Dashain Gift to Investors: Securities Board of Nepal Decides to Reduce Broker Commissions

The Securities Board of Nepal (SEBON) has decided to reduce broker commissions. The board's decision, which will require approval from the Ministry of Finance, will allow investors to directly benefit from the commission reduction. The board has decided to reduce 10% each of both the broker and of SEBON from the current commission structure. 

Previously, SEBON had reduced broker commissions about two years ago. As of Poush 12, 2077, the board had implemented a commission reduction, decreasing broker commissions from 33% to 60%. Under the current system, investors pay a 0.40% broker commission on transactions up to NPR 50,000. For transactions between NPR 50,000 and 5 lakhs, the commission is set at 0.37%. For above 5 lakhs and up to 20 lakhs, the commission rate is 0.34%, while transactions exceeding 20 lakhs up to 1 crore have a 0.30% commission and beyond Rs 1 crore it is 0.27%. 

Additionally, in the purchase and sale of government or institutional bonds, a service charge of 0.10% applies for transactions up to NPR 50,000, 0.05% for transactions between 50 lakhs, and 0.02% for transactions exceeding 50 lakhs.