PSX Sahulat Account investment limit increased to Rs3 million

ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has increased the investment limit for Sahulat Accounts at the Pakistan Stock Exchange (PSX) from Rs1 million to Rs3 million, bringing it in line with limits allowed in the banking sector.

The move aims to make stock market investment easier and more accessible for small retail investors.

The SECP has also allowed investors to open Sahulat Accounts with multiple licensed securities brokers, offering greater flexibility in choosing brokerage services. However, investors will be allowed to maintain only one Sahulat Account with each broker, according to a press release issued on Saturday.

The reform aligns the framework with practices followed in the banking and mutual fund sectors.

The Sahulat Account was introduced to enable small investors to participate in the stock market through a simplified and user-friendly account opening process.

Under the facility, individuals can open a brokerage account with a licensed securities broker by submitting only their Computerised National Identity Card (CNIC), significantly reducing documentation requirements.

The initiative is particularly beneficial for low-risk retail investors and first-time market participants who may previously have been discouraged by complex account-opening procedures.

Currently, all licensed securities brokers offer Sahulat Accounts, which can also be opened online, improving convenience and accessibility for investors across the country.

Individuals categorized as low risk through a broker’s risk assessment process may open these accounts, with brokers applying simplified due diligence measures.

According to SECP data, there are 542,748 individual sub-accounts in the market. Of these, 144,634 are classified as Investor Accounts (Individual), which also include investors under the Roshan Digital Account (RDA) initiative.

The commission said it will continue introducing reforms to simplify investment processes, encouraging young investors to participate in Pakistan’s formal capital market instead of experimenting with unregulated and unauthorised foreign investment platforms.