Arslaan Asif Soomro

Arslaan Asif Soomro

The author has a degree in Investment Management from Cass Business School, London and has also obtained CFA and FRM qualifications. He is currently working as a Senior Advisor to Swedish based Tundra Fonder AB. He tweets at @AAHSoomro (twitter.com/AAHSoomro)

Why UBL’s CEO gets to earn Rs2 crore per month and you don’t

He earns Rs2 crore a month? A one off compensation worth Rs100 million. That is quite an unbelievable sum. And in case you’re wondering, this is not Wells Fargo or JP Morgan, neither is it an emerging market; he is the outgoing CEO of United Bank Limited (UBL) in our poverty stricken nation, Pakistan. A lot of eyebrows must have risen while skimming through the recent news published on the highest paid CEOs in Pakistan. While the big boys rejoice and share a laugh or two on their take-home salary increase, a vast majority remains astonished at the startling distribution of wealth. Let’s look at the purpose ...

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The Karachi stock market is not a casino, Pakistan – stop gambling!

“Becho, becho” (Sell, sell) “Lay maal”  (Take the stock) “Karachi stock market mein shadeed mandee (decline)” “Shares key karobaar mein hazaar point ki kami”  (A 1,000 point drop in shares) Such are the headlines across the media nowadays which happens to be the topic of discussion among many. Meanwhile, the broader Index, KSE 100, declined by an eye-popping 17.5% from 35,055 points to 28,927 points in less than two months. For many, this is another bad experience, but for some, it has turned out to be an exciting opportunity. Like any doctor who sees a sick patient, we must first assess the rational reasons behind the steep fall. Sometimes, the doctor correctly identifies ...

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What will happen to the stock market if the PM resigns?

In 2007, I underwent a six-hour-long marathon panel interview at the London office of one of the (then) largest hedge funds in Europe called XYZ Capital*. A senior partner – perhaps a PhD holder – drew the entire map of the Middle East, East Asia and Europe, and tested my knowledge about the current affairs of each country turn by turn. After a gruelling session, the partner remarked, “An investor may have the best of quantitative minds but markets don’t make sense if the political factors don’t make sense.” I engraved it then but have only felt it now. Surviving through the minor speed breakers ...

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Pakistan budget 101: How comfortable does the future look?

Each family manages its affairs by assessing the financial health and consequently, deciding the expenditures correspondingly. Striving to balance between the present and future lifestyle, we all inadvertently end up ‘budgeting’ our lives to the best of our understanding. While we fail to criticise our individual budgeting misnomers, nonetheless, we anxiously wait for the honourable finance ministers to present the country’s financial outlay and shape our future every year. After all, the government bears the (ir) responsibility of our well-being, doesn’t it? Let us break the budget for the Fiscal Year 2014-15 in a crystallised form for us to pin-point the eventual impact ...

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Pakistan’s Stock Market: A lost investment opportunity?

The phrase ‘stock market’ has a charm around it, which grabs the attention of almost any listener anywhere in the world. In Pakistan, however, it portrays a picture of an exclusive club for the aristocrats who bet their easily earned fortunes in the corporate bazaar. However, perceptions are often incorrect and the same is the case with the Pakistan’s stock markets, where the consequences usually involve lost opportunities to rake in money. A recently published report in The Economist concluded that the proportion of capital to labour is rising in developing economies. Simply put, to employ your human capital, as an entrepreneur, provides more financial ...

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