Pakistan Credit Rating Agency has assigned initial broker fiduciary rating to Khadim Ali Shah Bukhari Securities Limited. The broker fiduciary rating of Khadim Ali Shah Bukhari Securities Limited’s signifies the Company’s assurance towards satisfactory custodianship of client’s assets indicated by comprehensive Client Asset Segregation policy, Trading room policy and Market abuse policy.
The Company occupies emerging position in the brokerage industry and is penetrating through online trading and mobile application. The Company has outsourced its internal audit function to AFRAS & Company, a practicing firm of consultants. Zero leveraged capital structure, improved liquidity indicators and recovery in efficiency ratios bodes well for the Company.
The ratings are dependent on the management’s ability to strengthen revenue base by augmenting consultancy and advisory services. Retaining market share and sustaining profitability from core operations remain critical. Meanwhile, upholding strong internal controls and diligent monitoring of risks is important.
Major shareholding of the Company lies with Oxford Frontier Capital Limited i.e. ~44%. The sponsors’ profile of the Company is considered good. On governance front, the Company is in process of improving its Board Structure in compliance with CCG.
PACRA
