Press ReleasePACRA Maintains Broker Fiduciary Rating of Zafar Securities (Pvt.) Limited
|Current (09-Mar-23 )
|Controlling stake is held by Mr. Syed Asim Zafar, the CEO, with ~80% of the shares while the other directors hold minority shareholding.
|The Company has increased its board size to 5 members with the addition of two non-executive directors, strengthening the governance framework.
|Management and Client Services
|A lean organizational structure is present with an experienced management team. Client services may be improved with the addition of a research department.
|Internal Controls and Regulatory Compliance
|Separate internal audit and compliance departments exist; however, increasing the depth of the departments may improve the internal controls framework further.
|There is product and geographic concentration present in the top line of the Company. ZSPL may look towards diversification to improve its concentration risk.
|The equity base of the Company is adequate for its scale of operations. The equity stood at ~PKR 252mln at end-Jun'22 and at ~PKR 249mln at end-Dec'22.
|Key Rating Drivers
|About the Entity
|Year of Establishment
|Type of License
|Trading and Self-clearing
|Mr. Syed Asim Zafar | ~80%
| Afnan Iqbal
Methodology | Broker Fiduciary Rating | Jan-22
Sector Study | Brokerage & Securities | Jan-23
|This press release is being transmitted for the sole purpose of dissemination through print/electronic media. The press release may be used in full or in part without changing the meaning or context thereof with due credit to PACRA. The primary function of PACRA is to evaluate the capacity and willingness of an entity to honor its obligations. Our ratings reflect an independent, professional and impartial assessment of the risks associated with a particular instrument or an entity. PACRA opinion is not a recommendation to purchase, sell or hold a security, in as much as it does not comment on the security's market price or suitability for a particular investor.