Growth
The KSE is the biggest and most liquid exchange in Pakistan and in 2002 it was declared as the “Best Performing Stock Market of the World” by Business Week. As of December 8, 2009, 652 companies were listed with the market capitalization of Rs. 2.561 trillion (US$ 30.5 Billion) having listed capital of Rs. 717.3 billion (US$ 12 billion). On December 26, 2007, the KSE-100 Index closed at 14,814.85 points.
Foreign buying interest had been very active on the KSE in 2006 and continued in 2007. According to estimates from the State Bank of Pakistan, foreign investment in capital markets total about US$523 Million. According to a research analyst in Pakistan, around 20pc of the total free float in KSE-30 Index is held by foreign participants.
Karachi stock exchange Board of Directors announced in 2007, their plans to construct a 40 story high rise KSE building, as a new direction for future investment.
The exchange began with the KSE-50 index. As the market grew a representative index was needed. On November 1, 1991 the KSE-100 was introduced and remains to this day the most generally accepted measure of the Exchange. KSE-100 index is used as a benchmark to compare prices overtime and companies with the highest market capitalization from each sector are selected and included in it to ensure full market representation.
In 1995, the need was felt for an all share index to reconfirm the KSE-100 and also to provide the basis of index trading in future. By August 29, 1995 the KSE-All Share Index was constructed which became operative on September 18, 1995.
At present, the KSE has four market indices (KMI-30, KSE-30, KSE-100 and KSE-All Share Index).
Read more about this topic: Karachi Stock Exchange
Famous quotes containing the word growth:
“There are enough fagots and waste wood of all kinds in the forests of most of our towns to support many fires, but which at present warm none, and, some think, hinder the growth of the young wood.”
—Henry David Thoreau (1817–1862)
“All growth is a leap in the dark, a spontaneous unpremeditated act without benefit of experience.”
—Henry Miller (1891–1980)
“The wind of change is blowing through the continent. Whether we like it or not, this growth of national consciousness is a political fact.”
—Harold MacMillan (1894–1986)