Question 1

What is the PSX futures market?

Accepted Answer

The PSX futures market allows investors to trade deliverable futures contracts on PSX-listed stocks. Minimum lot size is 500 shares. Futures allow leverage and short selling, meaning investors can profit from both rising and falling prices. At any time, three contracts are available — current month, next month, and the month after — each launched with a 90-day expiry.

Question 2

How are PSX futures contracts settled?

Accepted Answer

PSX futures contracts are deliverable on the expiry date — the buyer receives the actual shares and the seller delivers them. Contracts expire at the end of each month and new contracts are introduced on a rolling basis.

KSE-100

PSX Futures Market — Derivatives & Contracts

FUT Market Instruments List