistan share slump – BBC News
16. Pakistani Investors Stone Exchange as Stocks Plunge – Bloomberg
17. Forbes.com
18. Pakistan shares up on resignation – BBC News
19. Pakistan's Post-Musharraf Rally Will Falter, Credit Suisse Says – Bloomberg
20. Pakistan Stock Index Is Little Changed; Trading Limits Remain Bloomberg
21. Pakistan’s Stock Index Falls to 2-Year Low After Lifting Curbs – Bloomberg
22. The Avoidable collapse of Karachi Stock Exchange 2008 – KSE
23. Approved Ranking of World | 1reservoir

External links

• Pakistan Stock Exchange Website