Rating Details	Rating Type	BFR
	Dissemination Date	Current (21-Mar-25 )	Previous (22-Mar-24)
	Action	Maintain	Initial
	Rating	BFR 3	BFR 3
	Outlook	Stable	Stable
	Rating Watch	-	-

Rating Rationale	Factor	Comment
	Ownership	Dr. Arslan Razaque holds the majority ownership of the Company, with a stake of 99.98%. This ownership structure is viewed positively due to the strong financial position of the primary sponsor.
	Governance	The Board of Directors (BoD) of DARPL comprises three members: CEO Mr. Arslan Razaque, his wife Mrs. Rabia Razaque, and his brother Mr. Ali Razaque. In the future, the inclusion of an independent dire
	Management and Client Services	Management and client services of the Company are in-line with the Company's size and focus towards proprietary investment book. The Company's strategy to focus on retail customers in the future may l
	Internal Controls and Regulatory Compilance	Regulatory compliances are overseen by a head of compliance. Internal controls are strengthened with the presence of an internal auditor. Whereas having better formed policies and internal procedures
	Business Sustainability	The Company has a limited presence in the brokerage sector, primarily leveraging the market connections of its primary sponsor. Nevertheless, the effective management of its proprietary investment por
	Financial Sustainability	Liquidity indicators are considered adequate, with minimal credit risk exposure on the books; however, proprietary book exposes the Company to market risk. The Company has a low-leveraged capital stru

Key Rating Drivers

Dr. Arslan Razaque Securities (Pvt.) Limited ('DARPL' or 'the Company') adopts a strategic approach to managing its brokerage operations. Under the leadership of CEO Dr. Arslan Razaque, the Company effectively manages its proprietary investment portfolio, resulting in consistent realized gains. Going forward, enhancements in the organizational structure and client services may be required, particularly as the Company shifts its focus towards retail customers. At the same time, diversifying the topline and ensuring long-term profitability remain critical priorities.

About the Entity
	Legal Structure	Private Limited
	Year of Establishment	24-May-06
	Type of License	Trading and Self-clearing
	Majority Ownership	Dr. Arslan Razaque (99.98%)

Regulatory Disclosures	Analyst	Applicable Criteria	Related Research
	Usama Ali usama.ali@pacra.com +92-42-35869504 www.pacra.com	Assessment Framework | Broker Fiduciary Rating | Jan-25	Sector Study | Brokerage Firms | Feb-25

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