Karafarin Bank Brokerage Company Increases Capital

The Public Relations Department of Karafarin Bank released the statement of Dr. Alireza Fahimi, the Managing Director of this Bank in reference with the above news. “This capital increase (by 576%) which was approved by Karafarin Bank (main shareholder of this company), occurred as a measure to comply with the new instruction for issuing establishment licenses for brokerages.

Another reason for this capital increase was to achieve sustainable compatibility and to boost capabilities to best serve customers. As a result, not only shall this company be able to increase its profitability in the medium and long-run, it will be able to enhance its rating and financial ratios as well.” he stated. Based on the minute of Extra Ordinary General Assembly of Karafarin Bank Brokerage Company on 30 April of this year, the capital of this company increased from IRR150 billion to reach IRR1,000 billion. The funding of this capital increase, which was registered on 5 July of this year at the Companies Registration Department, was sourced from accumulated profits, cash payments as well as claims of shareholders. “Ever since formation, this company has proved to be among the most effective brokerages in Iran’s capital market. Offering high quality services to best meet investor requirement is on the top of this company’s agenda. Indeed, in addition to providing general brokerage services, Karafarin Brokerage Company also renders services concerning securities, Iran Mercantile Exchange and two fixed income mutual investment funds which belong to Karafarin Bank. According to the latest rating of TSETMC Company (Financial Processing of Iran), the Karafarin Fixed Income Mutual Fund was among the top nine, five-star funds of Iran. Furthermore, this company owns the very first index fund in the country. This index fund demonstrated returns of 13.6% in June of this year. To put this into context, returns on the total index in the same period were only 5%.” he commented.  

This company commenced its operations in Tehran Stock Exchange in July 2006 under registration number 5993.

Publish Date: Oct 30, 2021