History
The index was launched in late 1991 with a base of 1,000 points. By 2001, it had grown to 1,770 points. By 2005, it had skyrocketed to 9,989 points. It then reached a peak of 12,285 in February 2007.[1] KSE-100 index touched the highest ever benchmark of 14,814 points on December 26, 2007, a day before the assassination of former Prime Minister Benazir Bhutto, when the index nosedived.[2] The index recovered quickly in 2008, reaching new highs near 15,500 (citation needed) in April. However, by November 22, 2008 during the global financial crisis of 2008 it had fallen to 9,187.[3]
Top 30 KSE 100 Index companies
The following is a list of 30 companies with the highest market capitalization volume and their respective weightages in the index and account for over 80% of the KSE index as of February 20, 2008:
| Number | Company Name | Weightage (%) | Market Capitalization (PKR) |
|---|---|---|---|
| 1 | OGDCL | 14.14 | 550,948,930,000 |
| 2 | MCB | 7.17 | 279,583,150,000 |
| 3 | National Bank of Pakistan | 5.43 | 211,726,900,000 |
| 4 | Pakistan Petroleum | 5.06 | 197,201,080,000 |
| 5 | Standard Chartered Bank | 4.41 | 171,704,800,000 |
| 6 | PTCL | 4.28 | 166,810,800,000 |
| 7 | United Bank Limited | 4.13 | 161,025,160,000 |
| 8 | Jahangir Siddiqui & Company | 2.66 | 103,600,000,000 |
| 9 | Pakistan State Oil | 2.08 | 81,034,440,000 |
| 10 | Allied Bank Limited | 2.01 | 78,371,670,000 |
| 11 | Nestlé Pakistan | 1.93 | 75,280,250,000 |
| 12 | Pakistan Oilfields | 1.71 | 66,824,220,000 |
| 13 | Fauji Fertilizer Company | 1.68 | 65,607,390,000 |
| 14 | ABN AMRO | 1.63 | 63,666,370,000. |
| 15 | Engro Chemical | 1.45 | 56,492,990,000 |
| 16 | Arif Habib Securities | 1.40 | 54,660,000,000 |
| 17 | NIB Bank | 1.27 | 49,320,250,000 |
| 18 | Kot Addu Power Company | 1.19 | 46,565,400,000 |
| 19 | EFU General Insurance | 1.16 | 45,300,000,000 |
| 20 | Bank of Punjab | 1.13 | 43,869,030,000 |
| 21 | Fauji Fertilizer Bin Qasim | 1.06 | 41,474,480,000 |
| 22 | Bank Alfalah | 1.03 | 39,975,000,000 |
| 23 | Adamjee Insurance | 1.01 | 39,258,300,000 |
| 24 | Pakistan Tobacco Company | 0.99 | 38,707,280,000 |
| 25 | Sui Northern Gas Pipelines | 0.98 | 38,300,100,000 |
| 26 | Hub Power Company | 0.98 | 38,128,240,000 |
| 27 | Dawood Hercules Chemicals | 0.91 | 35,549,620,000 |
| 28 | Habib Metropolitan Bank | 0.91 | 35,354,280,000 |
| 29 | EFU Life Assurance | 0.89 | 34,750,000,000 |
| 30 | Lucky Cement | 0.86 | 33,593,480,000 |
Market Indices
KSE began with a 50 shares index. As the market grew a representative index was needed. On November 1, 1991 the KSE-100 was introduced and remains to this date the most generally accepted measure of the Exchange. The KSE-100 is a capital weighted index and consists of 100 companies representing about 90 percent of market capitalization of the Exchange. In 1995 the need was felt for an all share index to reconfirm the KSE-100 and also to provide the basis of index trading in future. On August 29, 1995 the KSE all share index was constructed and introduced on September 18, 1995.
Monthly Performance
Market monthly performance during the period January 2006 to October 2009 is given under with high rated index showing in bold text. The highest ever closing for KSE 100 Index was achieved at 15,676.34 points on 18 April, 2008.[4]
Following a staggering loss of 42 per cent in four months (April 2008 to August 2008), the regulators had put planks under the KSE-100 index at 9,144 points on August 28, 2008 to prevent a further fall. The floor was finally removed on December 15, 2008 that had brought the bourse to a virtual halt for more than 100 days.[5]
| Number | Volume | Index | Date |
|---|---|---|---|
| 1 | 402,639,040 | 9,672.47 | 02/01/2006 |
| 2 | 805,494,080 | 10,497.07 | 01/02/2006 |
| 3 | 761,960,000 | 11,473.99 | 01/03/2006 |
| 4 | 387,000,896 | 11,573.94 | 03/04/2006 |
| 5 | 331,884,928 | 11,572.94 | 02/05/2006 |
| 6 | 251,317,072 | 10,183.77 | 01/06/2006 |
| 7 | 152,448,096 | 9,603.71 | 03/07/2006 |
| 8 | 284,526,880 | 10,507.09 | 01/08/2006 |
| 9 | 171,682,624 | 10,170.97 | 01/09/2006 |
| 10 | 224,694,528 | 10,616.24 | 02/10/2006 |
| 11 | 310,985,696 | 11,011.13 | 01/11/2006 |
| 12 | 172,052,400 | 10,388.19 | 01/12/2006 |
| 13 | 39,200,120 | 10,066.68 | 03/01/2007 |
| 14 | 480,905,216 | 11,349.44 | 01/02/2007 |
| 15 | 229,188,400 | 11,207.64 | 01/03/2007 |
| 16 | 73,447,224 | 11,277.13 | 02/04/2007 |
| 17 | 431,508,448 | 12,433.76 | 02/05/2007 |
| 18 | 460,166,784 | 12,933.66 | 01/06/2007 |
| 19 | 471,708,992 | 13,929.70 | 02/07/2007 |
| 20 | 326,983,008 | 13,689.03 | 01/08/2007 |
| 21 | 179,963,648 | 12,233.14 | 03/09/2007 |
| 22 | 367,242,752 | 13,737.74 | 01/10/2007 |
| 23 | 328,071,488 | 13,932.41 | 01/11/2007 |
| 24 | 137,879,220 | 13,925.59 | 03/12/2007 |
| 25 | 375,074,240 | 13,666.85 | 01/01/2008 |
| 26 | 151,358,160 | 13,974.40 | 01/02/2008 |
| 27 | 196,083,660 | 14,816.50 | 03/03/2008 |
| 28 | 218,399,820 | 15,210.17 | 01/04/2008 |
| 29 | 257,965,456 | 14,956.82 | 02/05/2008 |
| 30 | 169,125,456 | 12,281.20 | 02/06/2008 |
| 31 | 60,751,820 | 12,221.53 | 01/07/2008 |
| 32 | 72,835,000 | 10,171.39 | 01/08/2008 |
| 32 | 23,691,000 | 9,210.15 | 01/09/2008 |
| 34 | 1,560,000 | 9,178.97 | 06/10/2008 |
| 35 | 457,000 | 9,183.14 | 03/11/2008 |
| 36 | 102,000 | 9,187.10 | 01/12/2008 |
| 37 | 75,434,000 | 5,753.18 | 01/01/2009 |
| 38 | 177,668,000 | 5,333.95 | 02/02/2009 |
| 39 | 85,351,000 | 5,681.29 | 02/03/2009 |
| 40 | 207,282,000 | 6,931.90 | 01/04/2009 |
| 41 | 123,539,000 | 7,062.25 | 04/05/2009 |
| 42 | 112,955,000 | 7,210.34 | 01/06/2009 |
| 43 | 104,614,000 | 7,270.72 | 01/07/2009 |
| 44 | 127,459,000 | 7,716.99 | 03/08/2009 |
| 45 | 302,831,000 | 8,769.24 | 01/09/2009 |
| 46 | 222,370,000 | 9,301.18 | 01/10/2009 |
Impact of 2008 Economic/Political Crisis on KSE 100 Index
- April 20 : Karachi Stock Exchange achieved a major milestone when KSE-100 Index crossed the psychological level of 15,000 for the first time in its history and peaked 15,737.32 on 20 April, 2008. Moreover, the increase of 7.4 per cent in 2008 made it the best performer among major emerging markets.[6] [7]
- May 23: Record high inflation in the month of May, 2008 resulted in the unexpected increase in the interest rates by State Bank of Pakistan which eventually resulted in sharp fall in Karachi Stock Exchange.[8] [9]
- July 17 :Angry investors attacked the Karachi Stock Exchange in protest at plunging Pakistani share prices. [10] [11]
- July 16 : KSE-100 Index dropped one-third from an all-time high hit in April, 2008 as rising pressure on shaky Pakistan's coalition government to tackle Taliban militants exacerbates concern about the country's economic woes. [12]
- August 18: KSE 100 Index rose more than 4% after the announcement of the resignation of President Pervez Musharraf but Credit Suisse Group said that Pakistan's Post-Musharraf rally in Stock Exchange will be short-lived because of a rising fiscal deficit and runaway inflation. [13] [14]
- August 28 :Karachi Stock Exchange set a floor for stock prices to halt a plunge that has wiped out $36.9 billion of market value since April. [15]
- December 15: Trading resumes after the removal of floor on stock prices that was set on August 28 to halt sharp falls. [16]
