Karachi Stock Exchange

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Karachi Stock Exchange
KSE logo.png
Location of Karachi Stock Exchange in Pakistan
Location of Karachi Stock Exchange in Pakistan
KSE
Location of Karachi Stock Exchange in Pakistan
Type Stock Exchange
Location Karachi, Pakistan
Founded August 14, 1947; 67 years ago (1947-08-14)
Owner Karachi Stock Exchange Limited
Key people

Nadeem Naqvi, Managing Director

Currency Pakistani Rupee
No. of listings 579
Market cap Rs 7,625.837 billion 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.kse.com.pk

The Karachi Stock Exchange (KSE), is a stock exchange currently 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.[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. According to Bloomberg, the Pakistani benchmark stock market index is the third-best performer in the world since 2009.[3] 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.[4][5]

History[edit]

Founded on October 11, 1993, Karachi Stock Exchange (KSE) is the biggest and most liquid exchange in Pakistan. It was declared the “Best Performing Stock Market of the World for the year 2002”, the position again re-affirmed[6] 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.[7] 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 KSE 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[edit]

Monday to Thursday[edit]

Session Timing
Pre-open Trading Session 09:15 am – 09:30 am
Trading Session 09:30 am – 03:30 pm

Friday[edit]

Session Timing
Pre-open Trading Session 09:00 am – 09:15 am
1st Trading Session 09:15 am – 12:00 pm
Break 12:00 pm – 02:15 pm
Pre-open 2nd Trading Session 02:15 pm – 02:30 am
2nd Trading Session 02:30 pm – 4:30 pm

The hours of operation for the KSE quoted above are stated in terms the local time (GMT + 5:00). KSE'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 KSE observe Friday prayer break in between.[8]

2008 and 2009 Karachi Stock Exchange Crisis[edit]

  • 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.[9][10]
  • 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.[11][12]
  • July 17 :Angry investors attacked the Karachi Stock Exchange in protest at plunging Pakistani share prices.[13][14]
  • 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.[15]
  • 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.[16][17]
  • 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.[18]
  • December 15: Trading resumes after the removal of floor on stock prices that was set on August 28 to halt sharp falls.[19][20]
  • December 6, 2012 :Karachi Stock Exchange (KSE) hits third straight record high its history.[21]

Disputes[edit]

Disputes between investors and members of the Exchange are resolved through deliberations of the Arbitration Committee of the Exchange[citation needed].

See also[edit]

References[edit]

  1. ^ [1]
  2. ^ Houreld, Katharine (10 April 2013). "Insight: Pakistan's booming market no black and white matter". Yahoo News. Retrieved 10 April 2013. 
  3. ^ "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. 
  4. ^ "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. 
  5. ^ "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. 
  6. ^ Shoaib-ur-Rehman Siddiqi (Jan 30, 2015). "KSE one of best performing stock exchanges in world: PM". Business Recorder. Retrieved March 1, 2015. 
  7. ^ Agencies (Jan 1, 2015). "Pakistan ranked third amongst top 10 best performing markets in 2014: Bloomberg". Pakistan Today. Retrieved March 1, 2015. 
  8. ^ Market Hours, Karachi Stock Exchange via Wikinvest
  9. ^ Karachi Stock Exchange reaches record high - Gulf News
  10. ^ Monster & Critics
  11. ^ Pakistan Stocks Slump, Led by Banks, After Unexpected Rate Rise - Bloomberg
  12. ^ Billions wiped off on KSE’s ‘black Friday’ - Dawn.com
  13. ^ Protest over Pakistan share slump - BBC News
  14. ^ Pakistani Investors Stone Exchange as Stocks Plunge - Bloomberg
  15. ^ Forbes.com
  16. ^ Pakistan shares up on resignation - BBC News
  17. ^ Pakistan's Post-Musharraf Rally Will Falter, Credit Suisse Says - Bloomberg
  18. ^ Pakistan Stock Index Is Little Changed; Trading Limits Remain Bloomberg
  19. ^ Pakistan’s Stock Index Falls to 2-Year Low After Lifting Curbs - Bloomberg
  20. ^ The Avoidable collapse of Karachi Stock Exchange 2008 - KSE
  21. ^ Approved Ranking of World | 1reservoir

External links[edit]