J.P. Morgan has announced that it has expanded its presence in Pakistan with the launch of an onshore cash equity broking operation. A statement said the move strengthens the firm s and its clients participation in one of Asia s fastest growing economies. The cash equity broking operation is a significant development for the Pakistan business of JP Morgan, which is the only foreign firm with a corporate seat at the Karachi Stock Exchange, the statement said. With our increased presence, we will continue to contribute to energising and further developing the domestic equity capital markets. Together with the investment banking business, we will be able to provide one- stop solutions to our clients offshore and domestically, it said. As another significant part of JP Morgan s expansion in Pakistan, the firm launched macro economic and equity research coverage earlier this year and is the only foreign investment bank to have a research coverage team based in Pakistan. The firm also has an onshore sales team which actively solicits new trades from foreign institutional clients, increasing the contribution of foreign portfolio investment in the country s capital markets. In addition to this, JP Morgan s derivative business, Pakistan Access Products, also commenced operation this month. This provides global financial institutions and hedge funds with economic exposure to equity movements through a range of derivative products. JP Morgan s presence in Pakistan, which dates back to 1994, now includes investment banking, treasury services, cash equity broking, equity and economic research coverage and sales. It was the first foreign firm to obtain a corporate seat at the Karachi Stock Exchange in 1996. We believe that in-depth country knowledge and expertise are the foundation to a successful franchise, said the statement. With the opening of the new business, JP Morgan has tripled the number of employees in Pakistan. The firm has been a leading foreign investment bank in Pakistan and has participated in many landmark transactions, including advising Pakistan s Privatisation Commission in the sale of its stake in Pakistan Telecom in April 2006 and the sale of the Government s working interests in five oil and gas fields in 2002. The firm also acted as the Joint Bookrunner for the country s US$800 million dual-tranche bond offering in March 2006 and its debut US$500 million Eurobond in 2004.
