The Islamabad Stock
Exchange (ISE) was incorporated as a guarantee limited Company on 25th
October, 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. |
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The ISE has set the highest
standards of operational efficiency and is committed to support a
climate of confidence and optimism that encourages and promotes
trading activity. It also provides for conducive environment to
channelize the small investments of the residents of less developed
areas. The ISE offers an easy access to both domestic as well as foreign investors
and actively encourages the listing of eligible and profitable
companies, both large and small to make it an exciting and
diverse Exchange. The Exchange is playing a pivotal role for
economic growth of the area thereby contributing towards the overall
economic prosperity and welfare of the country. |
At present there are
118 members out of which 104 are corporate bodies including commercial and investment banks, DFIs
and brokerage houses. The other 18 Members are individual persons who
are well educated, enterprising and progressive minded. The
affairs of the Exchange are governed by the Board of Directors. The
Board of Directors consists of ten directors, of which five are elected
member directors and four are non-member directors nominated by
the SECP while the managing director by virtue of his office is
the tenth director of the Board . In order to protect the interest of the
investing public, an Investors Protection fund has been established by the Exchange.
Since the inception of automated
trading system (ISECTS), the trade volume has been multiplying
day by day and the average daily turnover has now crossed the
figure of 1 million shares. Now all the
listed securities are traded through the ISECTS. The system of
physical handling of shares and securities has been phased out
and majority of the scrips are settled through Central Depository
Company of Pakistan Limited.
At the moment there are 248
companies/securities listed including 6 Open- End Mutual Fund and 4 TFCS on the Exchange with an aggregate capital
of Rs. 554,653.483 million. The market capitalization stood
at Rs.
259,1458.088 million as on 23-07-2024 . The pace of listing has remained slow
as the economy of the Country is under consistent pressure due to
internal as well as external factors.
In comparison with major financial markets around the World, the
functioning of capital market in Pakistan is still very much in its
infancy and lacks advanced technology. In this context efforts are
being made to bring ISE in line with the International system and
methodology.
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