PSX to set up Shariah-compliant trading counter
Shariah principles require that shares cannot be sold until the delivery is tendered into the buyer’s account
File photo PHOTO: EXPRESS TRIBUNE
ISLAMABAD:
The Shariah Advisory Board of the Securities and Exchange Commission of Pakistan (SECP), in its ninth meeting, reviewed and approved the proposal of setting up a Shariah-compliant trading counter submitted by the Pakistan Stock Exchange (PSX).
The main feature of the proposal is to convert the T+2 settlement into a T+0 settlement mechanism for the Shariah-compliant securities listed on the PSX.
Banks told to implement State Bank's SOP for security
The proposal will help those who invest in Shariah-compliant securities by reducing the price risk associated with the T+2 settlement. Shariah principles require that shares cannot be sold until the delivery is tendered into the buyer’s account. The Shariah Advisory Board granted, in principle, approval to the Shariah-compliant trading counter at the PSX subject to proper translation of the mechanism of real-time/same day settlement in the PSX regulations.
Published in The Express Tribune, November 24th, 2017.
The Shariah Advisory Board of the Securities and Exchange Commission of Pakistan (SECP), in its ninth meeting, reviewed and approved the proposal of setting up a Shariah-compliant trading counter submitted by the Pakistan Stock Exchange (PSX).
The main feature of the proposal is to convert the T+2 settlement into a T+0 settlement mechanism for the Shariah-compliant securities listed on the PSX.
Banks told to implement State Bank's SOP for security
The proposal will help those who invest in Shariah-compliant securities by reducing the price risk associated with the T+2 settlement. Shariah principles require that shares cannot be sold until the delivery is tendered into the buyer’s account. The Shariah Advisory Board granted, in principle, approval to the Shariah-compliant trading counter at the PSX subject to proper translation of the mechanism of real-time/same day settlement in the PSX regulations.
Published in The Express Tribune, November 24th, 2017.