Roshan Digital Account

Roshan Equity Investment

Invest in PSX through Roshan Digital Account, Overseas Pakistanis can now invest on Pakistan Stock Exchange (PSX) through their Roshan Digital Account. This is a great opportunity for non-resident Pakistanis to invest in Pakistan’s capital market and take advantage of the competitive returns on offer by PSX while participating in the growth of their native homeland’s economy. Overseas Pakistanis can choose from a wide array of companies listed on the Exchange in several different sectors, and build their investment portfolio.

Roshan Digital Account is an initiative by the State Bank of Pakistan to facilitate Non-Resident Individual Pakistanis (NRIPs) in opening a digital/online bank account with SBP designated Meezan Bank.

for details click at the link Meezan Bank (Invest in PSX)

There is no need to visit a bank branch or the consulate/embassy. You may directly reach the RDA section of Meezan bank’s website.

Open Roshan Equity Investment Account by selected WEFS

Once the MRDA PKR account is opened investors can select WEFS LINK (Digital Services Meezan Bank (CDC) to open an REI account for investment in PSX.

Some Key Restraints in Sharia Compliant Trading

All Roshan Digital Accounts being processed through Meezan Bank would only be allowed Sharia Compliant Trading;

  1. Can only trade in a total of 250 plus companies, currently being considered as Sharia Compliant, out of a total of 530 plus companies listed at the PSX.
  2. Cannot day trade or sell any stock even on the very next day of purchasing i.e. before it is delivered into your CDC account on the T+2 settlement mechanism.
  3. Cannot trade in Right Shares (being considered as Non-Compliant by nature)
  4. Strictly cash-based and any kind of leveraged trading is not allowed except sharia-compliant financing only.
Account Opening Process
Account validation

Enter your PKR – Roshan Digital Account number and OTP for validation

Select WE Financial Services Ltd. As your brokerage firm

Accept the mentioned Terms and Conditions

This will enable the Bank to share your information with WEFS to open your brokerage account & CDC depository account

Add funds into your RDA brokerage account

This will transfer funds from your PKR – Roshan Digital Account to your CDC account and enable you to invest i.e., buy and sell stocks

Account opening Flow
  • Non-Resident Pakistani (NRP) approaches any of the designated Bank’s online portal.
  • NRP submits details and soft copies of documents to Bank through portal.
  • On the basis of the information provided by NRP, designated bank will perform its own KYC and due diligence and confirm the status of account opening to the NRP in 48 hours.
  • After opening of the RDA, Bank will provide NRP the option of investing in the following asset classes:
    1. Naya Pakistan Certificates
    2. Stocks (equities, debt, others)
  • In case NRP selects “Stocks/CDC” for the mode of investment, Bank will:
    1. ask the NRP to give consent to allow the bank to share his/her information and soft copies of documents with CDC and subsequently with other Stock market entities.
    2. obtain agreement of NRP on terms & conditions of Custody and Trading Accounts and will ask the NRP to accept the terms & conditions.
    3. select a brokerage house (names of all brokerage houses eligible for the service and connected with CDC will be available on the Bank’s portal for NRP).
  • Bank will transmit the aforementioned details and soft copies of documents of NRP along with IBAN to CDC (through API or other electronic mechanism).
  • CDC will send an email intimation to NRP of receiving the information from the Bank.
  • CDC will transmit the information and soft copies of documents
    1. to the respective brokerage house (as mentioned by the NRP initially, through API or other electronic mechanism).
    2. to NCCPL for opening of UIN.
  • Brokerage house will perform their own due diligence and confirm to NRP and CDC regarding the opening of trading account (CKO is exempted for all such accounts) within 24 hours / one business day, along with the details of online trading portal.
  • The information received from CDC will suffice all the information required by the Broker for opening of Trading account (including terms & conditions), and CDC will also confirm to Brokerage house that NRP has given his/her consent for opening of Trading account with the Broker. The confirmation from the Broker regarding the opening of Trading account will constitute as the acceptance of the offer of NRP.
  • Broker may also refuse to open the account of NRP, at its sole discretion.
  • In case there is no response from Broker within 24 hours or refusal from Broker to open the account, CDC will contact the Broker/NRP and request for future course of action from him.
  • Broker (if deemed necessary by Broker) may request more documents from NRP directly, to perform Enhance Due Diligence (EDD) (if required).
  • Broker may take further confirmations from NRP directly like confirmation on fee structure, etc.), after opening of Trading account.