Five new stockbrokers get SEBON’s okay
KATHMANDU, MAY 12 -
Five new stockbrokers have been approved to enter the country’s only capital market, the first addition to the roster of brokers in 18 years.
The Securities Board of Nepal (SEBON) granted licenses to Kalika Securities, Swornalaxmi Securities, Dakchhinkali Investment and Securities, Deepshikha Dhitopatra Karobaar Company and Kohinoor Investment and Securities on Wednesday.
SEBON said that investors in the capital market would benefit from easy, competitive and quick service with the entry of new stockbrokers.
“These five stockbroker companies were allowed to operate in the capital market after having fulfilled the necessary criteria as per the Securities Act,” said SEBON in a press release. According to SEBON, 13 other candidates are in the process of putting together the necessary infrastructure and manpower after having received letters of intent.
The Nepal Stock Exchange (NEPSE) started operations in 1994 with 32 stockbrokers. Subse-quently, the number dropped to 23, leading to their capacity being stretched with market capitalisation currently amounting to more than Rs 300 billion compared to Rs 14 billion in 1994.
The process of selecting 27 new stockbrokers started in 2007 and took nearly four years to be completed due to controversies regarding fairness in the process.
After many delays, NEPSE resumed the selection process on Aug. 4, 2010 by directing all the candidates to present their state of eligibility.
Accordingly, 160 out of the 316 original applicants presented their state of eligibility allowing them to progress to a written examination.
Source: Kantipur
Five new stockbrokers have been approved to enter the country’s only capital market, the first addition to the roster of brokers in 18 years.
The Securities Board of Nepal (SEBON) granted licenses to Kalika Securities, Swornalaxmi Securities, Dakchhinkali Investment and Securities, Deepshikha Dhitopatra Karobaar Company and Kohinoor Investment and Securities on Wednesday.
SEBON said that investors in the capital market would benefit from easy, competitive and quick service with the entry of new stockbrokers.
“These five stockbroker companies were allowed to operate in the capital market after having fulfilled the necessary criteria as per the Securities Act,” said SEBON in a press release. According to SEBON, 13 other candidates are in the process of putting together the necessary infrastructure and manpower after having received letters of intent.
The Nepal Stock Exchange (NEPSE) started operations in 1994 with 32 stockbrokers. Subse-quently, the number dropped to 23, leading to their capacity being stretched with market capitalisation currently amounting to more than Rs 300 billion compared to Rs 14 billion in 1994.
The process of selecting 27 new stockbrokers started in 2007 and took nearly four years to be completed due to controversies regarding fairness in the process.
After many delays, NEPSE resumed the selection process on Aug. 4, 2010 by directing all the candidates to present their state of eligibility.
Accordingly, 160 out of the 316 original applicants presented their state of eligibility allowing them to progress to a written examination.
Source: Kantipur
