Liaqat Ali MC14-282

Usman Ashraf MC14 – 278

Presented By

INTERODUCTION

The investment Corporation of pakistan (ICP) was established through an ordinance

passed by Pakistan national assembly in February 1966. with the view to develop

the capital market of the Economy.

During the second five-year plan (1960-1965) investors lost their confidence. In the regime of Gen. Auyb Khan Government was working on the green Revolution at the same time it was also thought that the Pakistan also needed a support of industrial infrastructure therefore the investment corporation of Pakistan was established

Why ICP is Established

The privatization of the leftover ICP with an attractive investment portfolio passed through various stages .The privatization commission wanted to privatize it under its supervision .Certain legal and technical hitches ,there were never public , and eventually the state bank of Pakistan took up the responsibility

PRIVATIZATION

Authorized capital=Rs.200 Millions

subscribed Capital=Rs.100 Millions

(by the banks ,state life insurance and Pakistan Insurance Corporation)

SHARE CAPITAL

Authorized capital Subscribed Capital0

50000000

100000000

150000000

200000000

250000000

Capital

The corporation managed by Board of Directors consisting of eleven member

&A chairman and managing director are

appointed by Federal Government.

Management

To underwrite the issue of new securities and debentures .To promote and develop the capital market To help in the floatation of mutual funds To safeguard the stability of share marketTo promote industrial development in PakistanTo speedup economical growth in Pakistan

Objectives

•Lahore •Karachi•Islamabad •Rawalpindi•Faislabad•Pishawar

•Queta•Multan•Hydrabad•Sukhar

Branches

Functions Of ICP

It own Share CapitalInvestors money Issuance of Bonds and DebentureLong –term Loans Borrowing from different institution including SBP

Source of Funds

The annual reports reveals loans write Offs of more than Rs.27 million against companies that include a small amount against a well known NWFP family.

Write Off Loans

Shareholders

86%

14%

Banks & DFIs

Insurance Companies

Shareholders

UBLHBL

NBPMCB

ABLIDBP

Standard

Chartered ban

k

Citi Bank

NIT

Union Bank

Pakist

an Govt.

05

10152025 22.99

19.96 19.89

12.49

4.992 1.59 0.4 0.76 0.4 0.12

Shares Hold By Banks

The investment portfolio provided about 80% capital gains and 20% dividend incomes .

The biggest investment of Rs.254.37 million is in oil and gas followed by Rs228.92 million in the government securities .

Investment Portfolio

It is agreed that ICP has played an efficient role in the development and

maintenance of stability of capital market.

Summing Up