Nepal Stock Exchange

Nepal Stock Exchange
नेपाल स्टक एक्स्चेन्ज लि.

Type	Stock Exchange
Location	Kathmandu, Nepal
Coordinates	27°41′53″N 85°19′12″E / 27.698°N 85.320°E / 27.698; 85.320
Founded	1993
Owner	Nepal Government
Currency	Nepali rupee (NPR)
No. of listings	370 (Scrips)
Market cap	US$ 11.93 Billion (2/24/2016)
Indices	NEPSE index
Website	www.nepalstock.com.np

The Nepal Stock Exchange Limited (abbreviated as NEPSE) is the only Stock Exchange of Nepal. It is located in Singha Durbar Plaza, Kathmandu Nepal. On March 23, 2014 the equity market capitalization of the companies listed on NEPSE was approximately US$7896 million.

The basic objective of NEPSE is to impart free marketability and liquidity to the government and corporate securities by facilitating transactions in its trading floor through member, market intermediaries, such as broker, market makers etc. NEPSE opened its trading floor on 13 January 1994. As on April 4, 2013, the number of listed companies are 334, which includes Commercial Banks, Hydro Power Companies, Insurance Companies and Finance Companies among others.^[1] The Exchange has 50 registered brokers as of April 2013.^[2] The NEPSE Index is primary all equity market index of NEPSE.

It is regulated by the Securities Board of Nepal.^[3]

History

The history of securities market began with the floatation of shares by Biratnagar Jute Mills Ltd. and Nepal Bank Ltd. in 1937. Introduction of the Company Act in 1964, the first issuance of Government Bond in 1964 and the establishment of Securities Exchange Center Ltd. in 1976 were other significant development relating to capital markets.

Securities Exchange Center was established with an objective of facilitating and promoting the growth of capital markets. Before conversion into stock exchange it was the only capital markets institution undertaking the job of brokering, underwriting, managing public issue, market making for government bonds and other financial services. Nepal Government, under a program initiated to reform capital markets converted Securities Exchange Center into Nepal Stock Exchange in 1993.

Members

Members are permitted to act as intermediaries in buying and selling of government bonds and listed corporate securities. At present, there are 59 member brokers and 2 market makers, who operate on the trading floor as per the Securities Act, 2007, rules and by-laws.

Securities Available For Trading

A. Shares • Equity Shares • Preference Shares B. Debentures C. Government Bonds D. Mutual funds

Trading System

NEPSE operates on the ‘NEPSE Automated Trading System ‘(NATS), a fully screen based automated trading system, which adopts the principle of an order driven market. Purchase & Sell of Physical as well as dematerialized securities is done through NATS.

Market Timings

Trading on equities takes place on all days of week (except Saturdays and holidays declared by exchange in advance). On Friday only odd lot trading is done.

The market timings of the equities are:- Market Open: - 11:00 AM Market Close: - 15:00 PM

Odd Lot Trading is done on Fridays. For Odd Lot Trading Market Timings are Market Open: - 11:00 AM Market Close: - 15:00 PM

Note:- The exchange may however close the market on days other than schedule holidays or may open the market on days originally declared as holidays. The exchange may also extend, advance or reduce trading hours when it deems fit necessary.

Index-based Circuit Breakers

The index-based circuit breaker system applies at 3 stages of the NEPSE index movement of 3%, 4% and 5%.These circuit breakers when triggered bring about a trading halt in all securities.

In case of 3% movement either way, there would be a market halt for 15 minutes if the movement takes place during first hour of trading i.e. 13:00 PM. In case this movement takes after 13:00 PM there will be no trading halt at this level and market shall continue trading.

In case of 4% movement either way, there would be a market halt for half an hour if the movement takes place before 14:00 PM. In case this movement takes after 14:00 PM there will be no trading halt at this level and market shall continue trading.

In case of 5% movement in either way, trading shall be halted for the remainder of the day. No trading shall be done for the day after 5% of movement in NEPSE.

there is one credit rating agency i.e. icra nepal that does ratings of the companies...

References

External links

World Federation of Exchanges

Members	Abu Dhabi Securities Exchange Amman Stock Exchange Athens Stock Exchange Australian Securities Exchange Bahrain Bourse BATS Global Markets Bermuda Stock Exchange BM&F Bovespa BME Spanish Exchanges Bolsa de Comercio de Buenos Aires Bolsa de Comercio de Santiago Bolsa de Valores de Colombia Bolsa de Valores de Lima Bolsa Mexicana de Valores Borsa Istanbul Bourse de Casablanca BSE India Limited Bursa Malaysia CBOE China Financial Futures Exchange CME Group Colombo Stock Exchange Cyprus Stock Exchange Dalian Commodity Exchange Deutsche Börse Dubai Financial Market Egyptian Exchange Euronext Ho Chi Minh City Stock Exchange Hong Kong Exchanges and Clearing Indonesia Stock Exchange Intercontinental Exchange International Securities Exchange Irish Stock Exchange Japan Exchange Group JSE Limited Kazakhstan Stock Exchange Korea Exchange Luxembourg Stock Exchange Malta Stock Exchange Moscow Exchange Muscat Securities Market NASDAQ OMX National Stock Exchange of India Nigerian Stock Exchange NZX Limited Oslo Børs Philippine Stock Exchange Qatar Exchange Saudi Stock Exchange (Tadawul) Shanghai Futures Exchange Shanghai Stock Exchange Shenzhen Stock Exchange Singapore Exchange SIX Swiss Exchange Stock Exchange of Mauritius Stock Exchange of Thailand Taipei Exchange Taiwan Futures Exchange Taiwan Stock Exchange Tel Aviv Stock Exchange TMX Group Zhengzhou Commodity Exchange

Associates	Depository Trust & Clearing Corporation Options Clearing Corporation

Affiliates	Beirut Stock Exchange Bourse de Tunis BRVM Bucharest Stock Exchange Cayman Islands Stock Exchange Channel Islands Securities Exchange Chittagong Stock Exchange Dhaka Stock Exchange Dubai Gold & Commodities Exchange Hanoi Stock Exchange Indonesia Commodity and Derivatives Exchange Multi Commodity Exchange Nairobi Securities Exchange Namibian Stock Exchange Nepal Stock Exchange Palestine Exchange Port Moresby Stock Exchange Ukrainian Exchange

Correspondents	Barbados Stock Exchange Belarusian Currency and Stock Exchange Bolsa de Comercio de Rosario Bolsa de Valores de Panama Bolsa Nacional de Valores Canadian Securities Exchange Dutch Caribbean Securities Exchange Ghana Stock Exchange Jamaica Stock Exchange Kuwait Stock Exchange Miami International Securities Exchange PFTS Stock Exchange Sydney Stock Exchange Seychelles Securities Exchange (Trop-X)

This article is issued from Wikipedia - version of the 11/10/2016. The text is available under the Creative Commons Attribution/Share Alike but additional terms may apply for the media files.