AGL38▲ 0.18 (0.00%)AIRLINK132.2▼ -1.03 (-0.01%)BOP5.63▼ -0.01 (0.00%)CNERGY3.81▲ 0.04 (0.01%)DCL8.85▼ -0.01 (0.00%)DFML40.8▼ -0.14 (0.00%)DGKC88.3▼ -1.39 (-0.02%)FCCL35.2▲ 0.14 (0.00%)FFBL66▼ -0.54 (-0.01%)FFL10.4▲ 0.27 (0.03%)HUBC108.8▲ 2.24 (0.02%)HUMNL14.16▲ 0.83 (0.06%)KEL4.85▲ 0 (0.00%)KOSM6.84▲ 0.04 (0.01%)MLCF41.87▲ 0.34 (0.01%)NBP58.5▼ -0.15 (0.00%)OGDC180.9▲ 0.26 (0.00%)PAEL25.59▼ -0.03 (0.00%)PIBTL5.91▲ 0.11 (0.02%)PPL146.9▼ -0.87 (-0.01%)PRL23.3▲ 0.14 (0.01%)PTC15.47▲ 0.27 (0.02%)SEARL68.18▼ -0.51 (-0.01%)TELE7.2▼ -0.03 (0.00%)TOMCL35.75▼ -0.19 (-0.01%)TPLP7.55▲ 0.19 (0.03%)TREET14.28▲ 0.13 (0.01%)TRG50.6▼ -0.15 (0.00%)UNITY26.64▲ 0.19 (0.01%)WTL1.22▲ 0.01 (0.01%)

SECP enhances investment limits for insurance companies to invest in ETFs

Share
Tweet
WhatsApp
Share on Linkedin
[tta_listen_btn]

The Securities and Exchange Commission of Pakistan (SECP), to encourage participation of insurance companies in the Exchange Traded Fund (ETF) market, has allowed insurance companies to invest in open-ended mutual funds including ETFs.

After these new amendments to the Insurance Rules, 2017, the insurance companies have now been allowed to invest 10% of their total investments in any one open-ended mutual fund including units of ETF. If insurance companies choose to invest in a mutual fund and ETF, managed by the same Asset Management Company (AMC) it may invest maximum up to 15% of their total investments.

Furthermore, if insurance companies already have investments with an AMC, they may also invest additional 5% of their total investments in ETFs offered by that AMC. The insurance companies’ participation in the capital market, as institutional investors, will strengthen Pakistan’s capital market. The SRO1011(I)/2022, to effect amendments to the Insurance Rules, 2017 and to notify the admissibility limits for investment in the ETFs, has been placed on SECP’s website.

 

Related Posts