Pakistan has introduced new rules allowing minors under 18 to open trading accounts on the stock exchange under the supervision of guardians. The initiative is a collaboration between the Pakistan Stock Exchange (PSX), the Central Depository Company (CDC), and the National Clearing Company of Pakistan Limited (NCCPL), guided by the Securities and Exchange Commission of Pakistan (SECP).
The guidelines aim to encourage financial awareness among youth and promote early investment habits. Guardians can manage the accounts until minors reach adulthood, ensuring a safe entry into the capital markets. The rules include step-by-step procedures, eligibility requirements, and safeguards for compliance and operational security.
Additionally, the framework explains how accounts will transition to standard trading accounts when minors turn 18, including any tax obligations associated with transferring holdings. This initiative is expected to broaden investor participation and nurture a financially literate next generation. Full details are available on the PSX website.
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