"Investment opportunities in Pakistan"

Soaring oil prices Hubco/Wapda dispute Interview: Tony Tyler of Cathay Pacific Custom Act on Bara Markets Pakistan-IMF negotiations Harvest Group Revised import tariff

A seminar organized by Harvest Group

BY FARAZ SIDDIQUI
Sep 18 - 24, 2000

Pakistan is among the developing economies of world with emerging markets, stock market is one of them. Emerging stocks and forex markets in developing countries have become an important and highly accepted investment tools. Due to its significance Harvest Group has organized a seminar on "Investment Opportunities in Pakistan".

Presenting the introduction of Harvest Group, Mr Ziaullah Bhatti, Marketing Manager Harvest Group said, Harvest Group is an international entity with specialized services of Forex and securities trading. It was established in 1992 and in a very short span of time it became a worldwide Forex and security brokerage house of international standard. In Pakistan HG operates two partnerships Harvest Topworth International (HTW) and Harvest Smartrend Securities (Pvt) Limited (HSS).

Bhatti further said, HTW is the Forex Brokerage Arm of Harvest Group which is the pioneer of Forex Brokerage in Pakistan with the largest setup. While HSS is a stock brokerage house which offers a wide range of services for the investments in the stock markets. He further said, HSS is the only stock brokerage house in Pakistan to offer Pakistan Stock market information through Reuters Systems.

Enlightening the insights of exciting world of stocks, Humaira Jamil, Research Analyst at Harvest Group Lahore, said, Pakistan has ample investment opportunities being an emerging market. All the stocks markets in Pakistan are termed as emerging markets. She further said, stocks business is highly regulated industry which is managed first by stock exchange itself, then Central Depository System and finally Securities Exchange Commission of Pakistan. From March 2000 onwards, KSE has been facing huge losses but now market is slowly recovering and coming back on the track. She further said, in depth analysis of the market behaviour reflects that market has strength to sustain higher level with the years to come.

She also pointed out the facts regarding the sustainability of the market. Illustrating the current scenario, she said that interest rates on saving schemes had been slashed down which resulted in a surplus liquidity in the economy, for which stock market can be a best investment avenue. Privatization, transparent policy making and reforms are slowly bringing improvement in stock markets, she added. Finally the recently concluded SAFE conference's consensus regarding the integration of local market with other regional markets are the steps which depict a positive outlook for investors. In order to encourage the institutional participation, NIT from the mutual fund industry has proposed that Employees Benefit Fund and State Life Insurance companies should be allowed to increase their exposure by 30 per cent, these all factors shows the eventual sure recovery of the market. So Pakistan is a strong market with growing turnover and high returns on investment, she added.

She said, in any emerging market risk management is the weakest area but SECP is fully mindful to handle risk management efficiently. Keeping in view the fertile opportunities of investment, Harvest Smartrend Securities (HSS) is a full service brokerage house which is aiming to provide standard services for investment in stocks market. HSS is equipped with most sophisticated research deparment, swift and efficient operations, customer oriented approach and exclusive order routing to deliver best services, she added.

Akber Hussain, Marketing Manager has provided an informative overview of Forex and trade. Being the most liquid market in the world, it has a daily turnover of more than $2 trillion, he said. A round the clock operating market without geographical barriers and limitations offers the most fair pricing with the least possible manipulation. HTW provides an opportunity to the investors in Pakistan to interact with the Forex market. He referred the margin system most effective and safe way to invest money, in this system an investor is not required to block large amount of capital while doing a comparatively much larger transaction as compared to physical trader.

Giving the justification to invest in forex market he said that investor would not need to block large amount, high and quick returns on investment, low cost of transaction and foremost the controlled nature of risk and losses. HTW assist the investors with its 18 years experience in the forex market, high quality personalized services, computer-based financial network and latest hi-tech communication system, he added.

Peter Cruz, principal consultant of HG, said that growth and success of HG would not have been possible without the dedication, hardworking and total commitment of all work force at HG. He also praised the performance of his research department whose extraordinary efforts and work have turned the HG a highly acclaimed financial services firm in Pakistan.

The seminar was mainly focused to explore Pakistan as an emerging market with great opportunities for investment. HG claims to be committed on its part to provide highly professional financial services to the customers and to put the largest global market within reach of Pakistan investment community.