Innovative financing opportunities in the global capital markets

1
Innovative financing opportunities in the global
capital markets

• Presented by
• Aftab Q. Munshi
• Chief Executive Officer
• ALHabib Capital Market (Pvt.) Ltd.

2
Structure of presentation

• Identify innovative financing opportunities in
  the global capital markets
• Raising funds through the global capital markets
• Global Meltdown A quick review
• Case study from Pakistan
• Conclusion

3
Introduction Innovation in financial products

• Identify innovative financing opportunities
  available in the global capital markets
• Appreciate that these financial increased the
  debt capacity of countries and firms alike

4
Raising funds through the global capital
markets(Benefits Risks)

• Equity Financing
• Debt Financing
• Hybrid Securities
• Securitizations of Assets
• Leveraged Finance
• Money Markets Products
• Remittance securitization

5
Global Meltdown Challenges Opportunities

• Types of mortgages
• Prime Mortgages
• Near-Prime Mortgages
• Sub-Prime Mortgages

6
Global Meltdown Challenges Opportunities

• Root causes-
• Lower lending standards
• Easy credit
• Providing mortgage loans to sub-prime borrowers
• Excessive borrowing by financial institutions to
  invest in structured financial products
• Who bore the brunt?
• Private Equity
• Investment Commercial Banks

7
Global Meltdown Challenges Opportunities

• Preventing a systematic collapse-
• Extra-ordinary steps taken by governments and
  central banks

8
Case study from Pakistan

• Economy of Pakistan
• Pakistan's linkage with the global capital
  markets (Eurobond 2017, Eurobond 2036, Pakistan
  Islamic Bond (Sukuk AL Ijara), Global
  Depository Receipts, Securitization of
  Remittances)

9
Conclusion

• Global capital markets are fast turning out to be
  a very beneficial tool for developing countries
  to address their liquidity needs and to bring
  themselves on the radar of foreign investors. If
  implemented on the sidelines of strict fiscal and
  monetary discipline, it should allow developing
  countries to move on the path of self reliance
  without compromising on their economic
  sovereignty.

10
Q A

• Thank You