Abdul Rehman Najam

The PSX is approaching its all-time high yet again.
Would there be a crash again just like in February & March?
It's one of the most common questions I receive.
The problem is that retail investors are always worried when a stock index reaches an all time high. In my opinion, stock market index is supposed to make new highs.
Why?
Because businesses grow.
They earn more.
They expand.
If the companies inside an index keep increasing their profits, the index should eventually reflect that. The S&P 500 has spent decades making new all-time highs.
Nobody calls every new high a bubble.
So why do we think differently about the PSX?
Hence the question, you, as an investor should be asking is:
"Am I paying too much for those earnings?"
Like we Think about buying a shop.
If someone asks Rs 1 crore, your first question isn't:
"Was this shop cheaper five years ago?"
It's:
"How much rent does it generate?" If it generates Rs10 Lakh per year, then Rs 1 Crore price tag is not high.
Stocks work the same way.
Instead of rent, we look at earnings.
It’s called P/E ratio. Price Earnings ration
Today, the PSX is priced at roughly 8 times its earnings. And Previous bull markets have seen valuations expand toward 12- 13 times earnings.
Smart investors don't fear new highs. They ask whether the businesses underneath still offers value.
When you look at the PSX, what's the first thing you notice? the index level or the PE ratio? Tell me honestly

11 hours ago | [YT] | 56

Abdul Rehman Najam

Pakistani Investors keep asking the wrong question.
"Should I buy gold or stocks?"
The real question is:
What job do I want my money to do?
Not every rupee should be invested the same way. Some money is there to protect you and some money is there to grow.
Confusing those two goals is where many investors go wrong.
Gold has a role. So does a savings account.
They help preserve purchasing power, provide liquidity, and offer peace of mind when life is uncertain. But they are not designed to do the same job as productive assets.
Great businesses do something different.
They earn profits.
They reinvest.
They expand.
They can increase their earnings over time and as a shareholder, you participate in that growth.
That's how long-term wealth is created.
The mistake isn't owning gold. The mistake is expecting a store of value to do the job of a wealth-creating asset.
Every portfolio needs protection. Every portfolio also needs growth. The art of investing is knowing how much of each you need.
The goal isn't to choose between safety and growth.
It's to build a portfolio that has room for both.
How do you think about your own portfolio?
Do you separate money meant for protection from money meant for long-term growth?

1 day ago | [YT] | 81

Abdul Rehman Najam

Quick question.
You can have Rs1 crore today. Or Rs 1 that doubles every day for 30 days.
What will you choose? Most people will take the 1 crore, I will choose Rs1.
For the first few days, I will look stupid, gave up Rs1 Crore.
But by Day 10: I will have Rs 512.
By Day 20: roughly Rs 5 lakh.
The crore still looks like the obvious winner.
Then compounding does what compounding always does best.
It increases, exponentially.
By Day 30, my single rupee has become Rs 5.3 crore.
For Investors, Compounding is not supposed to impress you in the beginning, but you still have to do it.
It is supposed to surprise you in the end, when you retire and cannot earn an active income.
Thousands, Lakhs invested today will be Crores down the line, so START TODAY.
Which option would you have chosen before seeing the answer? Rs1 or Rs1 Crore. Tell me honestly in the comments.

2 days ago | [YT] | 109

Abdul Rehman Najam

Major reduction in Imported cars duties ✅✅

660cc imported cars expected to be cheaper by 3-5 lacs

1300cc imported cars expected to be cheaper by 5-7 lacs

1800cc imported cars expected to be cheaper by 10 lac+

Probably for the first time IMF conditions will give to citizens of 🇵🇰🇵🇰

3 days ago | [YT] | 118

Abdul Rehman Najam

"I am 35 and I have nothing saved."
That sentence causes more financial anxiety than almost anything else.
Most people think they have already ruined their future.
They haven't. But every year they wait further makes the goal of financial freedom harder.
Let me give you my honest version. No shame, no panic, but the actual plan.
Start today with Rs 15,000 a month into PSX. Assume the long-run average of around 16%. Each year your salary rises, raise your monthly investment too, but no more than 10%, because you still have a life to live. You should travel, spend on good things in life too.
Follow this plan and
After 10 years, your savings are around Rs 55 lakh.
But the party has just started, because compounding does its real work as time passes.
After 20 years, your savings will be roughly Rs 4.25 crore.
And After 30 years, when you retire, close to Rs 20 crore. Even after three decades of inflation, that is genuinely a comfortable retirement.
From zero at 35. On Rs 15,000 a month till achieving a secured retirement. That is a plan that can be followed.
Are you starting your investing journey, or have you already started? Tell me in the comments.

3 days ago | [YT] | 158

Abdul Rehman Najam

The short era of high oil prices is over ✅✅

Oil now trading below $70, expected to decline further as Hormuz gradually opens, UAE & Iran increase supply.

Major positive for oil importing economies like 🇵🇰🇵🇰

4 days ago | [YT] | 98

Abdul Rehman Najam

I advise on Rs 6 billion+ Investments. And before we buy a single share, every company must answer the same four questions.
Not fifty. Just Four.
Most people think investing is about predicting stock prices.
It isn't.
Question #1: What is the actual ROIC of this business, this is what annual profit I will get if I remain invested in it for 15-25 years.
Question #2: Do I understand what actually drives its earnings?
Not the share price.
The business. The raw material prices, the final product prices.
Question #3: How does the money reach me?
This is where most investors fail.
A great business is not automatically a great investment.
As a minority shareholder, there are only two ways profits reach you:
Dividends. Or share price appreciation.
If you cannot explain how value gets transferred to shareholders, you are not investing.
You are hoping.
Question #4: Is this one of the best opportunities available?
We do not diversify into 30 ideas we somewhat understand.
We concentrate on our highest-conviction opportunities.
That's the framework.
Which of these four questions do you answer before investing as well? Tell me in the comments.

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4 days ago | [YT] | 109

Abdul Rehman Najam

Super tax for exporters of 🇵🇰🇵🇰 has been abolished.

Step in the right direction to achieve export led growth ✅✅

4 days ago | [YT] | 89

Abdul Rehman Najam

Interest rates coming down in 🇵🇰🇵🇰 again

12 month T bill is now back below 12%, petrol/diesel back around Rs300 per liter.

Inflation expected to decline in coming months ✅✅

5 days ago | [YT] | 105

Abdul Rehman Najam

You think Rs 1 crore is enough to retire on. In 20 years, with future inflation, it will barely last 1-2 years.
Disturbing… is it not?
Lets run the numbers and see where the retirement numbers in your head stand?
Imagine your household spends Rs 1 lakh per month today.
Nothing extravagant. Just a comfortable middle-class life.
Now fast-forward 20 years.
At Pakistan's long-term inflation rates, that same lifestyle could cost Rs 5–6 lakh per month.
That's Rs 60–70 lakh a year just to maintain the standard of living you have today.
Suddenly, Rs 1 crore doesn't look like retirement money.
And… This is where most retirement plans fail.
People calculate in today's rupees and retire into tomorrow's prices.
The good news? The path is usually less intimidating than the target.
A retirement corpus of Rs 10–12 crore sounds impossible, or does it?
Rs 30,000 invested monthly for 25 years, compounded at roughly the long-term average return of the PSX, can potentially grow to Rs10-12 Crore.
Now it looks achievable and doable, you just need to be consistent.
Have you ever calculated your retirement number in future rupees and not today's? Please share in the comments

5 days ago | [YT] | 102