SECP introduces disclosure rules

ISLAMABAD: Securities and Exchange Commission of Pakistan (SECP) has issued a set of rules to promote Islamic capital market and facilitate review of the Pakistan Stock Exchange (PSX)’s All Shares Islamic Index (ASII)

The SECP asked listed companies to disclose in their annual and half-yearly accounts, certain specific information in terms of Shariah compliance or otherwise to facilitate the PSX in fairly maintaining its newly developed the ASII. 

“The disclosures to be made under the circular include disclosure of loans, advances, deposits, revenue, profits, gains, income, losses, bank balances etc. separately based on Shariah-compliant mode and conventional mode,” it added.

The ASII has been developed to use it as a benchmark to measure the price performance of investments in Shariah-compliant shares. 

It comprises all listed companies that are Shariah-compliant as per the Shariah and technical screening criteria of PSX. At present, 238 listed companies are included in the said index. The PSX will review the index on a semi-annual basis.