KARACHI (October 08 2006): The Board of Directors of Karachi Stock Exchange (KSE) has formally approved all changes agreed at the meeting between Securities and Exchange Commission of Pakistan (SECP) and KSE held at Islamabad last month.

The meeting also reviewed the implementation mechanism of these changes according to the directives of SECP. The Board held a meeting under the chairmanship of Zafar A Khan, Chairman, KSE, here on Saturday.

The concern officials were issued to make appropriate changes in Karachi Automated Trading System (KATS) so that short selling in futures counters could be started from November next.

The meeting asked the experts to prepare a presentation on VAR that is expected to be delivered by Tuesday or Wednesday. It is learnt that the KSE is likely to recommend some amendments in regulations for 'netting'. However, the final decision would be taken after attending the presentation on VAR (value at risk), the new risk management system.

The meeting approved the amendments in the regulations of existing financing system under Continuous Funding System (CFS) which would be implemented in four phases with the enhancing CFS cap of Rs 55 billion from existing Rs 25 billion.

Copyright Business Recorder, 2006