KSE 100 Index: A Guide to Pakistan's Stock Market Benchmark

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The KSE 100 Index is a key benchmark for the Pakistan stock market. It's a free-float market capitalization-weighted index.

The index is comprised of the 100 largest and most liquid stocks listed on the Pakistan Stock Exchange. This is based on the market capitalization of the companies.

The KSE 100 Index is widely followed by investors and analysts in Pakistan and abroad. It provides a snapshot of the overall performance of the Pakistani stock market.

The index is calculated and maintained by the Pakistan Stock Exchange (PSX) in collaboration with the State Bank of Pakistan (SBP).

What Is the KSE 100 Index?

The KSE 100 Index is a widely followed stock market index in Pakistan. It's a benchmark that measures the performance of the top 100 companies listed on the Pakistan Stock Exchange.

The index is market-capitalization weighted, meaning the companies with the largest market capitalization have a greater impact on the index's performance. This type of weighting ensures that the index accurately reflects the overall market trends and performance.

The KSE 100 Index was introduced in 1991 and is maintained by the Pakistan Stock Exchange. It's a key indicator of the country's economic health and a widely used benchmark for investors.

History and Performance

Credit: youtube.com, Weekly Performance Analysis of Pakistan Stock Market KSE 100 Index

The KSE 100 Index has a rich history, dating back to November 1991 when it was launched with a base of 1,000 points.

In its early years, the index experienced significant fluctuations, with a notable drop of 24.14% in 1992. The index hit a low of 945.24 points in 1998.

The index has seen some remarkable growth over the years, with a peak of 49,969 points in January 2017. Pakistan's inclusion in the MSCI Emerging Markets Index in May 2017 was a significant milestone.

Here's a brief overview of the index's performance over the years:

The index has consistently shown growth, with some notable exceptions, such as the significant drop in 2022.

History

The KSE 100 Index was launched in November 1991 with a base of 1,000 points. This marked the beginning of a significant milestone for the Karachi Stock Exchange.

In November 1994, Baring Securities London recomposed the index and established rules for its recomposition, setting the stage for the index's future growth.

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The stock market hit an all-time high of 49,969 points in January 2017, a testament to the index's resilience and potential for long-term growth.

However, just a few weeks later, on February 13, the index stood at 49,876 points, showing that even the highest highs can be followed by slight dips.

Pakistan's upgrade to the MSCI Emerging Markets Index in May 2017 was a significant achievement, recognizing the country's growing economy and investment potential.

In April 2008, the KSE 100 Index reached a major milestone, exceeding 15,000 points for the first time ever and peaking at 15,737.32 later that month.

Annual Performance

The KSE 100 Index has seen its fair share of ups and downs over the years.

The index's annual performance can be tracked back to 1990, when it was first launched.

The table below shows the annual performance of the KSE 100 Index based on closing on 31 December each year.

2017 (All-Time High)

Stock charts on tablet screen. Business and economy.
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In 2017, the KSE-100 index reached an all-time high of 53,124 points on May 25th. This milestone was short-lived, as the index plummeted to 37,919 points just seven months later.

The global market turmoil that followed Britain's decision to leave the EU on June 24th had a significant impact on the KSE. Investors sought safe havens like gold and government bonds, causing the index to drop by 1,100 points, or 3.1 percent.

Composition and Trading

The KSE 100 Index is a benchmark for the Pakistani stock market, comprised of the 100 largest and most liquid stocks listed on the Karachi Stock Exchange. These companies are the backbone of the Pakistani economy, and their performance is a key indicator of the market's overall health.

The KSE 100 Index is comprised of a diverse range of companies, including blue-chip stocks like Engro Corporation, Hubco, and MCB Bank. These companies are leaders in their respective industries and are well-established in the Pakistani market.

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Here are some of the key constituents of the KSE 100 Index:

  • Abbott
  • Adamjee Insurance
  • AGP Limited
  • Allied Bank
  • Askari Bank
  • Attock Petroleum
  • Attock Refinery
  • Avanceon
  • Bank AL Habib
  • Bank Alfalah
  • Bank of Punjab
  • BankIslami
  • Bannu Woollen Mills
  • Bestway Cement
  • Century Paper
  • Cherat Cement
  • Cnergyico
  • Colgate-Palmolive Pakistan
  • Dawood Hercules
  • DG Cement
  • Dolmen City REIT
  • EFU General Insurance
  • Engro Corporation
  • Engro Fertilizers
  • Engro Polymer
  • Fatima Fertilizer
  • Fauji Cement
  • Fauji Fertilizer Company
  • Fauji Fertilizer Bin Qasim
  • Faysal Bank
  • First Habib Modarba
  • FrieslandCampina Engro Pakistan
  • Gadoon Textile Mills
  • Ghani Glass
  • GSK
  • HBL
  • HabibMetro
  • Habib Sugar Mills
  • HBL Growth Fund
  • Highnoon
  • Hubco
  • Ibrahim Fibre
  • Indus Motor Company
  • Interloop Limited
  • International Industries Limited
  • International Steels Limited
  • Javedan
  • K-Electric
  • Kohat Cement
  • Kohinoor Textile
  • Kot Addu Power
  • Lotte Chemical
  • Lucky Cement
  • Lucky Core Industries
  • Maple Leaf Cement
  • Mari Petroleum
  • MCB Bank
  • Meezan Bank
  • Mehmood Textile Mills
  • Millat Tractors
  • Mughal Steel
  • Murree Brewery
  • National Bank
  • National Foods
  • National Refinery
  • Nestlé Pakistan
  • Nishat Chunian Power
  • Nishat Chunian
  • Nishat Power
  • OGDC
  • Packages Limited
  • PEL
  • Pak-Gulf Leasing
  • Pakgen Power
  • Pakistan Aluminium Beverage Cans
  • PIBTL
  • Pakistan Oilfields
  • Pakistan Refinery
  • Pakistan Petroleum
  • Pakistan Services
  • Pakistan State Oil
  • Ptcl
  • Pakistan Tobacco Company
  • Pioneer Cement
  • Punjab Oil Mills
  • Rafhan Maize
  • Saif Power
  • Searle Pakistan
  • Service
  • Shell
  • Shifa
  • Standard Chartered
  • SNGPL
  • Systems Limited
  • Tariq Glass
  • Thal Limited
  • TRG Pakistan
  • Unilever Pakistan Foods
  • United Bank
  • Unity Foods
  • Yousuf Weaving Mills

Constituents

The KSE 100 is a benchmark index that represents the top companies listed on the Pakistan Stock Exchange. It's a snapshot of the country's economy and a gauge of its overall performance.

The KSE 100 index is comprised of 100 companies, as of October 2024. These companies are the largest and most liquid in the market, making them a good representation of the economy.

Let's take a look at some of the constituents of the KSE 100 index. Here are a few notable ones:

  • Abbott
  • Adamjee Insurance
  • AGP Limited
  • Allied Bank
  • Askari Bank
  • Attock Petroleum
  • Attock Refinery
  • Avanceon
  • Bank AL Habib
  • Bank Alfalah
  • Bank of Punjab
  • BankIslami
  • Bannu Woollen Mills
  • Bestway Cement
  • Century Paper
  • Cherat Cement
  • Cnergyico
  • Colgate-Palmolive Pakistan
  • Dawood Hercules
  • DG Cement
  • Dolmen City REIT
  • EFU General Insurance
  • Engro Corporation
  • Engro Fertilizers
  • Engro Polymer
  • Fatima Fertilizer
  • Fauji Cement
  • Fauji Fertilizer Company
  • Fauji Fertilizer Bin Qasim
  • Faysal Bank
  • First Habib Modarba
  • FrieslandCampina Engro Pakistan
  • Gadoon Textile Mills
  • Ghani Glass
  • GSK
  • HBL
  • HabibMetro
  • Habib Sugar Mills
  • HBL Growth Fund
  • Highnoon
  • Hubco
  • Ibrahim Fibre
  • Indus Motor Company
  • Interloop Limited
  • International Industries Limited
  • International Steels Limited
  • Javedan
  • K-Electric
  • Kohat Cement
  • Kohinoor Textile
  • Kot Addu Power
  • Lotte Chemical
  • Lucky Cement
  • Lucky Core Industries
  • Maple Leaf Cement
  • Mari Petroleum
  • MCB Bank
  • Meezan Bank
  • Mehmood Textile Mills
  • Millat Tractors
  • Mughal Steel
  • Murree Brewery
  • National Bank
  • National Foods
  • National Refinery
  • Nestlé Pakistan
  • Nishat Chunian Power
  • Nishat Chunian
  • Nishat Power
  • OGDC
  • Packages Limited
  • PEL
  • Pak-Gulf Leasing
  • Pakgen Power
  • Pakistan Aluminium Beverage Cans
  • PIBTL
  • Pakistan Oilfields
  • Pakistan Refinery
  • Pakistan Petroleum
  • Pakistan Services
  • Pakistan State Oil
  • Ptcl
  • Pakistan Tobacco Company
  • Pioneer Cement
  • Punjab Oil Mills
  • Rafhan Maize
  • Saif Power
  • Searle Pakistan
  • Service
  • Shell
  • Shifa
  • Standard Chartered
  • SNGPL
  • Systems Limited
  • Tariq Glass
  • Thal Limited
  • TRG Pakistan
  • Unilever Pakistan Foods
  • United Bank
  • Unity Foods
  • Yousuf Weaving Mills

Trading

Trading the KSE 100 Index can be a lucrative opportunity for investors. This involves buying and selling futures contracts based on the index's value, allowing traders to speculate on the future direction of the index without having to buy or sell individual stocks.

You can profit from both rising and falling markets by going long or short on the index. Going long means buying a futures contract with the expectation that the index will rise, while going short means selling a futures contract with the expectation that the index will fall.

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Trading the KSE 100 Index offers several benefits, including the ability to gain exposure to the Pakistani market without having to buy or sell individual stocks. This can save time and reduce transaction costs.

One of the main benefits is the ability to profit from both upward and downward market movements, unlike stock trading where profits are generally made when prices rise.

Most Active Stocks

The most active stocks can be a great indicator of market trends and investor interest.

Bank of Punjab is currently the most active stock, with a 9.64% change in price. This is a significant increase in value.

KELEK-Electric Ltd, on the other hand, has seen a decline of 1.64% in its stock price. This is a relatively small change compared to some of the other stocks listed.

Hub Power Company Ltd has experienced a modest increase of 0.64% in its stock price. This is a relatively stable change.

Here are the top 5 most active stocks, ranked by their volume:

The trading time for all of these stocks is currently 06:29:59.

Calculation and News

Credit: youtube.com, Market Wrap-Up: KSE-100 Index Settled At 41,793.87 Points | MoneyCurve | Dawn News English

The KSE 100 Index is a widely followed benchmark for the Pakistani stock market, and it's used to measure the overall performance of the market.

The index is made up of 100 of the largest and most liquid companies listed on the Pakistan Stock Exchange (PSX).

The KSE 100 Index is calculated in real-time and is updated every 15 seconds, providing investors with a live view of the market's performance.

The index has a base value of 1,000 as of February 1991, and it's rebalanced quarterly to ensure that it remains representative of the market.

How Is Calculation Done?

The KSE 100 Index uses a capitalization-weighted methodology to calculate its value.

This means that the companies with the largest market capitalization have the most influence on the index's value.

The index's value is calculated by adding up the market capitalization of all 100 companies.

A divisor is used to ensure the index's value is not affected by corporate actions like stock splits or dividends.

The divisor is a constant that is adjusted whenever there are changes in the index's constituents.

This adjustment ensures the index's value remains stable despite changes in the companies included in the index.

The divisor is recalculated whenever a company is added or removed from the index.

Karachi News

Financial results stock market
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Pakistan's benchmark share index hit a life-time high in opening trade on Thursday, hours after the International Monetary Fund (IMF) agreed to a $7 billion bailout deal. The deal included tough measures such as raising tax on farm income.

Pakistan's benchmark share index made its biggest single-day gain in nearly a year to close at a record high, a day after the government presented a budget that dispelled concerns over a capital gains tax hike.

Pakistan's benchmark share index turned positive, rising 0.4% after falling more than 2% earlier on Tuesday, according to the stock exchange's website.

The IMF's $7 billion bailout deal was a significant boost for Pakistan's economy, sending the country's stocks to a new peak.

Here are some key facts about Pakistan's economy:

  1. Pakistan's benchmark share index hit a life-time high in opening trade on Thursday, hours after the International Monetary Fund (IMF) agreed to a $7 billion bailout deal.
  2. Pakistan's benchmark share index made its biggest single-day gain in nearly a year to close at a record high, a day after the government presented a budget that dispelled concerns over a capital gains tax hike.
  3. Pakistan's benchmark share index turned positive, rising 0.4% after falling more than 2% earlier on Tuesday, according to the stock exchange's website.
  4. The IMF's $7 billion bailout deal was a significant boost for Pakistan's economy, sending the country's stocks to a new peak.

Where Have You Heard About?

The KSE 100 index has a rich history, and it's interesting to learn about its origins. It was established in November of 1991.

By the time February 2007 rolled around, the index had already reached an impressive 12,285 points. This marked a significant milestone in its growth.

The index eventually reached its highest benchmark of 14,814 points on the 26th of December 2007.

Frequently Asked Questions

What is the price of the KSE 100 Index today?

The current price of the KSE 100 Index is 114,613.91. For the latest market updates and analysis, visit our website.

What is the forecast for KSE 100?

The KSE-100 Index is forecast to reach 127,000 points by December 2025, representing a 34% increase from its current value. This projection is based on a forecast by Topline Securities Ltd.

Is PSX halal or haram?

PSX is considered a halal investment option due to its high percentage of Shariah-compliant companies. Investors seeking Islamic finance can explore PSX as a viable avenue.

Matthew McKenzie

Lead Writer

Matthew McKenzie is a seasoned writer with a passion for finance and technology. He has honed his skills in crafting engaging content that educates and informs readers on various topics related to the stock market. Matthew's expertise lies in breaking down complex concepts into easily digestible information, making him a sought-after writer in the finance niche.

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