17 April 2004	Saturday	26 Safar 1425

KARACHI, April 16: The chairman, Securities and Exchange Commission of Pakistan (SECP), Dr Tariq Hassan, has asserted that organizations wishing to enter into hedge trading must, first and foremost, have adequate financial and professional resources , risk management procedures and state-of-the-art technology.

He made these observations during a visit to Karachi Cotton Association (KCA) on Friday where he met Chairman Iqbal Umer and other KCA members. After address of welcome by the chairman, KCA, Zahid Bashir, a former chairman, KCA, made a detailed presentation highlighting the association's activities over the past years.

He the KCA being the oldest and most experienced organization should be engaged in cotton hedge trading. The Chairman SECP indicated that KCA would have to make a formal proposal, which would be evaluated and decision taken on merit.

He said while evaluating the application, the SECP would look at the adequate risk management procedures, the financial and professional resources and the technological resources at the disposal of KCA. -APP