Pro Tip: PSX 101 — Everything You Need to Know | Mubariz ft. Yousuf M Farooq

Pakistan’s stock market (PSX) has created generational wealth — but few Pakistanis understand how it really works. In this episode, I sit down with Yousuf M Farooq, one of the sharpest minds on investing in Pakistan, to break down:

• The basics of stock markets & PSX
• Why long-term investing beats gold, property, and day trading
• The role of compounding in wealth creation
• Frameworks used by the best investors (QGLP, diversification, cycles)
• Where the next big opportunities in Pakistan might be

If you want to learn how to build wealth in Pakistan’s stock market, this conversation is your crash course.

In this episode:

Mubariz Siddiqui – Founder, Carbon Law
LinkedIn: / mubarizsiddiqui
Website: https://linktr.ee/mubarizs

Yousuf M Farooq - Director Research, Chase Securities
LinkedIn: https://x.com/YousufMFarooq
Twitter:   / yousuf-m-farooq  

Chapters:

0:00:00 - Intro: why PSX matters
0:00:41 - Stock market 101 (marketplace & ownership)
0:03:45 - Opening a brokerage/Sahulat account; mutual funds
0:04:42 - How Pakistanis save: gold, land, livestock vs. stocks + PSX history
0:09:25 - How to save and invest? (Philosophy)
0:13:10 - Compounding math (1100x, doubling cadence)
0:15:53 - How does the pricing of stocks work?
0:18:30 - Mutual funds vs ETFs vs DIY brokerage
0:21:20 - Building a simple portfolio (80% index / 20% picks)
0:24:00 - Valuation basics: P/E, P/B, replacement cost
0:27:00 - Sector cycles case study: cement
0:30:00 - Retail adoption & apps; India vs Pakistan context
0:33:15 - Day trading & leverage: why most lose
0:36:00 - Diversification vs concentration; REITs & property
0:39:40 - Liquidity & fraud risk: stocks vs property
0:41:50 - Market cap: 6B → 18T; last two years’ surge
0:44:10 - Is the party over? Valuations & small caps
0:47:20 - IPO pipeline & signals of euphoria
0:50:00 - Frameworks: QGLP & Howard Marks on cycles
0:53:10 - Key takeaways & closing remarks