Call for an Investigation

This is concerning a rally of fourteen thousand four hundred and four points in one hundred and nine days. This rally started after August 16, 2019, the day on which Pakistani Businessmen met with the Chief of Army Staff, and the rally ended on 17th day January 2020

It is being said in the market that some Individuals booked hefty gains during this rally of 109 days and the role Mutual Funds during this rally was not only suspicious but contrary to safeguarding the interests of the Ordinary Unit Holders and Investors.

A cursory look over the consolidated data for aforementioned period would reflect that market capitalization rose 12 billion dollars between August 16, 2019 and January 17, 2020 and it lost for about 11 billion dollars until Feb 26, 2020 i.e. the day when Pakistan encountered the first case of Corona virus.

Given this age of automation and availability of data with NCCPL, it is very easy for any investigative agency including the NAB and Securities and Exchange Commission to find out and refute the impression that certain individuals booked unlawful gain with the connivance of Mutual Funds else/otherwise take the misnomers to the task as enshrined by the law.

The cumulative positions when calculated on the base date of August 16, 2020 depicted that Mutual Funds bought when Individuals were selling and were selling when Individuals were buying

This pattern of multiple-contra-styled buying and selling during the period of August 16, 2019 and January 17, 2020 emphasizes that Mutual Funds were buying at low and selling high, which becomes further disturbing when such patterns also suggest that Individuals by sheer luck or whatever, were either taking contra-position or were able to square up their earlier contra-positions at behest of the Mutual Funds.

trend of a month.

An investigation into the trade-level-data of mutual funds and individual category UINs is a befitting need of the hour that apex regulator and Ministry of Finance should consider