Longtrepreneur continues to bring the best-in-class tech and business leaders to get their take on long-term thinking in the world of Commerce, Corporate Communications, Technology and Entrepreneurship.
This week’s “Take the L” series guest is a personality who needs no introduction: Raeda Latif(Chief Marketing & Business Development Officer at PSX).
Here is the conversation in an interview format between Yawar Abbas(Longtrepreneur) and Raeda Latif(Chief Marketing Officer – Pakistan Stock Exchange – PSX).
Yawar: How did your morning start?
Raeda Latif: I met with the London Stock Exchange Group to discuss implementing their ESG scoring tool at PSX. We reviewed company participation and planned the next steps. Later, I convened with my team to outline second-quarter activities.
We devoted today to a dual celebration: Pakistan’s Independence Day (observed early) and a farewell for our departing CEO of four and a half years.
This early observance accommodates families who prefer to celebrate the actual holiday, August 14th, at home. The day balances strategic business initiatives with important organizational milestones.
Yawar: What led you to take the PSX Chief Business Development Officer position?
Raeda Latif: I decided to join the stock exchange because I wanted to empower people and foster economic growth. The role offered a unique platform to support two key segments: companies seeking expansion and legacy-building and individuals aiming to build wealth through investment.
While brand building and digital outreach are essential, the core motivation is facilitating capital formation and economic empowerment. This position provides a broad scope to make a meaningful impact, aligning with my passion for helping people improve their lives through financial growth and stability.
Yawar: What was your childhood like growing up?
Raeda Latif: As a child, I was quiet yet expressive in my unique way. My passions lie in literature and sports, which became my primary means of self-expression. While not outspoken, I found my voice through athletic pursuits.
I competed in various sporting events yearly, from races to long jumps and relays.
These competitions consistently placed me in the spotlight, as I often secured multiple medals annually. This athletic success allowed me to stand out and make my presence felt without relying on words.
My childhood was characterized by this balance of introspection and physical achievement, shaping my early identity.
Yawar: Why should international investors and the Pakistani diaspora invest in Pakistan through the Pakistan Stock Exchange? What is your message to the global community regarding these investment opportunities?
Raeda Latif: The Pakistani diaspora maintains strong connections to their homeland, often viewing Pakistan as an investment alternative regardless of their current residence. The Pakistan Stock Exchange (PSX) offers compelling reasons for international investors and expatriates to consider.
Over recent years, the KSE-100 index has consistently delivered the highest dividend yields in the South Asian region. Additionally, the market boasts attractive price-to-earnings ratios, making equities available at favourable valuations.
PSX has demonstrated strong performance as a frontier market, with Bloomberg recognizing it as one of Asia’s top-performing exchanges in the past five years. This combination of emotional ties for the diaspora and solid financial metrics presents a unique opportunity for global investors seeking exposure to Pakistan’s economic growth.
Yawar: Do you foresee the PSX partnering with fintech startups to offer easy access to investing in the PSX?
Raeda Latif: The Pakistan Stock Exchange has embraced digitization, with brokers offering trading apps since the early 2010s. Recent innovations, such as the Roshan Digital Account, have streamlined the account opening process for overseas Pakistanis, enabling full online setup within banking portals.
For domestic investors, about 70 brokers now offer digital account openings, typically completed within a day. Foreign investors can access the market through SCRA accounts managed by custodian banks and brokerage firms.
Transactions are conducted online, and profits or sale proceeds are repatriated following a T+2 settlement cycle. The exchange is currently working to reduce this to T+1. Despite past concerns, repatriation for foreign investors has remained smooth, reinforcing Pakistan’s commitment to facilitating international investment.
Yawar: What do you want someone to learn from this interview? Say a 10-year-old girl sitting in Pakistan or anywhere in the world.
Raeda Latif: Empowering oneself through financial literacy is crucial at any age. The path to financial independence begins with smart investing, prioritizing needs over wants, and building a diversified portfolio across various asset classes. Even children should be introduced to basic financial concepts, such as savings accounts and investment principles.
As they mature, understanding more complex financial management becomes essential. This advice is particularly pertinent for women, whom I urge to take charge of their financial decisions rather than relying on male family members.
By fostering financial acumen early and consistently, individuals—regardless of gender—can secure their financial future and achieve true independence.
Yawar: What’s the percentage of women investors on the PSX?
Raeda Latif: While precise data on female investors is not yet available from the national clearing company, anecdotal evidence suggests a growing interest among women in stock market investing. Engagement in women’s investment forums on social media platforms, including Facebook and WhatsApp, indicates an upward trend.
The Pakistan Stock Exchange website analytics reveal an encouraging 20-25% female participation in reading content and using the virtual portfolio feature. This desktop-based tool, slated for mobile release within a year, has attracted significant female interest.
Despite the lack of official statistics, these indicators indicate a positive shift in women’s engagement with the stock market, reflecting a broader trend of increased financial participation among Pakistani women.
Yawar: What is your favourite food amongst all Pakistani dishes or any cuisine in the world food?
Raeda Latif: I like Sushi and Dal Chawwal(with a bit of achar on the side).
Yawar: Have you spearheaded any innovative projects or initiatives?
Raeda Latif: I’ve launched two key initiatives at the Pakistan Stock Exchange: a comprehensive financial literacy program and a sustainability drive. The literacy program addresses a critical gap in Pakistan’s education system, offering tailored sessions for students, corporate employees, and the public.
It utilizes diverse platforms, from in-person workshops to digital content on social media, ensuring widespread accessibility. Simultaneously, our sustainability initiative promotes ESG practices among listed and non-listed companies through task forces, roundtables, and educational sessions.
We’ve also introduced a virtual portfolio app that allows users to simulate real-time and historical stock investments. These efforts aim to empower Pakistanis with financial knowledge and foster sustainable economic growth.
Yawar: Which qualities do you look for when hiring talent at the PSX?
Raeda Latif: When hiring, I prioritize three essential qualities: integrity, passion for learning, and adaptability.
Integrity forms the cornerstone of a candidate’s character.
A genuine enthusiasm for learning and advancing the work is equally vital. Lastly, the ability to acquire and apply new skills effectively is crucial. With these attributes, even those without industry-specific experience can excel.
Success in this field doesn’t require innate genius; it’s about continuous learning, practical application, and persistent effort. This combination allows professionals to thrive and innovate, regardless of their initial background.
Yawar: How can people contact you?
Raeda Latif: You have two convenient options for contacting me. You can send an email to info@psx.com.pk, which is actively monitored, or you can reach out through my LinkedIn profile. Both methods offer easy and direct ways to connect.
Yawar: What key challenges do you face at the Pakistan Stock Exchange, and how do you address them?
Raeda Latif: The stock exchange faced major hurdles during COVID-19, as vital discussions on corporate governance and capital raising became nearly impossible.
A broader, persistent challenge in Pakistan is the prevalence of undocumented wealth. Many prefer investing in physical assets like gold or property or holding foreign currency rather than using formal financial instruments.
This preference and the absence of a credit scoring system create difficulties for individuals seeking loans or credit. It also complicates efforts to encourage participation in regulated financial markets.
Implementing better documentation practices and a credit scoring system could significantly enhance Pakistan’s financial sector and stimulate economic growth.
Yawar: Why don’t family-owned businesses or companies that should be public in Pakistan go public? Is it due to the quarterly reporting requirement or the more standardized way of operating?
Raeda Latif: Pakistani family businesses often resist going public due to cultural traditions that value closed wealth systems and generational transfers. Fear of the unknown, a lack of local success stories, and concerns about losing control deter many.
However, this mindset is evolving with younger, globally exposed generations. Educating owners about the benefits of public listing—sustainable growth, institutionalization, and potential for global expansion—is crucial.
Walmart exemplifies how families can maintain significant ownership while achieving worldwide success through public listing. This shift is vital for Pakistani businesses’ evolution, especially as business acumen doesn’t always transfer between generations.
The challenge lies in overcoming traditional contentment and religious influences and providing more case studies to demonstrate the viability of public listing for ambitious growth and legacy-building.
Yawar: Who do you want to nominate for the “Take the L” interview series with me on Longtrepreneur?
Raeda Latif:
- Muhammad Aurangzeb – Current Finance Minister of Pakistan
- Noorjehan Bilgrami – visual artist, designer, and educator – Principal Curator of the Pakistan Pavilion at Expo 2020
