14 brokers out on the first day of trading week; daily transaction, turnover likely to decline

ShareSansar, August 12

Nepse has suspended a total of 14 brokerage firms from trade today after they failed to conduct the settlement on time.

According to the notice of Nepse, those barred from performing trade today are Opal Securities (Broker number 4), Market Securities Exchange Company (5), Agrawal Securities (6), J.F. Securities (7), Thrive Brokerage House (13), Nepal Investment & Securities Trading (19) and Midas Stock Broking Company (21).

Likewise, Asian Securities (26), Shree Krishna Securities (28), Trishul Securities And Investment (29), Premier Securities (32), Creative Securities (40), Neev Securities (47) and Naasa Securities (58) have been thrown out of trading today due to the non-settlement of cash.

While the Nepse suspends the brokers from trading for their failure for timely settlement, the brokers pass the buck to the CDS and Clearing Ltd for the delay in the cash settlement.

With the rise of the share transactions in the bourse, the clearing and settlement company has been finding it hard to settle the cash and papers on time due to its low capacity.

The suspension of the brokerage firms from trading is leading to the decline of the turnover and transactions in the share market.