Under the Stock Exchanges (Corporatisation, Demutualisation and Integration) (Amendment) Act 2012, PSX is required to issue 15 TRE Certificates each year until 2025. A notice to that effect, under the said Act, is published in newspapers and also posted .
The applicant(s) desiring to apply for Trading Rights Entitlement Certificate (TREC) are required to submit a signed application at requesting issuance of TRE Certificate Application Form. The application is to be submitted at Admin Block, Pakistan Stock Exchange Limited, Stock Exchange Road, Karachi.
PSX will issue TRE Certificate Application Form to the applicant concurrently.
Upon approval of the application by the Chief Executive Officer of PSX, a Certificate is issued to the respective applicant.
For more information, please refer to chapter 4 of the Rule Book of Exchange.
The time period to submit the filled out and signed form, with the necessary documents, to PSX is 60 days from the date of issuance of the application form to the applicant.
The time period to approve or reject an application is 30 days from the date of submission of the Application to PSX.
A fee of Rs. 2.5 million for issuance of new TRE Certificate and a non-refundable application processing fee of Rs. 100,000/- is required to be paid through Pay Order in favour of PSX along with the Application.
The applicant must be a Public or a Private company, other than a Single Member Company, as defined in the Companies Ordinance, 1984 (XLVII of 1984).
The applicant must have a minimum issued and paid-up capital of Rs.50 million.
The Chief Executive of the applicant company must be a citizen of Pakistan and should not be on the board of any company whose principal activity is investing/ trading in securities market.
The directors/ sponsors/ substantial shareholders of the applicant have not held the office of the directors or have been sponsors/substantial shareholders in any company viz TRE Certificate Holder or a Member which had been declared defaulter or expelled by the Exchange or whose TRE Certificate has been cancelled/forfeited by the Exchange, prior to the date of demutualization. (Substantial shareholder is any shareholder having more than 10% shareholding)
At least two Directors of the applicant including the Chief Executive must have a minimum academic qualification of “Graduation” from a university duly recognized by the Higher Education Commission of Pakistan or foreign qualification of equivalent level and have experience of at least five years in the business of buying, selling or dealing in securities;
The applicant company must not be engaged in any business other than that of a Broker or other related business as approved by the Commission from time to time.
The applicant company must not be engaged in any business other than that of a Brokerage business or other related business as approved by the SECP from time to time.
An applicant company shall not be admitted as TRE Certificate Holder if any of their directors/sponsors/substantial shareholders:
Have been adjudged bankrupt or have been proved to be insolvent even though they may have obtained their final discharge;
Have compounded with their creditors for less than full discharge of debts;
Have been convicted of an offence involving a fraud or dishonesty;
Have been at any time expelled or declared a defaulter by a Stock Exchange/PMEX or it have been debarred from trading in securities by any regulatory authorities including SECP or any court of law.
A transferable TREC holder intending to transfer their TRE Certificate are required to submit a written application, duly signed by both the transferor and transferee, to PSX at Admin Block, Pakistan Stock Exchange Limited, Stock Exchange Road, Karachi, requesting PSX to issue a TRE Certificate Transfer Application Form.
TRE Certificate Transfer Application Form is issued to the applicant concurrently by PSX.
The transferor and transferee will fill and sign the application form and submit it along with required documents to PSX within 60 days of its issuance.
Upon approval by the Chief Executive Officer of PSX, a Notice of transfer of TRE Certificate is issued to the applicant.
More information, specifically documentation requirements for TRE Certificate transfer, is listed in