Saadat Wahid

A Contemporary Study on Stock Behavior of Financial Institutions: a Short Guideline for Investors Saadat Wahid

This book is, actually, an Applied Research, conducted for the global and local exchange investors, to analyze the stock performance of 7 categories of Pakistani financial institutions (FIs). The stock of 7 categories of FIs ? 25 commercial and 31 investment banks, 34 modarba companies, 22 mutual funds, 18 leasing companies, 3 life and 34 general insurance companies ? are examined with the help of 8 independent variables, i.e. KSE 100 index, stock capitalization, stock turn over per day, interest rate, SCRA, US Dollar, British Pound and Euro. Initial analysis conducted includes mutual correlation among 56 sets of 7 DIs and 8 IVs, descriptive statistics and changes in the values of index and stock of FIs and their volatility. This study resulted in 38 tables and their illustrations with graphs and figures. As the FIs in KSE are, basically, taken as investment vehicles, the analysis of their performance should be applied just as the initial homework for the intended investors in KSE. Output of the Research should not be taken as the sole source of information for the investment in the stock of FIs in KSE but just as the additional help to the investors.