About Zafar Securities Private Limited
- What services are offered by ZSL and what benefits derived from those services offered?
ZSL provides all brokerage services offered by the PSX (Pakistan Stock Exchange) and Commodities (PMEX). We also provide underwriting for listings and can help companies in achieving listing on PSX. We also provide guidance on trading in stocks and commodities. You can use any of our platform to trade online BOS Trading Terminal (Windows and OS) on the mobile app (Android & iPhone) and a Web Based Trading Terminal.
- What is the location of your office in Lahore & Faisalabad?
Locations of Zafar Securities are mentioned on Contact us page.
- Do you have office in Karachi?
We are planning to open one in Karachi very soon.
- How can i access your research reports?
You can subscribe to all our research reports by registering your email at our blog Zafar Stocks News and Updates.
- What is the credibility of your company & for how many years have you been in this business?
We have been in the business for the last 20 years and our chief executive has been in this business for the last 25 years. He has also been the chairman of the exchange twice and has served on its board on a number of occasions.
- What are the charges for online trading terminal?
Currently there are no online trading terminal charges; however, once we update our trading terminal, which includes live and updated financial information, there will be an annual minimum charge of Rs. 200 for this premium service.
- Do you have your office in LSE building?
Yes we do. 519, Lahore Stock Exchange Building 19, Khayaban-e-Awan-e-Iqbal Lahore, Pakistan.
- What is your closing time of office?
We normally close at 5:30 pm however our offices may remain open till 7:00 pm.
- What is your license no. to validate your authenticity as a broker?
We are registered with PSX code 068 and SECP BRL 011.
- Do you give tips or recommendations for investment?
Yes we have forum discussions in which you can participate and seek advice.
- Do you charge for your services (research reports, technical analysis, stock commentary)?
We do not charge for our regular services, however the premium service like the fundamental data is available at a small subscription.
- Can you email me your brochure so i could get information about your firm?
Please visit our web page at www.zafarstocks.com It has the latest information of our company.
- How to obtain online trading terminal?
Download form our web page BOS Trading Terminal.
- How to obtain report?
Register your email on our blog Zafar Stocks News and Updates.
- Whom to contact for withdrawal of fund?
You can use the trading terminal to request the withdrawal of funds, or call your branch manger or the account executive to assist you
- Would you assign us a separate trader?
You will be provided with a specific trader or account executive that will look after all your account related needs.
Account opening in PSX
- What is the minimum investment required for opening of account?
There is no minimum requirement for investment in the PSX. However, a minimum cash balance of Rs. 5000 is required to be maintained in your account with ZSL.
- What are account opening charges?
Following charges are applicable on all new accounts: UNI Charges Rs.400/- , NCSS Charges Rs.400/- , CDC Charges Rs. 400/-.
- Are there any annual charges?
Annual Charges: NCSS Charges Rs. 400/- , CDC Charges Rs. 400/-
- What are your commission charges?
Our Commissions are based on slab system and are not fixed as a percentage of value. Further, we provide discounts on large volume deals and same day trading accounts.
- What is the account opening procedure if I am residing abroad?
There are three types of accounts you can open.
TYPE 1) Individual account (Resident or non resident Pakistani) Individuals can also have joint accounts. Requirements: a) Valid CNIC of account holder(s) and nominee(if any) attested copies of all account holders and nominees are required b) Valid bank account (form has to be attested by relevant bank branch manager.
TYPE 2) Company Account (Incorporated in Pakistan) Requirements a) Article of Memorandum and Association b) Board Resolutions c) Form A d) Certificate of Incorporation e) List of authorized persons who will operate the account and their CNIC.
TYPE 3) Foreign National Account (SACRA account)You can download our forms for the web page or come to any of our branches to receive the account opening forms. All forms have been standardized by SECP/CDC. You will have to verify your signatures from your bank and physically post the forms to us or deliver them by hand to any of our offices.
For more details you can check our Invest into PSX (Pakistan Stock Exchange) information.
- How many days does it take to open account?
It takes 2-3 working days to open an account.
- Can i email you the duly filled forms?
Yes but we will require the original forms to open your account.
- Why am I not receiving dividend mandate?
Dividend mandate if checked in your SAVE is automatically sent to your designated bank by the company. If you are not getting it kindly check with the company. You will get the counter folio of the dividend once the company has deposited it in your designated bank account.
- What is the procedure for opening account if i need to trade in commodities?
You need to download our commodity form and fill out the details and bring it to our office along with you attested CNIC. Once approved you will be allotted a login and password by PMEX.
- Is it the brokerage house of Asim Zafar (Son of S.M. Zafar)?
Yes it is. Syed Asim Zafar is chairman of Zafar Securities Pvt. Ltd.
- If nominee’s CNIC is expired, can an account be opened?
“Yes the account may be opened but it will be suspended and may not be operational.
As a security feature; if there is no activity buying/selling for more than a year, that the account becomes inactive and no more trading or withdrawal is allowed. You will have to contact us through your email account registered with us; in order for it to become active again.
The account is blocked due to the following reasons:
1. Incomplete or missing documentations
2. Notice issued by SECP/CDC/PSX
3. Expired CNIC
4. Suspicious Trading activity
- What is an investor account?
Investor account allows you to maintain your custody with CDC directly.
- I need to update my home address, mobile number, how can i do that?
- How account opening fee is to be deposited?
All the fees are automatically charged on your account. You are requested to keep a minimum balance of Rs. 5000 so that all fees are duly paid.
- When are a/c opening charges deducted?
Account opening charges are deducted once at account opening time and then annually for account maintenance.
- From where can i get my CNIC attested?
You should have your CNIC attested from a 19 grade officer or above. Further you can bring the original to our office and get a scanned copy for the record.
- Can I trade in PSX if I reside abroad?
Yes, you can trade on PSX from anywhere in the world as long as you have opened an account with ZSL.
- What is the procedure if I wish to sell physical shares?
Step 1. The procedure involves opening up an account with ZSL in the same name/person in whose name the physical shares are endorsed.
Step 2. Have the transfer deeds verified from the company registrar.
Step 3. Bring the transfer deeds along with the physical shares to ZSL office.
Step 4. ZSL staff will fill out the share deposit request form.
Step 5. The account holder/person whose signature are endorsed on the transfer deed has to sign the share deposit request form and must retain a copy for his record.
Step 6. ZSL will send the physical shares along with the transfer deeds and share deposit request form to the company registrar.
Step 7. The company registrar will deface the share certificated and grant approval for CDC.
Step 8. Shares will be available in your CDC sub account with SSL as custody for future action/sale.
The entire process may take up to 8 weeks.
- Why account is deactivated?
This is due to a security feature. If there is no activity of buying/selling for more than a year, then the account becomes inactive and no more trading or withdrawal is allowed. You will have to contact us through your email account registered with us in order for it to become active again.
- Why account is blocked?
The account is blocked due to the following reasons:
1. Incomplete or missing documentations
2. Notice issued by SECP/CDC/PSX
3. Expired CNIC
4. Suspicious Trading activity
- What is the extent of margin provided by ZSL? What If any advance amount needs to be deposited?
You should have the entire amount in your account before you buy the shares. You can buy upto 3 times your net equity with ZSL. All trades will be settled on a T+1 day cycle. ZSl will not provide any margin trading facility; however you can trade in the margin trading system.
- How can i access online terminal?
Online trading system of ZSL is called BOS Trading Terminal. You can download it for free form our web portal www.zafarstocks.com and install it on your desktop (windows) Log in and password will be provided by ZSL on your email registered with us.
- What is the minimum/maximum no. of shares that can be bought?
There is no minimum or maximum of shares that can be bought at ZSL. But remember that you need to have to make full payment in order to settle your obligations with PSX. Its advisable to invest only that amount which is freely available and is at your disposal.
- What is the method of cash withdrawal/deposit in account?
You can only deposit cash up to Rs. 25,000 in your account. We do not pay cash in any accounts. You will only be provided a payee account check.
- There is an offer for students on your website that Rs.1000 would be given if trading is carried out subject to conditions, explain this offer.
“For students only. We want to see future investors of capital market grow. So young students who want to feel the trading environments get Rs. 1000 back from the commissions that they have paid to ZSL.
Following are the terms and conditions:
Valid for new accounts only with valid student ID, Provided the 25 trades are made within 15 days of account opening A trade is defined as having a minimum volume of 1000 shares at the same rate”.
- What are your commission charges in commodities market?
Commission is based on the contract; you are advised to discuss your slab with your account executive.
- How can i purchase IPO of companies?
You can participate in the book building process or apply for shares when the company goes for public subscription.
- How can i subscribe to right shares/bonus shares/preference shares?
Bonus shares are automatically credited to your CDC sub account; subject to fulfilling the tax requirements of FBR. Right shares have to be subscribed to by receiving the letter of rights from our CDc department and payment of the appropriate amount in the designated bank of the company. Your shares will than be available in your cdc sub account ; within 45 days thereof.
- How much can you reduce commission rates if these are negotiable?
We offer special discounts for large volumes.
- What if i don’t avail the offer of right shares/bonus shares/preference shares which are in my account?
The rights offer will lapse and the company may offer the same to anyone else.
- Can another account be opened in more than one brokerage firms?
Yes you may open account with other brokers; however all your accounts will be tagged by a unique identification number (CNIC).
- Can trading be done on client’s behalf?
Only authorized person can trade in your account. Power of attorney has to be given to that person
- How to deposit funds in account?
Either through on line fund transfer in any of our bank accounts or through cross check payee only account of Zafar Securities (Pvt.) Ltd.
- Explain your commission slab. Could you provide a commission slab which is easily understandable?
Commission is based on Slab system and vary on Share price. So for example if you were to purchase a share whose price is Rs. 5.50; than this price of share purchased falls in the slab range 0-10 and if your commission rate of this slab is Rs. 0.03 than your cost price will be Rs.5.53 per share. Similarly if you were to sell at Rs. 5.50 than your selling price will be Rs. 5.47. Please consult your slab to get further understanding. Also there are special discounts for day trading and we have different slabs for future and MTS trading.
- What is spot date ?
Right before the book closure of a company the PSX announces a spot date. This signifies that the all the trades falling on and after this date will be settled within 24 hours and will not be included in the t+2 settlement cycle. Check our trading chart.
- What is X- date?
Whenever there is an action (eg. dividend, right , bonus, AGM, EOGM Directors election.etc) the company announces a book closure date. For example a company announces 10% bonus shares. And book closure dates are 15 March to 18 March. The PSX will put the company on spot from 5th to the 14th and all the people in whose names the shares belong by the 15 March will be entitled to the 10% Bonus. So the x-date will be 15th. If you buy on the 15th you will not be entitled for the said bonus. Check our trading chart.
- Is commission charged per share?
Yes the commission is charged per share.
- In what stocks do you make us invest?
You should discuss your risk profile with our account executive and then make the investment.
- Is withdrawal of money made through cash or check?
We only make payee account checks and no cash is paid.
- Can you transfer funds directly to my bank account?
We only make payee account checks and can facilitate our valued clients by depositing money into their bank account.
- For how long can I hold shares?
You can hold shares as long as you desire. We have had some clients that have held physical shares since partition 1947. Even though these companies don’t exist now.
- Do you provide guarantee for investment?
No there are no guarantees in the capital market.
- Who will assist us?
You will be assigned an account executive who will assist you and provide you with regular updates.
- Whom to call if there is problem in trading?
You should call the IT department at 042-36372470-3 or your account executive and update him regarding the problems
- Is index trade able after formation of PSX?
Yes Index is trade able but very illiquid
- Do you offer same day trading facility?
Yes we offer discounted commissions on same day trading.
- What is “exposure available” option in trading terminal?
This is the amount of investment you are allowed based on your available custody and cash
- What is custody reduced value?
Custody reduced value is the value of your shares after applicable haircuts.
- What is The Stock Exchange?
The stock exchange provides a market place where shares can be bought and sold.
- What is the Role of the Stock Exchange?
The stock exchange admits companies for trading at their securities. It provides a market for raising capital by companies. It provides a market place for shares of listed public companies to be bought and sold, by bringing companies and investors together at one place. The exchange’s role is to monitor the market to ensure that it is working efficiently, fairly and transparently.
- How Many Stock Exchanges in Pakistan?
All stock exchanges (KSE, LSE,ISE) are marged into one stock exchange which is PSX (Pakistan Stock Exchange).
- What is Trading and Settlement?
The stock exchanges have introduced online trading system to provide a fair, transparent, efficient and cost effective market mechanism to facilitate the investors. The trading system comprises of four distinct segments, which are,
1.T+3 Settlement System;
2.Provisionally Listed Counter;
3.Spot Transactions; and
- What is T+3 Settlement System?
In the T+3 settlement system, purchase and sale of securities is netted and the balance is settled on the third day following the day of trade.
- What are the Benefits of T+3 Settlement System?
It reduces the time between execution and settlement of trades, which in turn reduces the market risk.It reduces settlement risk, as the settlement cycle is shorter.
- What is Provisionally Listed Counter?
The shares of companies, which make a minimum public offering of Rs.100 million, are traded on this segment from the date of publication of offering documents When the company completes the process of dispatch/credit of allotted shares to subscribers, through CDC it is officially listed and placed on the T+3 counter. Trading on the provisionally listed counter then comes to an end and all the outstanding transactions are transferred to the T+3 counter with effect from the date of official listing.
- What are Spot/T+1 Transactions?
Spot transactions imply delivery upon payment. Normally in spot transactions the trade is settled within 24 hours.
- What is Futures Contract?
A Futures contract involves purchase and sale of a financial or tangible asset at some future date, at a price fixed today.
- What are shares?
Each share represents a small stake in the equity of a company. You can buy large or small lots to match the amount of money you want to invest online. A company’s share price can rise or fall as a result of its own performance or market conditions. Once the shares are brought and transferred in your name your name will be entered in the company’s share register, which will entitle you to receive all the benefits of share ownership including the rights to receive dividends, to vote at the company’s general meetings to receive the company’s reports. If you decide to sell your shares you will need to deliver share certificates to the broker in time for the transaction to be completed. With the introduction of the Central Depository System (CDS), an investor can have shares in paper form or can own shares in an electronic book- entry form at the Central Depository Company (CDC).
- Why Do ZSL Issue Shares?
Companies issue shares to raise money from investors. This money is used for the development and growth of businesses of companies. A Company can issue different types of shares such as ordinary shares, preference shares, shares without voting rights or any other shares as are permissible under the law. These give shareholders a stake in the company’s equity as well as a share in its profits, in the form of dividends, and a voting right at general meetings of shareholders.
- Why Do Investors Buy Shares?
Studies have shown that over a twenty-year span, investment in shares has provided greater returns than most other forms of savings.ZSL Online shares trading can provide you with a regular stream of income through dividends as well as the potential for your investments to grow in value. If the prices of shares go up, you can sell them for more than you paid. This is called capital gain.
- What are Dividends?
Dividends are returns paid to shareholders out of the profits of the company. Returns can be in the form of cash or additional shares of the company called bonus shares. Dividends are usually paid once or twice a year depending upon the company’s profit distribution policy.
- What is Capital Growth?
This is one of the ways in which shares differ from deposit accounts. The principal amount of money you put in a bank or any fixed income savings scheme always stays the same e.g. if you start with Rs.100,000 you will always have Rs.100,000 (other than any interest earned). changes in value according to the performance of the company. With good management, the value of your investment in shares of a company can grow over time so that your shares are worth more than you paid for them. This is capital growth.
- What are Risks And Rewards?
Buying shares can offer advantages over saving in deposit accounts: your investment may increase in value besides paying you dividends. You share the rewards when the company does well and the price of the shares goes up. But if the company performs badly, the share price may go down and the value of your investment will be reduced. Other factors, such as the performance of the stock market as a whole and the general economic climate, may also affect the price of your shares. Investment in shares is therefore investment in ‘risk capital’. The shareholders can be rewarded for taking this risk and the potential return on your money can be higher than that on other investments. You can reduce your risks with careful planning.
- What to do if there is a price difference in shares in LSE & KSE?
We have unified in to PSX so there will only be the best price available all the time.
- How to transfer shares from sub-account to CDC investor account?
You can request our CDC department to transfer your specific shares to your CDC investors account or sign and send us your “standing instructions” to transfer all your holdings current and future to your CDC investor account.
- Who is a nominee?
In case of death of account holder the nominee is in charge of the account ZSL is bound to follow the instructions given by the nominee. If there is no nominee of the account than only a valid succession certificate will be considered as valid instructions. Further a nominee is the authority until the succession certificate is produced which states otherwise.
- What are IVR services?
“CDC access – IVR is a round-the-clock Interactive Voice Response system supported by a state-of-the-art call center, toll free number and dedicated customer support staff.
For callers in Pakistan, this facility is provided through 0800 – 23275 (CDCPL). Overseas callers can dial +9221-4326038. The IVR service is available 24/7 while the dedicated customer relationship representatives are available for assistance during office hours (9:00 am to 6: 30 pm PST – Monday to Friday).
The key activities provided through CDC access – IVR are as follows:
*Balance of a specific security
*Balance of last three active securities
*Balance of all securities
*Account Activity Report
*Cash Activity Report
*Requisition of Transaction Order (T.O) Book
*Change of contact numbers”
- How can I ensure that my shares are safe with you?
You will receive a sms/email alert every time there is movement in your account. Also you can visit your web account anytime and from anywhere to view your status. This account should match with your CDC sub account with ZSL. You should periodically match this with the print out of your CDC sub account
- How can i transfer shares from another brokerage house to your brokerage house?
Please fill out the CDC transfer request form and give it to the broker concerned. After due diligence the broker should transfer the shares to your account with ZSL. Please note that the account in both broker houses should match exactly.
- Do you provide guarantee for profits?
No there are no guarantees of profit in stock markets.
- I want to trade in Shariah Compliant shares, how can i do this?
There is a list of Shariah Compliant shares; however each bank/fund has its own method of judging. You can also review the Shariah-compliant stocks based index at PSX.
- Can you provide me a demo account for trading?
We can provide you with view only trading terminal and mobile app, you will only be able to view market information (rates) no trading is allowed. However SECP gives you a Stock Trading Simulator where you can also open demo account in which you can do dummy trading and view your account details and manage a dummy portifolio. Please visit http://jamapunji.pk/stock-simulator and register today. If you double your dummy money please apply for a job with us.
- How much profit can i make if I invest in stocks?
Profit are subject to investment risks. Always compare your investments to the benchmark index and factor opportunity costs.
- is there anything i need to learn before i start trading?
Learning never ends. Keep learning but start with the basics like effects of demand and supply on stocks
- who will teach me how to invest or trade as I am new in this field?
Yes we do. Please feel free to contact us on live chat or any of our contact numbers.
- Is any prior experience required for trading in stock market?
No not really, everyone has to start somewhere.
- Can i deposit/withdraw funds in/from LSE branch if I have an account at Johar Town Branch?
Yes you may receive your payee account check from any of our branches, provided you provide us with the appropriate instructions before hand
- Do you have any software like an auction platform I can use to host a virtual exchange where my members can trade electronic securities with each other if I list them?
No we don’t and you would require an exchange licence for SECP in order for it to be functional.
- Can i trade in PSX if I do not open account at any brokerage firm?
No, you can not.
- What is the tax charged on filers/non-filers?
Currently dividend income of the filers and non files have a differential of 5% So filers are charges at 12.5% and non filers at 17.5%
- What is rate of tax on dividend and capital gains? When is the account holder exempt from tax?
Dividend income is always taxed at source. Dividend income taxed at 12.5% Capital Gain tax depends on the holding period. If holding period is less than 1 year(365 days) than CGT 15% of the Net Gain and if holding period is more than 1 year but less than 2 year (730 days) than CGT is 12.5% of the Net Gain and if between 2 to 4 years (1,460 days) than 7.5% of the Net Gain finally there is no tax above 4 years holding period. Losses if any will have to be adjusted within that financial year and are not allowed to be carried forward.
- What to do if physical shares are to be transferred to my name?
The physical shares can be transferred into your name by filling out the verified transfer deed specific to the share certificate. After affixing the appropriate revenue stamp the share certificate along with these transfer deeds are sent to the company registrar. Who will endorse the share certificates in your name and return you the shares at the address provided on the transfer deed.
- What is your role as a broker?
The broker has a very important role in the capital markets. He is acting as a buyer/seller on your behalf or in his own capacity and is guaranteeing the settlement of the buy/sell trade.
- Do you provide counterfeit money via which we could do trading through demo account as that provided by Forex?
No we don’t and you would require an exchange licence for SECP/State Bank in order for it to be functional.
- What are bonus shares?
Bonus share are those shares that the company issues and are pari passu to the company shares however these have been paid up by the company from it earnings. Thus the shareholder does not have to subscribe to it by paying out of his own pocket. Basically these shares are free of cost for the shareholder.
- What are blue chip companies?
Normally Blue Chip companies are those stocks that have a history of paying out handsome dividends and have a consistent record of good corporate earnings.
- Has the timing of stock exchange extended after formation of PSX?
We have the same timings of PSX
- What is the base currency used for trading in PSX?
All rates are in PKR.