In line with its objectives of inculcating good governance practices, promoting investor protection and having skilled personnel providing recommendation to investors of the capital market, the Securities and Exchange Commission of Pakistan (SECP) has prescribed certification requirement for all persons who are involved in preparation and distribution of research reports to the public.

Such persons will be required to obtain the Research Analysts Certification offered by the Institute of Financial Markets of Pakistan. All existing research analysts have been given six months to obtain the said certification, while new entrants will be required to obtain such certification within six months of intimation to the SECP as a research analyst/research entity.

The certification requirement will also be applicable to chief executive or head of research function of the entities involved in research report publication. The certification requirement will promote investor protection by subjecting market intermediaries involved in providing research and advice to minimum standards, and also bring Pakistani capital market on a par with global jurisdictions.