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The article shows that junk securities never demonstrate a smooth trend to rate growth and any jump or drop usually happen by sharp change in the trend. The investor making deals on OTC call-boards should realize that 95% of dark market shares cannot pass analysis and the majority of investors who deal with dark market shares would lose money. Sometimes after good results shares on dark market can go ‘darker' and are not reported for a long time. It resembles ‘leaving on a high pitch'. But occasionally figures can become worse, therefore the company would not like to acknowledge the fact. Junk shares always imply high risk, as in the majority of cases there is no reliable information about the organization issuing shares and securities themselves. The authors point out that in case of placement at outside markets external audit is not carried out and real quotation could differ from those presented. At the same time it is rather difficult to analyze junk shares because of low exchange purchase, as few investors buy securities with low rating.

This study aims to compare the stock market performance of Karachi Stock Exchange (KSE) in terms of daily stock returns of KSE 100 Index, trading volume, market capitalization and traded value. For this purpose, correlation analysis and paired samples t-test were used to analyze the secondary stock market data. The results indicated an insignificant increase in stock returns with a significant increase in trading volume and traded value in the post demutualization period. There also was a significant decrease in market capitalization. Overall, the results are in line with other studies except for market capitalization. This calls for further researches for better investigation and understanding of this specific variable and its implications. Apart from market capitalization, however, this study highlights improvement after demutualization of KSE considering the selected variables. [ABSTRACT FROM AUTHOR]