# How to invest in the Pakistan Stock Exchange (PSX) for beginners

URL: https://which.pk/money/guides/how-to-invest-in-psx/
Author: Ahtisham Imtiaz
Updated: 8 Oct 2026

## Summary

To invest in PSX you open an account with an active broker licensed by SECP (209 were active on 7 October 2026), get a CDC account and an NCCPL UIN, fund the account from your own bank, and place orders. Shares trade in lots of one, so the minimum is one share plus charges. Filers pay 15% capital gains tax on shares bought from July 2024 and 15% on most dividends; non-filers pay more. Share prices can fall, so only invest money you can leave alone.

## Key facts

- Active brokers: 209 (7 Oct 2026)
- Minimum lot: 1 share
- CGT, filers: 15%
- Dividend tax, filers: 15%

To invest in the Pakistan Stock Exchange (PSX), you **open an account with an active PSX broker** licensed by SECP (Securities and Exchange Commission of Pakistan), get a CDC account to hold your shares, fund it from your own bank account and place buy orders. On 7 October 2026, PSX listed **209 active brokers**. Shares trade in **lots of one**, so you can start with the price of a single share plus charges.

**Tax on a Rs 1 lakh gain from shares bought after 1 July 2024:** Rs 15,000 (15% capital gains tax if you are on FBR's Active Taxpayers List on the buying and selling dates)

## How do I invest in PSX, step by step?

1. **Pick a broker from PSX's list.** Only use an *Active* TREC holder (Trading Rights Entitlement Certificate, PSX's broker licence). PSX publishes the list, the broker's branches and credit ratings. We don't recommend brokers.
2. **Open your accounts.** The broker opens a trading account in your name, a **CDC sub-account** where your shares sit, and gets you a **UIN** (Unique Identification Number) from NCCPL, the clearing company. See [PSX account opening](/money/guides/psx-account-opening/) for documents and online options.
3. **Read the tariff schedule.** Your broker must hand you its commission rate and the PSX, CDC, NCCPL and SECP levies when you open the account.
4. **Fund the account from your own bank.** Pay by cheque or bank transfer from an account in your name. Cash is allowed only up to Rs 25,000, with a receipt.
5. **Place your order.** Buy through the broker's app, website or official phone line. Within 24 hours the broker must send you a contract note showing price, commission and levies.
6. **Check your holdings.** NCCPL texts or emails you the day's trades on your UIN, and CDC alerts you when shares move. Match these against the broker's quarterly statement, due within 15 days of each quarter end.

## Which broker should I choose?

We don't rank brokers. PSX's own advice is to shortlist a few and compare research, online trading, trade confirmations, commission and how near the office is. Check three things on PSX's website:

- **Status.** The [TREC holder list](https://www.psx.com.pk/psx/themes/psx/uploads/List-of-TREC-Holders-New-07-10-26.pdf) of 7 October 2026 shows 286 holders, of which **209 are active**.
- **Type.** Of the active ones, 125 are trading and self-clearing, 79 trading only and 3 online only.
- **Shariah status.** 2 are fully Shariah-compliant and 37 run an Islamic brokerage window.

## How much money do I need to start?

There is no fixed minimum from PSX. In April 2024 PSX moved regular-market shares from lots of 20 to 500 shares down to **lots of one share**, in batches from 22 April 2024. Exchange-traded funds (ETFs) stayed at 500-unit lots.

You also pay commission on each trade. Under a PSX rule from October 2019, the minimum is **3 paisa a share or 0.15% of the trade value**, whichever is higher, up to 2.5%. We couldn't find a 2026 notice confirming this floor is unchanged, so check your broker's tariff schedule.

## Can I invest in PSX online?

Yes. Most brokers offer online trading. For a small start, a **Sahulat account** needs only a simple form and your CNIC. As of April 2026 it lets you buy up to **Rs 30 lakh per broker**, and you can hold one with several brokers. It is limited to the ready market, with no margin trading.

## How do I invest in PSX through a Roshan Digital Account?

Overseas Pakistanis use **Roshan Equity Investment**. You pick a designated broker on your bank's RDA portal and agree to share your details. The bank sends them to CDC, the broker and NCCPL. Then you move money from the RDA to your CDC account and trade. Trades settle in two working days (T+2) and dividends land in your CDC account. More in [investing through a Roshan Digital Account](/money/guides/roshan-digital-account-investment/).

## How much tax do I pay on shares?

Rates under the Income Tax Ordinance as amended up to 30 June 2026:

| Tax | On the Active Taxpayers List (filer) | Not on the list |
|---|---|---|
| Capital gains, shares bought from 1 July 2024 | 15% | slab rates, never below 15% |
| Most dividends | 15% | 30% |
| Dividends from power producers (IPPs) | 7.5% | 15% |

Older holdings have their own rates. For filers, shares bought between 1 July 2022 and 30 June 2024 are taxed at 15% if held up to a year, falling 2.5 points a year to 0% after six years. Shares bought from July 2013 to June 2022 pay 12.5%, and shares bought before July 2013 pay nothing.

The 2026-27 budget also withdrew an exemption that had shielded non-filers from the higher collection rates on listed shares. NCCPL works out and collects the capital gains tax. Getting on the list is cheaper: see [how to become a filer](/business/guides/how-to-become-filer/).

**PSX's page shows an older tax rate:** PSX's broker guide page says capital gains tax is 20% for non-filers. FBR's Ordinance, amended up to 30 June 2026, says slab rates of at least 15%. We follow the Ordinance.

## What are the risks?

**You can lose money:** Share prices go down as well as up. MUFAP's figures show equity funds lost 9.78% in February 2026 alone. Only invest money you won't need for several years.

- **Broker risk.** PSX says a CDC **Investor Account**, which only you can operate, is safer than a sub-account held through the broker.
- **Letting someone else trade.** If you authorise another person to run your account, you are liable for their trades. PSX encourages you to run your own account.
- **Complaints.** If the broker doesn't fix a wrong contract note or statement, email PSX at investor.complaints@psx.com.pk.

If you'd rather not pick shares, [mutual funds](/money/guides/mutual-funds-pakistan/) let a fund manager do it for you.

More guides: [investment options in Pakistan](/money/guides/investment-options-pakistan/), [filer vs non-filer](/business/guides/filer-vs-non-filer/), [Investing](/money/investing/).

## Questions people ask

### Can I invest in PSX without a broker?

No. Orders go through an active PSX broker (TREC holder) licensed by SECP. You can keep your shares in a CDC Investor Account that only you operate, but you still trade through a broker.

### What is the minimum amount to invest in PSX?

Regular-market shares have traded in lots of one share since 2024, so the minimum is the price of one share plus charges. ETFs still trade in lots of 500 units.

### How do overseas Pakistanis invest in PSX?

Through Roshan Equity Investment. You pick a designated broker on your Roshan Digital Account bank's portal, agree to share your details, then move money from the RDA to your CDC account before trading.

### What tax do I pay on PSX profits?

If you are on the Active Taxpayers List, 15% capital gains tax on shares bought from 1 July 2024 and 15% on most dividends. Non-filers pay at least 15% on gains and 30% on dividends.

## Sources

- [Select your stock broker](https://www.psx.com.pk/psx/resources-and-tools/investors/select-your-stock-broker), Pakistan Stock Exchange (PSX) (accessed 8 Oct 2026)
- [List of TREC Holders of PSX (7 Oct 2026)](https://www.psx.com.pk/psx/themes/psx/uploads/List-of-TREC-Holders-New-07-10-26.pdf), Pakistan Stock Exchange (PSX) (accessed 8 Oct 2026)
- [Sahulat Account](https://www.psx.com.pk/psx/resources-and-tools/investors/sahulat-account), Pakistan Stock Exchange (PSX) (accessed 8 Oct 2026)
- [Investor Awareness Guide](https://www.akdsl.com/Files/directFiles/InvestorGuidePSXEnglish.pdf), Pakistan Stock Exchange (PSX), copy hosted by AKD Securities (accessed 8 Oct 2026)
- [Income Tax Ordinance, 2001 (amended up to 30 June 2026)](https://download1.fbr.gov.pk/Docs/2026724177725705IncomeTaxOrdinanace2001.pdf), FBR (accessed 8 Oct 2026)
- [Withholding Income Tax Rate Card (Finance Act 2026)](https://download1.fbr.gov.pk/Docs/202681113864992WithholdingTaxRatesCard2027.pdf), FBR (accessed 8 Oct 2026)
- [Salient Features, Budget 2026-27](https://fbr.gov.pk/Budget2026-27/SalientFeatures/Salient-Feature.pdf), FBR (accessed 8 Oct 2026)
- [Roshan Equity Investment](https://www.abl.com/personal/roshan-digital-services/roshan-equity-investment), Allied Bank (accessed 8 Oct 2026)
- [MUFAP Newsletter, February 2026](https://mufap.com.pk/Upload/WebDoc/Communication/MUFAP_Newsletter_-_Feb_202624806.pdf), MUFAP (accessed 8 Oct 2026)
- [PSX shifts to one share lot size for Regular market symbols](https://mettisglobal.news/psx-shifts-to-one-share-lot-size-for-regular-market-symbols), Mettis Global (accessed 8 Oct 2026)
- [Sahulat Account limit raised to Rs3m, one account per broker](https://mettisglobal.news/Sahulat-Account-limit-raised-to-Rs3m-one-account-per-broker-59424), Mettis Global (accessed 8 Oct 2026)
- [PSX prescribes standard range of brokerage commission](https://mettisglobal.news/psx-prescribes-standard-range-of-brokerage-commission), Mettis Global (accessed 8 Oct 2026)