The KSE-100 index started life in November 1991 at a base value of 1,000. On 1 October 2026 it closed at 168,636.85. That is roughly a 169-fold increase in just under 35 years.
What does that mean for a real investor? And how much of it survives once you account for inflation, the rupee and the crashes along the way? Here is the long view, with every approximation clearly labelled.
Rs 100,000 in 1991 → about Rs 1.69 crore today
If you could have bought the KSE-100 in November 1991 with Rs 100,000 and simply held it, your investment would be worth about Rs 16.9 million (Rs 1.69 crore) today. PSX calculates the KSE-100 as a total return index: dividends, bonus shares and rights are adjusted into it, so this figure already assumes dividends were reinvested (before tax and costs).
| November 1991 | 1 October 2026 | |
|---|---|---|
| KSE-100 level | 1,000 | 168,636.85 |
| Value of Rs 100,000 (with dividends reinvested) | Rs 100,000 | about Rs 16.9 million |
| Growth a year (PKR) | about 15.8% to 15.9% |
Our own estimate of the annual growth rate is about 15.9% a year using the 30 September close of 169,969, and about 15.8% using today's lower close. Business Recorder's study of the index's first 30 years put the average at about 14% a year (Business Recorder). The difference comes from the strong run since 2021.
You could not actually buy the index in 1991. There were no index funds, and real-world costs, taxes and timing would have reduced returns. Treat these figures as a guide to the market's direction, not an exact account balance.
In US dollars: about 8.1% a year
The rupee has lost most of its value against the dollar since 1991. Our estimate is that it was worth roughly Rs 25 per dollar in late 1991, compared with about Rs 277 today.
| November 1991 (approx.) | 1 October 2026 | |
|---|---|---|
| Rs 100,000 in dollars | about $4,000 | about $60,900 |
| Growth a year (USD, with dividends) | about 8.1% |
So in dollar terms, the index has grown roughly 15 times. That is still a respectable long-run return, comparable to many global markets, but about half the rupee figure. For an investor who spends in rupees, the rupee return is what matters. For an overseas Pakistani comparing with savings abroad, the dollar figure is the fairer one.
The last five years: an exceptional run
The most recent five years stand out. On 1 October 2021 the KSE-100 was at about 44,872. Today it is 168,637.
| Period | Start | End | Growth a year (with dividends) | Rs 100,000 became |
|---|---|---|---|---|
| Oct 2021 to Oct 2026 | 44,872 | 168,637 | about 30% | about Rs 376,000 |
| Nov 1991 to Oct 2026 | 1,000 | 168,637 | about 15.8% | about Rs 16.9 million |
Why so strong? In 2021–23 Pakistani shares were extremely cheap, many trading on price-to-earnings ratios of 3 to 5 times, after years of political and economic stress. As inflation and interest rates came down from their peaks and the IMF programme stabilised the economy, local investors piled back in and valuations re-rated sharply.
This was a one-off re-rating, not a normal pace. Do not use 30% a year to plan your future. The long-run average of about 14% to 16% a year in rupees is a more sensible guide, and even that is not guaranteed.
The crashes along the way
A 169-fold gain sounds smooth. It was not. Long-term holders sat through several brutal falls.
| Episode | What happened | Approximate fall |
|---|---|---|
| 2008 global financial crisis | The index peaked at 15,676 on 18 April 2008 and ended the year near 5,865. The exchange imposed a price floor and trading effectively froze for months | about −63% by end-2008 |
| 2017 to 2019 | A record of 52,876 in May 2017 was followed by a long slide during a balance-of-payments crisis and an IMF programme; the index fell about 30% from July 2018 to August 2019 alone | well over −40% from the 2017 peak (approx.) |
| 2026 | After an all-time high of 189,167 on 23 January 2026, the Middle East war triggered a record single-day fall of more than 16,000 points and a slide to about 152,000 by April | about −20% (approx.) |
| Today | 168,637 on 1 October 2026 | about −11% from the high |
Sources for these episodes are listed below. Exact peak-to-trough figures vary by source, so treat them as approximate.
The lesson: anyone holding Pakistani shares for the long run should expect to see their portfolio fall by a third or more at some point, possibly more than once. The long-run return is the reward for sitting through those periods without selling in panic.
How much of this came from dividends
The KSE-100 is a total return index: PSX adjusts each company's weight for dividends, bonus shares and rights, so the index behaves as if every dividend were reinvested (PSX index brochure). That is why it is the right yardstick for a long-term investor who reinvests.
Since 30 June 2025 PSX also publishes a price-only version, the KSE-100 Price Return index (KSE100PR), which leaves dividends out (ProPakistani). It closed at 50,815 on 1 October 2026. The gap between the two indices grows every year by roughly the market's dividend yield, which for Pakistani shares is often 6% to 9%.
Two practical points follow:
- If you spend your dividends instead of reinvesting them, your own result will trail the KSE-100 by about the dividend yield each year. Many large banks, oil producers and fertiliser companies currently yield 7% to 13% (see our dividend guide).
- Tax and costs come off. The index ignores the 15% dividend withholding tax for filers, capital gains tax and brokerage. A real investor's return is a little lower.
What this means for you today
- Time in the market matters more than timing. Most of the long-run gain came from staying invested through bad years, not from picking bottoms.
- Expect volatility. Falls of 20% to 60% have happened and will happen again.
- Reinvest dividends if you don't need the income.
- Think in real terms. Pakistan's inflation has often been high. Compare returns with inflation and with alternatives such as savings certificates.
- Invest gradually. Adding a fixed amount, such as Rs 10,000 a month, smooths out the ups and downs.
Want to start? Read our getting started guide, compare brokers, follow the index on the market page, and learn the basics in our learn section.
Not financial advice. Figures are approximate and based on KSE-100 total-return index levels; they ignore costs and taxes. Past returns do not predict future returns.
Sources
- PSX data portal (dps.psx.com.pk): KSE-100 index history and closing level, 1 Oct 2026
- Business Recorder: KSE-100 closes at 168,636.85 (1 Oct 2026)
- Business Recorder: 30 years of the KSE-100, average returns of 14%
- Wikipedia: KSE 100 Index (2008 and 2017 peaks)
- Express Tribune: Investigating the 2008 crash
- Kahloon: The KSE-100 crash you could have seen coming (2018 to 2019 decline)
- Express Tribune: PSX record single-day fall over Middle East war