Nepal Stock Exchange Limited (abbreviated as NEPSE) is the only Stock Exchange of Nepal Explained Fully 2021.
Includes NEPSE Live, Nepalstock Trading and Live NEPSE Trading
It is located in Singha Durbar Plaza, Kathmandu, Nepal. As of February 08, 2021, the equity market capitalization of the companies listed on NEPSE was approximately US$30 billion.
The primary goal of NEPSE is to provide government and corporate assets with free marketability and liquidity by enabling transactions on its trading floor through members, market intermediaries, such as brokers and market makers.
On January 13, 1994, NEPSE inaugurated its trading floor. There are 285 listed companies as of March 16, 2021, including commercial banks, hydropower companies, insurance companies, and finance companies, among others. As of April 2021, the Exchange had 97 registered brokers.
The NEPSE Index is the primary equity market index of NEPSE. There are 374 companies listed on the stock exchange, till the date(as of 08-02-2021) out of which 285 are currently active, the date (as of 16-03-2021)
It is regulated by the Securities Board of Nepal.
Nepal Stock Exchange History
Biratnagar Jute Mills Ltd. and Nepal Bank Ltd. floated shares in 1937, marking the beginning of the securities market. Other notable developments in capital markets include the introduction of the Company Act in 1964, the first issuing of Government Bonds in 1964, and the formation of Securities Exchange Center Ltd. in 1976.
The Securities Exchange Center was founded with the goal of enabling and supporting capital market expansion. It was the only capital markets institution doing brokering, underwriting, managing public issues, market making for government bonds, and other financial services prior to its conversion to a stock exchange. In 1993, the Nepal government turned Securities Exchange Center into Nepal Stock Exchange as part of a campaign to reform capital markets.
Currently, Total Market Capitalization is Rs. 413,928 crore (US$36 billion).
Includes NEPSE Live, Nepalstock Trading and Live NEPSE Trading
Types of Sub Indices
Subindex/indces of Nepse are categorised as follows:
- Banking
- Development Bank
- Finance
- Microfinance
- Manufacturing and Processing
- Hydropower
- Non Life Insurance
- Life Insurance
- Hotels
- Mutual Fund
- Trading
- Investment
- Other
Nepse started trading at the secondary market from 100 points on January 1994. The highest point of indices is 3138.06 & Lowest point is 293.
Trading System
NEPSE operates on the ‘ NEPSE Online Trading System‘(NOTS), 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 NOTS.
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
Friday and Saturday Market remain Closed.
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 4%, 5% and 6%.These circuit breakers when triggered bring about a trading halt in all securities.
In case of 4% movement either way, there would be a market halt for 20 minutes if the movement takes place during first hour of trading i.e. 12:00 PM. In case this movement takes after 12:00 PM there will be no trading halt at this level and market shall continue trading.
In case of 5% movement either way, there would be a market halt for 40 minutes if the movement takes place before 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 6% movement in either way, trading shall be halted for the remainder of the day. No trading shall be done for the day after 6% of movement in NEPSE & Nepse live
There are two credit rating agencies i.e. ICRA Nepal and Care Ratings Nepal that do ratings of the companies. There are 32 merchant banker companies operating in Nepal.
Nepal Stock Exchange Member Broker’s List
| SN | Name | Contact Person | Contact Number | Code | Status | TMS Link |
|---|---|---|---|---|---|---|
| 1 | Ashutosh Brokerage & Securities (PVT) Ltd. | – | 4220276 | 8 | A | tms08.nepsetms.com.np |
| 2 | J.F. Securites (PVT) Ltd. | – | 4442912 | 7 | A | tms07.nepsetms.com.np |
| 3 | Agrawal Securities (PVT) Ltd. | – | 4424657 | 6 | A | tms06.nepsetms.com.np |
| 4 | Deevyaa Securities & Stock House Pvt. Ltd | 01-4421488 | 59 | A | tms59.nepsetms.com.np | |
| 5 | Naasa Securities Co. Ltd. | 01-4440384 | 58 | A | tms58.nepsetms.com.np | |
| 6 | Aryatara Investment & Securities | 4233596 | 57 | A | tms57.nepsetms.com.np | |
| 7 | Sri Hari Securities Pvt. Ltd. | – | 4437562 | 56 | A | tms56.nepsetms.com.np |
| 8 | Bhrikuti Stock Broking Co. Pvt. Ltd. | – | 4223466 | 55 | A | tms55.nepsetms.com.np |
| 9 | Sewa Securities Pvt. Ltd. | – | 4256642 | 54 | A | tms54.nepsetms.com.np |
| 10 | Investment Management Nepal Pvt. Ltd. | – | 4256589 | 53 | A | tms53.nepsetms.com.np |
| 11 | Sundhara Securities Limited | 01-4212215, 4260174 | 52 | A | tms52.nepsetms.com.np | |
| 12 | Oxford Securities Pvt. Ltd. | – | 51 | A | tms51.nepsetms.com.np | |
| 13 | Cristal Kanchanjanga Securites Pvt. Ltd. | 50 | A | tms50.nepsetms.com.np | ||
| 14 | Market Securities & Exchange (PVT) Ltd. | – | 4248973 | 5 | A | tms05.nepsetms.com.np |
| 15 | Online Securities Pvt. Ltd. | 014168298 | 49 | A | tms49.nepsetms.com.np | |
| 16 | Trishakti Securities Public Limited | 4232132 | 48 | A | tms48.nepsetms.com.np | |
| 17 | Neev Securities Pvt. Ltd. | 4470464 | 47 | A | tms47.nepsetms.com.np | |
| 18 | Kalika Securities Pvt. Ltd. | 4430601 | 46 | A | tms46.nepsetms.com.np | |
| 19 | Imperial Securities Company Pvt. Ltd. | 4231004 | 45 | A | tms45.nepsetms.com.np | |
| 20 | Dynamic Money Managers Securities Pvt. Ltd. | 4414522 | 44 | A | tms44.nepsetms.com.np | |
| 21 | South Asian Bulls Pvt. Ltd. | 4284785 | 43 | A | tms43.nepsetms.com.np | |
| 22 | Sani Securities Company Ltd. | 4401006 | 42 | A | tms42.nepsetms.com.np | |
| 23 | Linch Stock Market Ltd. | 4784567 | 41 | A | tms41.nepsetms.com.np | |
| 24 | Creative Securities Pvt Ltd | 4168205 | 40 | A | tms40.nepsetms.com.np | |
| 25 | Opal Securities Investment (PVT) Ltd. | – | 4239273 | 4 | A | tms04.nepsetms.com.np |
| 26 | Sumeru Securities Pvt. Ltd. | 4444740 | 39 | A | tms39.nepsetms.com.np | |
| 27 | Dipshikha Dhitopatra Karobar Co. Pvt Ltd. | 4102532 | 38 | A | tms38.nepsetms.com.np | |
| 28 | Swarna Laxmi Securities Pvt. Ltd. | 430534 | 37 | A | tms37.nepsetms.com.np | |
| 29 | Secured Securities Ltd. | 4168172 | 36 | A | tms36.nepsetms.com.np | |
| 30 | Kohinoor Investment & Securities Pvt. Ltd. | – | 4442858 | 35 | A | tms35.nepsetms.com.np |
| 31 | Vision Securities Pvt. Ltd | 4770452 | 34 | A | tms34.nepsetms.com.np | |
| 32 | Dakshinkali Investment & Securities Pvt. Ltd. | 4168640 | 33 | A | tms33.nepsetms.com.np | |
| 33 | Premier Securities Company Ltd. | – | 4432700 | 32 | A | tms32.nepsetms.com.np |
| 34 | Arun Securities (PVT) Ltd. | – | 016916470 | 3 | A | tms03.nepsetms.com.np |
| 35 | Trisul Securities & Invt. Ltd. | – | 4440709 | 29 | A | tms29.nepsetms.com.np |
| 36 | Shree Krishna Securities Ltd. | – | 4224262 | 28 | A | tms28.nepsetms.com.np |
| 37 | Asian Securities Private Ltd. | – | 4240609 | 26 | A | tms26.nepsetms.com.np |
| 38 | Sweta Securities Private Limited | – | 4444791 | 25 | A | tms25.nepsetms.com.np |
| 39 | Siprabi Securities Pvt. Ltd. | – | 5530701 | 22 | A | tms22.nepsetms.com.np |
| 40 | Midas Stock Broking Company Private Limited | – | 4240089 | 21 | A | tms21.nepsetms.com.np |
| 41 | Sipla Securities Private Limited | – | 4255782 | 20 | A | tms20.nepsetms.com.np |
| 42 | Nepal Investment And Securities Trading Private Limited | – | 4495450 | 19 | A | tms19.nepsetms.com.np |
| 43 | Sagarmatha Securities Private Limited | – | 4433221 | 18 | A | tms18.nepsetms.com.np |
| 44 | ABC Securities Private Limited | – | 4230787 | 17 | A | tms17.nepsetms.com.np |
| 45 | Primo Securities (PVT) Ltd. | 4168214 | 16 | A | tms16.nepsetms.com.np | |
| 46 | Nepal Stock House (PVT) Ltd. | – | 4265888 | 14 | A | tms14.nepsetms.com.np |
| 47 | Thrive Brokerage House Pvt. Ltd | – | 4419051 | 13 | A | tms13.nepsetms.com.np |
| 48 | Malla & Malla Stock Broking Company Pvt. Limited | – | 4432088 | 11 | A | tms11.nepsetms.com.np |
| 49 | Pragyan Securities (PVT) Ltd. | – | 016226890 | 10 | A | tms10.nepsetms.com.np |
| 50 | Kumari Securities Private Limited | – | 4423689 | 1 | A | tms01.nepsetms.com.np |
NEPSE members are allowed to operate as brokers in the purchase and sale of government bonds and publicly traded corporate securities. Currently, 50 member brokers with 43 branches operate on the trading floor in accordance with the Securities Act of 2007, its rules, and bye-laws. The broker house and its branches are spread across Nepal’s 21 cities.
Includes NEPSE Live, Nepalstock Trading and Live NEPSE Trading
NEPSE Live System
Nepal Stock Exchange Limited (NEPSE) officially launched NEPSE Online Trading System (NOTS) on 6th November, 2018.
“NOTS” is designed to allow investors to place their orders online, while everything including trading, clearing and settlement can be carried out electronically.
A broad spectrum of market participants will benefit from the increased convenience of the new system. Furthermore, the system will bring a new level of dynamism to Nepal’s stock market.
Dr. Yuvaraj Khatiwada, the Honorable Finance Minister, opened the occasion. “With the opening of NOTS, Nepal’s capital market has made a fresh jump,” said Honorable Finance Minister on the occasion. He went on to say that, in addition to introducing new technologies, it is also required to strengthen policies, develop new products, and enhance investor engagement and expand the current capital market.
Similarly, Shiva Raj Shrestha, Deputy Governor of Nepal Rastra Bank, spoke about NRB’s strategy to relinquish its interest in NEPSE due to its regulatory role. NRB, on the other hand, has stated that it will continue to actively participate in the development of the capital market.
Dr. Rewat Bahadur Karki, chairman, SEBON was pleased to be part of the launch event as a regulator of Nepalese capital market. Likewise, Chiranjibi Chapagain, the chairperson of Beema Samiti congratulated NEPSE and all the investors for introducing the new system.
The program was preceded by Laxman Neupane, Chairman and with short welcome speech by Chandra Singh Saud, CEO, NEPSE.
Best Blue Chip Share To Buy in Nepal
What is Blue Chip Share?
When consumers purchase stock in a corporation, they hope to make a profit. Blue-chip stocks are those that produce a lot of money and pay a lot of dividends to their shareholders.
These are often large, well-established, and financially strong businesses that have been in operation for a long time and have consistent earnings, often providing dividends to shareholders.
The market capitalisation of a blue-chip stock is usually in the billions. For all of these reasons, it is usually the market leader. Among the most popular equities among investors are blue-chip stocks.
Several blue-chip stocks in the Nepalese capital market deliver excellent long-term returns to investors.
We’ve looked at the top 20 blue-chip stocks in Nepal and ranked them by business category.
Best Blue Chip Share In Nepal
Commercial & Development Banks
- Nabil Bank Ltd (NABIL)
- NIC Asia Bank Ltd (NICA)
- Muktinath Bikas Bank Ltd (MNBBL)
Non-Life Insurance
- Shikhar Insurance Company Limited (SICL)
- Sagarmatha Insurance Company Limited(SIC)
- Neco Insurance Limited (NIL)
Life Insurance
1.Nepal Life Insurance Company Limited(NLIC)
2.Life Insurance Corporation Nepal(LICN)
Microfinance
- Chhimek Laghubiita Bittiya SAnstha Limited (CBBL)
- Nirdhan Utthan Laghubitta Sanstha Limited (NUBL)
- Deprosc Laghubitta Bittiya Sanstha Limited(DDBL)
- Sanakisan Bikas Laghubitta Bittiya Sanstha Limited (SKBBL)
- Swabalamban Laghubitta Bittya Sansyha Limited (SWBBL)
Hydropower
- Chilime Hydropower Company Limited (CHCL)
- Butwal Power Company Limited(BPCL)
Others
- Unilever Nepal Limited(UNL)
- Salt Trading Corporation (STC)
- Citizen Investment Trust (CIT)
- Nepal Telecom (NTC)
- Himalayan Distillery Limited (HDL)
These are the 20 stocks that have performed better for long period and remained popular among investors.
A Beginners Guide for Investors in the Nepal
1. OPEN A DEMAT ACCOUNT
To engage in both the main and secondary markets, you must first open a dematerialized (DEMAT) account with a Depositary Participant (DP) licensed by the Central Depository System and Clearing Limited (CDSC). Such services are available from most commercial banks, merchant bankers, and stock brokers.
If you already have stocks in your name, you can instruct your DP to convert your physical share certificates to dematerialized shares. The DEMAT account works in the same way as a bank account, debiting and crediting the shares you sell and buy.
The majority of DPs also allow clients to check the status of their DEMAT accounts online.
2. KNOW THE MARKET
To begin investing in the stock market, you must first grasp how the market works. The Securities Board of Nepal (www.sebon.gov.np), the country’s single capital market regulator, is a good place to start seeking primary data.
Its website, among other things, provides information on securities regulations, investor education, and impending public offerings. Similarly, the Nepal Stock Exchange (www.nepalstock.com) is the country’s only secondary market, and its mobile-based application is a wonderful way to access real-time data.
Many other famous websites, such as Share Sansar and Mero Lagani, provide daily information on the capital market.
3. PARTICIPATE IN THE PRIMARY MARKET
Applying for primary offers in the primary market, such as an Initial Public Offering (IPO) or a Further Public Offering (FPO), is one of the finest ways to participate in the capital market (FPO).
The majority of corporations sell main issues to the general public at NPR 100 per stock face value or at a premium based on their valuations.
When you buy in the primary market, the risk is smaller since you have the option to buy shares at a cheaper price than when you buy them in the secondary market after they are listed.
Look for opportunities to participate in the initial public offering (IPO) of mutual fund schemes, which can be a good place to start.
News regarding major problems is frequently published in national newspapers and widely broadcast on other media platforms.
Once you’ve determined that the key difficulties have been resolved, you can study their prospectus to learn more about them, including historical and anticipated performance, management, and other details.
Before making an investment decision, you can check their credit rating with a licensed credit rating firm.
4. PARTICIPATE IN THE SECONDARY MARKET– OPEN A TRADING ACCOUNT AT A STOCK BROKER
All equities traded on the primary market are listed on the secondary market, the Nepal Stock Exchange (NEPSE), which currently has 231 businesses listed. The secondary market is a marketplace where you can sell your existing shares or buy new ones. The value of the NEPSE Index and the share prices of these listed firms fluctuate every day based on the total demand and supply of shares in the market.
You’ll need to open a transaction account with a stock broker’s office if you want to participate in the secondary market. NEPSE presently licenses 50 stock brokers, and there are a few stock broker offices outside of Kathmandu.
When you register an account with a stock broker, they will provide you a unique ID code that will be used to perform any transactions in your name.
To place a purchase or sale order with your stock broker, simply contact or visit their office. Before placing a sale order with your stock broker, make sure you have the shares in your DMAT account. A commission is charged by the stock broker as a brokerage fee for each transaction, and you must also pay a capital gain tax of 5% if you sell your shares.
5. STILL CONFUSED
If you’re still unsure about entering the market or don’t have the time, energy, or resources to do so, don’t worry; there are a number of professional licensed Portfolio Management Companies, such as Beed Invest, that offer a comprehensive range of products and services under Portfolio Management Services (PMS).
These portfolio managers create portfolios that meet your risk appetite and invest on your behalf in the capital markets based on your investment goals and expectations.
Nepal stock exchange news
Online Financial Newsportal that provides latest Nepal Stock Exchange NEPSE live market trading, floorsheet, Indices, Share, AGM, Bookclose, Dividend. Looking for Nepal stock exchange today price. Best Deals and Discounts on the Latest Products.NEPSE News · NEPSE crosses 1,500 levels with the third highest turnover ever; Hydropower sees voracious buying mania · Nepal Stock Exchange (NEPSE). Nepal leading online financial newsportal with up-to-date news, updates and information about NEPSE (Nepal Stock Exchange), NEPSE listed companies
Why Nepal’s stock market is booming amidst a pandemic
This increasing index denotes the bullish trend in Nepal’s stock market that began in 2020, and investors are optimistic that share prices will continue to grow in the long run.
Despite the fact that Nepal’s economy has been hit hard by the epidemic since it began last year, with economic activity forecast to fall by 2.1 percent in 2019-20 and only around 2 percent in 2020-21, the stock market’s continued growth has astonished even insiders.
“With the country in lockdown, many Nepalis have channeled their money into the capital market, producing a spike in demand and triggering the current bull run,” said Shashwat Pathak, another equity analyst. A stock market that has a persistent rise in share prices is referred to as a bull run or a bull market.
“The bull market naturally attracts new investors as well as a younger demographic with more free time. They’ve used the stock market to supplement or perhaps replace some of their income.”
In addition to the epidemic making the stock market more active, Pathak claims that the advent of online trading systems (NOTS) and simple online payment systems has made it easier for participants.
The number of main market participants, or those who apply for an Initial Public Offering (IPO), has increased by 157 percent annually, from 0.7 million to 1.8 million. According to Pathak, total turnover climbed by 812 percent in the first eleven months of the current fiscal year, 2020/2021, from Rs. 135 billion to Rs. 1.2 trillion.
TOP NEPSE , NEPSE LIVE, NEPALSTOCK NEWS SITES
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