LSE seeks full-fledged settlement guarantee system

The Lahore Stock Exchange (LSE) has demanded the National Clearing Company immediately introduce the settlement guarantee system in Pakistan to cover the counter party risk resulting from lack of commitment by any of its clearing members for smooth settlement operations for a whole range of market instruments.

In a letter addressed to the National Clearing & Settlement Company (NCCPL)—the central clearing and settlement company established in Pakistan during 2003—LSE has stated that since the inception of the NCCPL, no such central counter-party mechanism with full settlement guarantee has been established whereby it could be possible to meet the obligations of failing members from within the resources created by the NCCPL.

KSE seeks brokerage houses data

The Karachi Stock Exchange (KSE) has urged its members to submit trading data of their brokerage houses for the period January to July 2006, by March 9, said a notification issued here on Tuesday.

The KSE made the announcement on the directives of the SECP. The KSE also asked its members to provide details of their clients along with trading data.

In response, the KSE members rejected the notification, saying the KSE held all the day-to-day data that it demanded from them.