Nagarik Stock Dealer is likely to start buying and selling shares soon. The Securities Board of Nepal (SEBON) has given permission to the fund as per Section 4 of the Securities Dealers (Securities Brokers and Securities Dealers) Rules, 2064 BS.
Nagarik Stock Dealer has been given the permission of the first phase of the license from the board. It will come into operation as soon as the required infrastructure is developed. Physical infrastructures like the place of stock dealing (the fund has taken a flat on Krishna Tower on a year-long rent), furniture, and such are already managed by Citizen Investment Trust (CIT). Meanwhile, they also claimed the completion of the required software. The management is prepared to call SEBON for inspection and get the final green light to operate.
If everything goes as planned, Nagarik Stock Dealer will be in operation by Shrawan itself.
CIT has an investment of Rs.2.50 Arba (51% stake) while Nepal Telecom and Nepal Reinsurance Company have an investment of Rs.50 Crore (10% stake) and Rs.45 Crore (9% stake) respectively. CIT will enjoy the first mover’s advantage for a brief period until other stock dealer firms enter the market.