The current study used panel data to empirically analyze the determinants of stock prices and for that monthly closing stock prices of eight main banks of Pakistan were taken for the period from January 2005 till December 2013. Various unit root and cointegration techniques were employed for analysis besides Granger Causality. The results indicated increase in share prices in response to boom in economic activity, whereas bank share prices declined in response to currency depreciation and interest rate increase. Furthermore, in long-run, Granger causality is witnessed among economic growth, nominal exchange rate and bank stock prices. Interest rate and bank stock prices Granger cause each other and hence, exhibit a bi-directional causality. The findings of the current study have significant implications for portfolio advisors, risk management framework of banks and their regulators.

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This study examines the impact of structured and efficient market factors such as fundamental analysis, transaction processing system, information processing system and risk management on Pakistan stock exchange's investor satisfaction. We used descriptive statistics, confirmatory factor analysis, and structural equation modeling technique to test the proposed model. Our findings reveal that all the components of the structured and efficient market (S&EM) positively impact the individual investor's satisfaction (IIS) level. However, the individual investor's education and trading experience significantly moderate the impact of S&EM and IIS model. We suggest that provision of quality trading facilities with low cost guiding investors; ensure a friendly market environment which can protect the retail investor's interest. Further, we highlighted that the availability of quality information, transparent transaction process at low fees & commissions, unbiased brokerage services and strict compliance of SOPs could enhance the investor's level of satisfaction and their investment decisions.