Press Release

VIS Reaffirms Broker Management Rating of BIPL Securities Limited

Karachi, March 2, 2021: VIS Credit Rating Company Ltd. (VIS) has reaffirmed the Broker Management Rating of BIPL Securities Limited (BIPLS) at ‘BMR2+’. Outlook on the assigned rating is ‘Stable’. Previous rating action was announced on March 31, 2020.

The rating signifies strong HR & infrastructure, sound regulatory framework, internal & external controls, client relationship management, and compliance levels whereas financial management is considered adequate.

Assigned rating takes into account BIPL’s improvement in net capital balances and sound board governance levels, however; formation of risk management committee would bode well in best corporate governance practices. On the internal control front, a separate conflict of interest policy may be included to strengthen the overall control framework. Holding period needs to be extended in employee trading guidelines while blackout periods for institutional and corporate trade are practiced. Control functions are autonomous and compliance of regulations is considered sound. The company does not maintain a propriety book which is aligned with best international practices. Given the increase in core brokerage income, earning profile has improved during 9MFY20 while cost-to-income ratio has improved by 59%; however, still remains on the higher side.

For further information on this rating announcement, please contact Mr. Muhammad Tabish (Ext: 204) or the undersigned (Ext: 306) at (021) 35311861-66 or email at info@vis.com.pk








Faryal Ahmad
Deputy CEO

Applicable Rating Criteria: Broker Management Ratings July 2020
https://s3-us-west-2.amazonaws.com/backupsqlvis/docs/BMR202007.pdf

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 2021 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .