CDSCL holds mock trading and settlement of stocks successfully

ShareSansar, September 26:

Mock trading and settlement of demat share has taken place today in the run up to the actual trading of scrips, which will take place immediately after the Dashain holidays.

“Today we have conducted mock trading and settlement of 2000 transaction of three listed companies,” CDSCL official Sabina Pujari told ShareSansar today. “All the 50 brokers have taken part in the mock test that lasted for two hours and the test has been successful.”

"Yes, the test has been very successful from the part of the brokers. We did not encounter any problem in the mock test," said President of the Brokers' Association Narendra Sijapati. "But we are not fully aware about the performance of the DP and other parts of the system."

CDSCL official maintain that the entire trading and settlement mock drill has become successful.

The stocks of SRBL, NBB and SBL was used for the mock test, which has now shown that the CDS system can take the normal load of trading and settling the real stocks smoothly.

Nepal Stock Exchange (Nepse) and CDS and Clearing Ltd (CDSCL) have been saying that they will implement the demat form of share trading starting with the stock of commercial banks from Ashoj 20 for the stocks of the commercial banks in the first phase while the full-fledged operation will begin from Kartik 6.

As per the plan, the investors can sell their stock in physical format after Dashain, but the buyer must open a demat account to trade the stock. Eventually the trading and settlement of all the scrip for both sellers and buyers will take place in demat format soon.

The stock exchange and its subsidiary are even under the legal pressure to begin the paper-less technology by Kartik 6.

Central Depository Service Regulation 2010 clearly spells that the ‘securities transactions on Nepse after six months from the commencement of the operations of Central Depository Company shall be in demat form only.’

Since the operations of CDS begun for the first time begun on Baisakh 2, the full-fledged operation should start from Kartik 2.

Once the CDS is fully implemented, the market will rise to a new high, according to experts.