Have you ever wanted to invest in stocks, but have held back because the process seems too intimidating and confusing? Well, the Securities and Exchange Commission of Pakistan (SECP) has just made it easier for resident and non-residents to invest in stocks. All you have to do is open and online account with the SECP, by following the steps in this article.
The SECP recently approved a framework to enable interested investors to open online accounts linked to the capital market. As part of the SECP’s digital transformation agenda, the framework will allow investors to open accounts with a broker without having to go through the hassle of submitting documents physically.
Here is a step-by-step explanation of how an investor can open an online account with SECP, according to the Commission’s updated digital mandate:
- The customer accesses the website of the brokerage account and selects the online account opening option.
- A webpage will open, requesting the customer to provide CNIC/NICOP/POC number, IBAN, Email Address, and Mobile number.
- The information will be forwarded to the NCCPL for verification, and One Time Password (OTP) will be generated.
- The customer will receive OTP on the mobile number and/or email. After entering the OTP, the account opening form will open.
- The customer will fill the form electronically, agree to the terms and conditions, and attach scanned copies of supporting documents listed on the page and submit.
- The broker will register the UIN of the customer with NCCPL, and open the trading account.
- NCCPL will send an SMS or Email to the customer, informing about the opening of the account.
- The customer will send an acknowledgment to the NCCPL.
The new framework is expected to revolutionize the country’s capital markets and contribute towards the growth of a healthy investment environment.
For more information on SECP’s services, you can head over here.