Press Release
VIS Upgrades Broker Management Rating of Insight Securities (Private) Limited
Karachi, August 03, 2026: VIS Credit Rating Company Ltd. (VIS) has upgraded Broker Management Rating of Insight Securities (Private) Limited (‘INSL’ or ‘the Company’) to ‘BMR2+’ from BMR2. Outlook on the assigned rating is ‘Stable’. Last rating action was announced on June 16, 2025.
The rating signifies strong compliance and risk management, and external control framework. Supervision framework, client relationship and fairplay, HR and infrastructure, and financial management are considered sound, while regulatory requirements and internal controls are considered adequate.
Insight Securities (Private) Limited was incorporated in 2006. Insight Securities provides equity brokerage services in ready and future market to local retail clients and institutional clients. The Company holds Trading Rights Entitlement Certificate (TREC) for Trading & Self Clearing Services granted by Pakistan Stock Exchange Limited (PSX). External auditors of the company are M/s Grant Thornton Anjum Rehman Chartered Accountants. External auditors belong to category ‘A’ on the approved list of auditors published by the State Bank of Pakistan (SBP). The Company operates from Karachi and provides both online and assisted trading services to its clients.
The rating upgrade reflects improvement in the Company’s client relationship and fairplay, with customers having ready access to their trading positions through the online trading application. The Company also has an ERP platform in place for back-office operations, along with prompt trade execution alerts. The rating upgrade further takes into account the Company’s strong compliance and risk management framework, with no leverage products offered, thereby limiting its exposure to credit risk. However, the rating continues to take note of areas for improvement in the Company’s governance framework, particularly through increasing the board size, inclusion of independent and certified directors, and formation of additional board-level committees. The Company may also consider expanding its geographical footprint to increase client outreach and support business development activities. Contingency measures are in place. Enhancement in the scope of internal policies may further strengthen the internal control framework of the Company. Furthermore, periodic reviews of the order recording system may further enhance the Company’s internal controls.
Assessment of the financial profile of the Company reflects a strong profitability profile, supported by higher income from realized gains on sale of investments, followed by growth in brokerage revenue, in line with overall positive industry trend. The cost-to-income ratio of the Company is considered at fair level. The Company’s liquidity profile is considered sound, while exposure to market risk remains elevated. The capitalization profile of the Company draws support from low-leveraged balance sheet, with no interest-bearing debt, along with a sizeable equity. Going forward, Company’s ability to enhance and diversify its revenue streams, managing market risk, maintaining operational efficiency, liquidity and capitalization profile will remain important for the rating.
For further information on this rating, please contact 021-35311861-64 or email at info@vis.com.pk.
Applicable Rating Criteria: Broker Management Ratings:
https://docs.vis.com.pk/Methodologies-2025/Broker-Management-2025.pdf
VIS Rating Scale
https://docs.vis.com.pk/docs/VISRatingScales.pdf