Press Release

VIS Reaffirms Broker Management Rating of Intermarket Securities Limited

Karachi, June 22, 2022: VIS Credit Rating Company Ltd. (VIS) has reaffirmed the Broker Management Rating of Intermarket Securities Limited (IMSL) at ‘BMR2+’. Outlook on the assigned rating is ‘Stable’. Previous rating action was announced on April 7, 2021.

The rating signifies adequate regulatory compliance and financial management, sound internal controls, compliance and risk management framework, HR, IT and client management while external control environment in considered strong.

Rating takes note of the Company’s adequate governance framework. Board is represented by four members along with independent representation. Increasing board size through addition of certified members may be considered for formation of independently represented board level committees. The Company’s internal control framework is sound, however, scope of internal policies may be enhanced in order to further strengthen the framework. External controls remain strong. Client management is sound, however, enhancing grievance recording procedures and making research reports available on website may further strengthen client servicing. During the year, some observations of margin compliances in client accounts were observed by PSX. Monitoring & rectification of the same will remain important for the rating, going forward.

Assessment of financial profile indicates improvement in earning profile of the Company on account of increase in core brokerage income, however, brokerage volumes remained subdued on account of lower trading volumes which has impacted profitability in HFY22. Liquidity profile remained adequate while capitalization indicators are sound. The Company’s exposure to market risk remains manageable, however, operational efficiency maybe improved through curtailing administrative expenses. Going forward, increasing market share, while improving operational efficiencies along with maintenance of capitalization indicators will remain important for rating.

For further information on this rating announcement, please contact Ms. Sara Ahmed (Ext: 207) at (021) 35311861-66 or email at

Sara Ahmed

Applicable Rating Criteria: Broker Management Ratings 2020

Information herein was obtained from sources believed to be accurate and reliable; however, VIS Credit Rating Company Limited (VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information.VIS , the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report.VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright 2022 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .

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