Bombay Stock Exchange eager to buy Nepse stock

Bombay Stock Exchange (BSE), a leading stock exchange in South Asia, has approached Nepal Stock Exchange (Nepse), expressing interest in investing in as much as a 10 percent stake and working as a strategic partner.

Such a proposal from BSE comes at a time when the Ministry of Finance (MoF) is debating the model for privatizing the country´s sole stock market. Officials concerned said it could be one good option to go with. "BSE has repeatedly approached us to partner in Nepse. But because we are yet to finalize the modality, we have remained silent on it so far," said Tanka Paneru, chairman of the Nepali stock exchange.

Paneru told myrepublica.com that BSE had first raised the issue with keen interest when senior Nepse officials visited Mumbai last year. BSE raised the issue again when its officials visited Kathmandu in December. During the talks, BSE officials had referred to the induction of two of the world´s best exchanges, Deutsche Börse and Singapore Exchange, as strategic partners in BSE, and said the stock exchange was interested in jumping into a similar partnership in Nepal.

They had even said that BSE could instantly invest 5 to 10 percent of capital in Nepse. Officials at Nepse believed that induction of a modern and competent strategic partner like BSE would greatly raise capacity and efficiency in the secondary market in Nepal. Nepse has proposed to MoF induction of a strategic partner as one of the options among privatization models. "Our only worry on this is; it could take a longer time to formalize the deal," Paneru said.

Given the delay Nepse has seen in its privatization, policymakers are currently in a mood to hasten the process. For its privatization, Nepse has suggested to the government to either divest its shares through competitive bidding under the Privatization Act or follow the initial public offering (IPO) model, as was done in case of Nepal Telecom, but without tagging a minimum price.

MoF officials stated that following the Privatization Act would yield better returns for the government. But they are worried that the protracted process could cost privatization dear, especially given the instability on the political front. Under the IPO model, Nepse has proposed to issue 30 percent share to the general public and auction off another 20 percent to institutional investors. "If MoF wants, we can even set aside a portion of shares for inducting strategic partners like BSE," said Paneru.

For executing this process, Nepse has said it will raise its paid up capital to Rs 200 million, from less than Rs 40 million now, by issuing bonus shares to its present shareholders -- the government, Nepal Rastra Bank and Nepal Industrial Development Corporation.
Source:Republica

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Nepse protests NRB directives

Nepal Stock Exchange (Nepse) on Friday protested directives from Nepal Rastra Bank (NRB) on converting 19 percent of promoter shares into general shares, arguing that this could lead to a market crash. "Conversion of 19 percent promoter shares will double the supply of stock. It would force the market to lose another 200 points. This must be avoided," said Tanka Paneru, Nepse chairman.

Briefing lawmakers at the Parliamentary Finance and Labor Relations Committee, Paneru argued that a tight marginal lending policy, the inflation-shrunk savings of small investors, other market dynamics and liquidity crunch have already forced the market to correct. "The market has already corrected to 540 points from some 1,200 points of two years ago. We need not implement another correction measure that we worked out during the overheated era," Paneru stated.

Lawmakers at the committee were divided over the issue. Dr Ram Sharan Mahat, a lawmaker, stood in favor of NRB´s directives, saying these will free the promoters´ locked-up money and foster entrepreneurship.

Dr Tilak Rawal, another lawmaker, opposed it, saying that it will squeeze the market further, spark distress selling and crash Nepse, sending an adverse wave throughout the economy. Because of differences among lawmakers, the committee failed to give its decision over the case.
Source:Republica

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NEPSE asks brokers to venture out of Valley

Nepal Stock Exchange (NEPSE) has asked stock brokers to reach out to the investors from outside the Kathmandu Valley since NEPSE is planning to introduce online transaction for the investors from outside the Valley beginning from Jan. 15. Not even a single broker has been reported to have shown up anywhere outside the Valley till date.

NEPSE has already asked the brokers to select their choice of locations. In the first stage, brokers have been asked to choose major cities for their operation. "We have already informed the brokers about NEPSE's service expansion plan outside the Valley," said Tanka Paneru, Chairman of NEPSE. "They are free to choose the locations of their choice." He said that NEPSE may fix the location for them if they failed to choose the place by themselves.

A source at NEPSE said to begin with, it is planning to provide platform for share transactions in Pokhara, Chitwan, Birgunj and Biratnagar. The transaction can be carried out through Wide Area Network which requires optical fibre to operate. "We are also considering about working with a few companies regarding the use of optical fibre," said Sankar Man Singh, General Manager of NEPSE.

Brokers said that they were also ready to go venture out of the Valley. "We got the letter from NEPSE regarding this on Monday," said Nanda Kishor Mundada, chairman of Broker's Association of Nepal. He said brokers were interested to go to all the major cities from where online transactions were possible. "Since more than one broker can go to a single city we have to discuss this," he added.

The Securities Business Person Regulation 2007 has also allowed brokers to open branches outside the Valley. But, they need to take permission from Securities Board of Nepal. NEPSE is also seeking to extend the timeframe of transactions as it will take relatively long time for transactions from outside the Valley. "We may review the existing timeframe considering the transactions from outside the Valley," said Paneru.
Source:eKantipur

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Nepse up by 6.98 points

Nepali investors gained this week-- from December 18 to 24 -- as Nepal Stock Exchange (Nepse) index upped by 6.98 points. The majority of the sectors listed with Nepse gained between 1.18 points and 10.94.

Hydropower was the largest gainer with 10.94 points followed by commercial banks (9.70 points) development banks (8.86 points), finance companies (2.83 points) and insurance companies (1.80 points).

There was a change in the index of manufacturing, hotel and trade sectors. The Nepse float index also increased by 1.74 per cent this week.

Nepse floor traded 4,84,200 units of shares equal to Rs 265.93 million of 85 companies through 6,264 transactions within five trading days this week. The trading amount was 28.04 per cent less than the previous week's Rs 369.55 million. Class 'A' companies dominated in the transaction with Rs 97.2 million (36.75 per cent) in total trade.

Prime Commercial Bank occupied top position in amount (Rs 100.5 million), share number (1,61,000 units) and transactions (2,864). Other companies up in traded amount were Standard Chartered (Rs 26.37 million), Vibhor Development Bank (Rs 14.55 million), Siddharth Bank (Rs 13.24 million) and Nabil Bank (Rs 11.50 million).
Source:THT

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NEPSE, CDSL to sign MoU

Nepal Stock Exchange (NEPSE) is all set to sign a Memorandum of Understanding (MoU) with India's Central Depository Services (India) Limited (CDSL) to install software for CDS system in Nepal within this month.

"Nepal government and Indian External Affairs Ministry have given a nod to go ahead for the MoU and the two sides are looking for an auspicious day for the signing," said Shankar Man Singh, general manager of NEPSE. "The CDSL will provide consulting and training services to NEPSE officials besides installing the software after MoU as well as the cooperation agreements are signed between the two sides," said Singh. The CDSL has told NEPSE officials that it would take eight to 10 months to install the software.

The Indian government has already pledged a grant assistance of Rs. 140 million for the software installation. An estimated Rs. 450 million will be required to complete the installation process. The CDS system will replace the existing manual transactions and enable settlement of shares transactions in a scientific and reliable way. Under the existing system, investors have to wait for at least two weeks to get the ownership of shares transferred. According to Singh, the articles of association and memorandum of articles have already been prepared to establish CDS system and the finance ministry has endorsed them recently.

The NEPSE will have 51 percent stake in the company that operates CDS. The banks including the Himalayan Bank, Nepal Investment Bank, Bank of Kathmandu, Kumari Bank, NIC Bank, Standard Chartered Bank, Laxmi Bank and KIST Bank as well as Citizen Investment Trust have also already promised investment in the company.
Source:eKantipur

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Interaction on Nepse Index held

Finance Minister Surendra Pandey has asked investors not to take capital market as the place for speculative and short-term earning.

Speaking at an interaction on Nepse Index organized by Nepal Stock Exchange Ltd with support of Bombay Stock Exchange here on Tuesday, Minister Pandey said trading in stock market will be guided by basic economic indicators in the long run despite the role of psychological factor. Expressing commitment for the development of capital market, Pandey said the Central Depository System (CDS) which is at the final stage of implementation-- would bridge existing gap between increasing supply and demand of shares in the secondary market.

Finance Secretary Rameshwar Khanal said the government should end its influence in the capital market. "Investors expect government intervention at the time of both bullish and bearish period in stock trading. But we need to consider the fact that the government´s intervention in the capital market is not appropriate," said Khanal.

Dr Surbir Poudel, chairman of Securities Board of Nepal (SEBON), stressed on the need for effective coordination among stockholders, including SEBON and Nepal Stock Exchange, while formulating policy on capital market.

Krishna Bahadur Manadhar, deputy governor of Nepal Rastra Bank, said role of the central bank was necessary in regulating capital market, dominated by financial institutions. Shankar Man Singh, general manager of Nepal Stock Exchange elaborated the significance of the interaction.
Source:Republica

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Paneru Appointed as Nepse Chairman

Government of Nepal has appointed Tanka Prasad Paneru as the Chairman of Nepal Stock Exchange. Paneru is Chartered Accountant and was former chairman of Institute of Chartered Accountant of Nepal and has also worked as member of Securities Board of Nepal.

Former Chairman of Nepal Stock Exchange (Nepse) Dr Narayan Prasad Paudel resigned from his post on 26th July 2009. "I couldn´t get cooperation from Nepse board members to implement some innovative programs, including skill development program for employees, prompt decision on appointment of stock brokers and introduction of Central Depository System in Nepse," Paudel had said at a press meet organized to inform about his resignation.

The Maoist-led government had appointed Dr Poudel, to the post on 1st January 2009. After his resignation, the post of Chairman at Nepse was vacant till the date of Paneru's appointment.
Source:Jamb News Service

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Stocks Stampede to optimistic pricing: 2nd Hour Report

After subdued rally in first hour, stocks rallied to positive note on Second hour. Demand of financial stocks rose on last session before Tihar Holiday letting positive price of key banking stocks like Standard Chartered(Rs. 3672, +2.86%), Nepal SBI (Rs. 1735, +2.06%) along with bucket of scrip.

Nepse index traded higher of 6.18 points or 1.03 percent to 605.68 as Banking rose 8.53 points, Development bank added 4.47 points, finance and others are single point forward. It seemed investors got boost from yesterdays upbeat and cling hope for further advancement. If this trend will forward till the closing bell, Nepse might boost the investors' psychology and surely will initiate the positive rally for next session to come after Tihar Holiday.
Source:Jamb News Services

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First Hour: Passive Trade

Investor's hair at Nepali equity market was falling thinner day by day as the market was following the bearish foot. However, green shot in last two sessions has triggered hope for positive shift but today's first hour session performed lackluster shedding full-size optimism to ground level.

The passive trade lost 0.68 points to 598.82 triggered by plummets in banking scrip like Standard Chartered (-0.56%) and Bank of Kathmandu (-1.56%). Moreover, the Nepse index is trading below 600 which is low for more than 27 months. Development bank (652.81, -0.70) sector is trading feeble while finance's (+0.73) positive note was boosted by price of Merchant Finance Co. Ltd. (Rs. 319, +6.69%).

Thinner volume of Rs. 3,229,896 from 5,824 shares traded in a dull first hour session. Investor's participation seems too weak at the last day before Tihar Holiday. Investor's psychology is much more concerned for Tihar rather than secondary trade. From tomorrow, new IPO of Miteri Development Bank will kicked off, has also sidelined many investors investment today for coming IPO.
Source: Jamb News Service

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Why Investors are swimming naked

"Please god save us from this downhill", it's not only the remark of individual investor at the current scenario of equity market but the tune of mass mental. Fright at the home equity market has kicked its buttress to higher perimeter letting the psychology behind the downhill in company with stock prices.

Everyone at the contemporary phase might be thinking why stock market is going downhill, however the answer diverge on sentiment to sentiments. Some people might view the panic from Top-Down-Approach and others from Bottom-Up-Approach. I mean, there are people with macroeconomic concept throwing grisly words to policy makers, politician at the decision making levels, peace and securities concerns, investment environment or international crisis and frequently the regulatory bodies. On the flipside, we can discover people hanging around with microeconomic concept believing weak fundamentals of company, Short of general investors' awareness as the prime foundation behind the plain sailing stock market.

The prolonged slump at stock market has been one of the most serious points of worry for people and to government as well, as millions of money flow regularly from the market to the revenue account of government. The peak and trough are the natural phenomenon of stock market which sways on the weight of news around.

Discovering the genuine truth of market peak and retreating is hard-hitting effort as is decided by the crowd psychology; however there is noticeable evidence behind the scenes. At present, many investors at the secondary market are swimming naked along with falling prices but they are yet unknown with the fact that why market is running out of hope. I have endeavor with certain grounds to seek out the cause of blood in the street.

The key behind the drought of stock market is investors' psychology, someone had truly said that "Psychology is the most essential factor at stock market and one which is least understood". And these days' investors' psychology has been haunted by fear of promoters share floating in the market as per the Sebon provision. Sebon had provided the consent to convert promoters' shares so as to maintain ratio of 49 percent public holding and 51 percent promoter's power. This shed alarm to panic as the shares will be induced in market by more than 50 percent as recently many companies have the power ratio at 70:30.

This is the time of shares listing in the Nepal Stock Exchange, especially right shares and bonus shares which were previously declared & distributed and others listing are in pipe line. Consequently, most of the people have titanic amount of certificate in hands and fancy to in cash that paper certificate so simple formula exist "If supply exceeds, price slid down" and same phenomenon has preoccupy our market. Moreover, the government provision declared at the budget speech to have Pan Number for more than 1 million trade supported by disclosure of source of fund for trade exceeding 2 million has impede the cash flow in the stock market.

In addition, the hinder to acquire the loan for shares from financial institutions slowed down the demand of scrip as NRB's decisions prohibits for easy loan access. Similarly, the interest for the loan is high from 10 to 15 percent and definitely interest rate exceeds the return rate. So people are being on sideline to keep away themselves from the tag of "hoodwink" on taking loan on high interest and less return in stock market amid high risk.

It is obvious that our political and economical aspect is in transition phase, and capital market is just one of the economic parts affected by political events. For this reason, the political discrepancies along with ruined economy, our stock market is yet to steps forward in speed. Once, if political and economical environment is stabilized than sure there will be bulls around the street chasing the bears out of town. Not only political or economical events affect the market, it is also sensitive to socio-cultural environment. The divine festival of Nepali people will kick off within weeks and obviously people wants money, so selling share certificate collection of money has took the central stage.

Most possibly these are the primary facts surrounded the stock market, and there are too hidden facts as un-ethical trade by some players for their vested interest, either by some means impact of international crisis. These grim outlooks have hammered the market health amid the sound profit cards of companies and dividend declaration by many of them. But investors are less attracted with the positive points and following the herd in the market with throwing selling orders.

Stock markets ebb and flow. As share prices responds to bull tidal, investors' exuberance surges for a time then surely recedes. Low tides will not leave investors exposed to capital losses, it is the high tide that let stock market wealth wash out to sea and then do we discover which investors have been swimming naked? And now it's time for us to discover that "Are we really swimming naked" at a time where bearish crawl has feared us for long time. If yes, then there should be defined ways to wrap up our wealth.
Source:Bikash Chaudhary (nepalsharemarket.com)

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Nepse's downfall on

Impact of book closures -- a cutoff date for transferring shares for the benefit of cash dividend and bonus shares -- of Nabil Bank and IME Financial Institution continued to take its toll in the stock market for the second consecutive day on Wednesday.

The benchmark Nepal Stock Exchange (Nepse) index shed 9.72 points to close at 620.39 at the end of Wednesday´s trading session with sub-indices of almost all trading groups doing down. The Nepse had dropped 27.42 points to close at 630.11 points on Tuesday.

Banking, the dominant group in the secondary share market, suffered 13.58 points to close at 612.73 points with the fall of share prices of Nepal SBI Bank and Standard Chartered Bank despite the marginal rise in the share price of Nabil Bank. Nabil Bank had seen its share price decline by Rs 1,599 per unit on Tuesday.

Similarly, Development Bank and Hydropower groups´ indices also plunged by 5.03 points and 17.23 points to end at 674.72 points and 835.68 points respectively. In the like manner, Finance and Others groups also shed 3.44 points and 5.88 points in their sub-indices to close at 642.33 points and 646.19 points respectively. However, the sub-index of Insurance group recorded a marginal gain of 1.9 points to close at 630.74 points.
Source: Republica

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Nepse's downfall continues

The downfall of Nepal Stock Exchange (Nepse) continued for three successive days on Monday, as confusion over possible arrival of promoters shares in secondary share market further prolongs.

The benchmark Nepse shed 10.12 points to close at 661.03 points at the end of Monday´s trading. Nepse, which is also considered as the indicator of investors´ confidence on share market, has lost 21 points in three days, as investors fear the arrival of promoters shares would flood the stock market, leading to further decline in share prices.

During Monday´s trading, Banking and Hydropower groups saw their sub-indices drop by 13.26 and 18.12 points to settle at 679.4 points and 854.62 points respectively. Decline in the share prices of major banks such as Himalyan Bank, Nabil Bank, SBI bank and Standard Chartered Bank dragged down the sub-index of Banking group, the dominant player in the secondary share market.

Similarly, Development Bank and Finance groups also saw their sub-indices dip by 4.42 points and 4.68 points to close at 694.89 points and 658.2 points respectively. Insurance and Others groups also suffered losses with their sub-indices going down by 0.19 points and 8.23 points to close at 640.91 points and 646.19 points respectively.

Total market capitalization, total value of shares in the market, declined to Rs 459.87 billion from Rs 466.92 billion on Sunday.
Source:Republica

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Rumors of promoters' share bring Nepse down

Rumors of possible floating of promoters share in the secondary market continued to take its toll in share prices, pulling down Nepal Stock Exchange (Nepse) index for three consecutive days.

Nepse shed 10.39 points to close at 671.15 points at the end of trading session on Sunday, the first day of the week´s trading, due to the fall in the sub-indices of major trading groups.

Nanda Kishore Mundada, president of Nepal Stock Brokers´ Association, said mounting selling pressure led to the decline in share prices, as the Securities Board of Nepal (SEBON) is likely to allow investors sell promotes share in the secondary market.

The Nepse lost points for the third consecutive days on Sunday. Fall in the sub-index of the Banking group, the major player in the secondary share market, was the major contributor behind the fall of benchmark Nepse. Banking group´s sub-index plunged by a whopping 16.09 points to close at 692.66 points on Sunday, contributed by the decline in share prices of Bank of Kathmandu, Everest Bank, Global Bank, Himalayan Bank, Kumari Bank, Nabil Bank and Siddhartha Bank among others. Similarly, the Development Bank group and Hydro Power group also saw their sub-indices drop by 8.53 points and 2.05 points to close at 699.31 points and 872.74 points respectively. Others group also lost 4.69 points to close at 654.42 points.

However, Finance group and Insurance group saw marginal increments of 0.9 points and 0.84 points to close at 662.88 points and 641.1 points respectively.

Total turnover of stock reached to Rs 64.15 million with 100,516 units of share and 62 units of scripts changing hands through 1,021 transactions. Total market capitalization stood at Rs 466.92 billion at the end of the trading on Sunday.
Source: Republica

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New policy affects market movement

The Nepse index (-3.98%) declined steeply on Sunday and Monday and subsequently stabilized to hover around 680 points, which technical analysis indicates is the market support level. The lull in the market can be mainly attributed to the recent news of a meeting between NRB, SEBON and promoters regarding a policy for publicly held companies to convert 19% promoter shares to ordinary shares. Consequently, investors anticipate the share prices to drop drastically due to supply pressure.

None of the seven sectors that were active this week recorded gains. Despite the lucrative dividend (35% cash and 50% bonus shares) announced by Nabil Bank (-Rs 355), Commercial Banks (-6.08%) performed dismally, partially due to the lower-than-expected dividend declaration (20% cash) by Nepal Investment Bank (-Rs 233), which was also the biggest loser of the week. Development Banking (-1.79%) and Hydropower sector (-0.32%) fell as well. The Insurance sector (-0.87%) also traded in the red, as the share price of Lumbini General Insurance (-Rs 25) recorded one of the biggest losses.

World Merchant Banking & Finance (+Rs 75), Everest Finance (+Rs 43), and Union Finance (+Rs 25) were the top three advancers, in spite of which the Finance sub-index (-1.61%) plummeted. Similarly, the decline in the price of Nepal Telecom Company (-Rs 4) dragged down the ´Others´ index (-0.71%), while the price of Salt Trading Company, which declared 15% bonus shares, remained unchanged along with the Trading index.
Source: Republica

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NEPSE drops over low cash dividend

Announcement of nominal cash dividend by Nepal Investment Bank Ltd (NIBL) triggered further loss in already slowing Nepal Stock Exchange (Nepse) index. The Nepse, the indicator of investors´ confidence in stock market, shed 2.09 percent or 14.47 points to close at 678.87 points at the end of Tuesday´s trading.

“Meager cash dividend of Rs 20 per share announced by NIBL has discouraged investors and spurred selling pressure in the secondary market on Tuesday. The announcement also sent negative message to investors of other companies,” Nanda Kishore Mundada, president of Nepal Stock Brokers Association told myrepublica.com. Price of NIBL´s per unit share dropped by 114 to Rs 1035 on Tuesday.

Mundada also said rumor of Securities Board of Nepal (Sebon) permitting promoters to lower their equity participation by selling 19 percent of total shares also contributed to the decline. “If permission is given to sell promoter shares, number of share would be doubled in the secondary market, resulting in overflow of shares in the secondary market,” said Mundada.

Banking group, a key trading group in stock market, saw its sub-index dropped by a whopping 23.42 points to close at 707.82 points. The slump in Banking group´s sub-index was contributed by the decline in share prices of major banks such as NIBL, Nabil, Standard Chartered and Kumari Bank. Similarly, Development Bank and Finance groups´ sub-indices also wend down by 0.58 points and 5.89 points to end at 703.15 points and 868.77 points respectively. Insurance and Others group also saw their sub-indices dip by 1.66 points and 8.22 points to close at 640.29 points and 649.72 points respectively.

Total turnover of stocks declined to Rs 86. 36 million with 123,722 units of shares and 55 scripts being traded through 964 transactions during Monday´s trading. Total market capitalization also dropped to Rs 471.49 billion, down from Rs 481.55 billion recorded on Monday.
Source: Republica
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NEPSE drops for 6th straight day

The Nepal Stock Exchange (NEPSE) continued its downward trend for the sixth consecutive day losing 8.88 points to close at 693.94 points on Monday. Monday's trading session saw the banking sector, a major component of the secondary market, decline by double digits to close at 731.24 points. The banking sector lost 13.7 points due to a drop in the share prices of major banks like Standard Chartered, Nabil, Bank of Kathmandu and Everest Bank. The hydro sector also plunged by double digits on Monday. Dragged down by the falling stock prices of Butwal Power Company and Chilime Hydropower Company, the hydropower index lost 11.82 points to settle at 862.88 points. Likewise, the development bank sector also shed 8.1 points to close at 703.33 points. Poor performance by finance companies caused the finance sector to lose 5.96 points. Insurance was the only sector that went up on Monday. Total transactions on NEPSE reached Rs. 89.93 million with 119,276 units of shares being traded. Shares of 56 companies changed hands on NEPSE. Among the 20 commercial banks whose shares were traded on NEPSE on Monday, Nepal Credit and Commerce Bank posted the biggest growth with its stock rising by 15 points while Standard Chartered Bank lost the most on the trading floor by shedding 160 points. Similarly, among the 11 development banks, Annapurna Bikas Bank witnessed the highest increase of 5 points while Swabalamwan Bikas Bank lost 43 points. Among the 19 finance companies, Union Finance was the highest gainer with an increase of 25 points in its share price. NIDC Capital Markets was the biggest loser shedding 65 points. The top five winners on NEPSE were Lumbini General Insurance with a 10 percent rise in its stock price followed by United Finance Company, Life Insurance Company, Nepal Credit and Commerce Bank and Annapurna Bikas Bank. Similarly, the top five losers on Monday were Prabhu Finance Company which fell by 8.15 percent followed by Swabalamwan Bikas Bank, NIDC Capital Markets, NMB Bank and Nepal Share Markets. Standard Chartered Bank topped the chart in terms of turnover with Rs. 18.12 million.
Source: Kantipur
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NEPSE continues to slide

The Nepal Stock Exchange (NEPSE) Tuesday fell by 0.66 point. All the sub-indices suffered a loss except for the development bank sector. The hydropower sector lost the most dropping 12.88 points followed by finance, banking and insurance.The share market witnessed a total turnover of Rs. 91.39 million with 118,822 units of shares being traded. Shares of 67 companies changed hands on NEPSE.Among the 22 commercial banks whose shares were traded on NEPSE on Tuesday, Everest Bank posted the biggest growth with its stock rising by 44 points while Standard Chartered Bank lost the most on the trading floor by shedding 73 points.Similarly, among the 15 development banks, Swabhalambhan Bikas Bank witnessed the highest increase of 40 points.Among the 25 finance companies, Kaski Finance was the highest loser shedding a whopping 570 points. The top five winners on NEPSE were Swabhalambhan Bikas Bank with a 6.06 percent rise in its stock price followed by World Merchant Bank, Machhapuchchhre Bank, Citizens Bank International and National Hydropower Company.
Source: Kantipur
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NEPSE down as most trading groups shed points

Exuberance at the Nepal Stock Exchange (Nepse), the secondary share market of the country, felt after the announcement of bonus share and cash dividend by Standard Chartered Bank could not last for long.

The benchmark Nepse index dipped by 5.94 points to close at 716.01 points on Monday, the second day of the week´s trading, with most of the trading groups´ sub-indices nosediving at the end of the day.

Banking group, the most dominant player in the stock market, shed 8.34 points as price per share of major banks, including Everest Bank, Standard Chartered Bank, Machhapuchhre Bank, Citizen Bank, and Lumbini Bank dropped at the end of the session.

Similarly, Development Bank group lost 1.93 points to close at 729.49 points with some of the development banks such as Ace Development Bank, Gandaki Development Bank and Sanima Development Bank recording decline in their share prices.

Hydropower group also joined the losing bandwagon with its sub-index dropping by a whopping 21.97 points -- the highest loss among the trading groups -- as share prices of Butwal Power Company and National Hydro-power Company plunged.

Dragged down by sharp fall in the prices of major finance companies, including Lalitpur Finance, Fewa Finance, Kuber Merchant Bittiya Sanstha, the sub-index of Finance group went down by 5.5 points. Similarly, the Insurance group also went down by a marginal 0.63 points to close at 647.82 points.

However, Others group´s sub-index gained 5.87 points to close at 663.81 points.

Total turnover in Nepse stood at Rs 12.60 million with 190,531 units of shares changing hands through 1,060 transactions. The total capitalization at Nepse has reached to Rs 491.90 billion.
Source: Republica
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NEPSE gains 4.75pt

The Nepal Stock Exchange (NEPSE) Sunday gained 4.75 points on the trading floor.

The sub-indices on NEPSE saw a mixed result as three of them witnessed a loss while the other two rose on Sunday. The banking sector was the highest gainer on NEPSE as it rose by 10.57 points.

Meanwhile, the hydro-power sector lost the most on NEPSE by shedding 37.61 points. The share market witnessed a total turnover of Rs. 202.093 million with 243,338 shares being traded. Shares of 57 companies changed hands on NEPSE.

Among the 21 commercial banks listed on NEPSE, Standard Chartered Bank posted the biggest growth with its stock rising by 219 points.
Source: Kantipur
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NEPSE rallies double digit with SCB announcement

Spurred by the announcement of bonus shares and cash dividend to share holders by Standard Chartered Bank (SCB), Nepal Stock Exchange (NEPSE) posted sharp gain on Wednesday after suffering losses for 11 days in a row. The benchmark Nepse rallied 3.91 percent or 26.98 points to close at 717.2 points on Wednesday with the cheers of SCB´s share holders infusing optimism among investors of other companies.

In absence of any stimulators for last few days, Nepse index had moved to red-territory as the index cat bounced in corrective mode.

“Announcement of SCB to provide 2:1 bonus shares and 50 percent cash dividend to its share holders encouraged not only its share holders but brought positive impact on other investors in getting such return from other companies,” Nawaraj Pokhrel, former president of Nepal Stock Brokers´ Association told myrepublica.com. “Mainly long-term investors, who want to hold shares on their possession are more enthusiastic with the price sensitive information from SCB,” added Pokhrel.

According to the Nepal Stock Exchange Ltd, price per share of SCB rose by Rs 542 to close at Rs 5,967 per unit. Total 3,809 units of SCB´s shares worth Rs 22.30 million were traded on Wednesday. Similarly, share prices of Nabil Bank and Everest Bank went up by Rs 443 and Rs 198 respectively. Share prices of Kumari Bank and Bank of Kathmandu also soared by Rs 40 and Rs 75 per unit respectively.

Gain in all trading groups contributed to the rally in the Nepse. Banking group, the key player in the secondary share market, rose 6.36 percent or 45.57 points to close at 762.13 points. Similarly, sub-indices of Development Bank and Hydropower groups shot up 9.63 points and 11.18 points to end 732.23 points and 955.81 points respectively.

Finance and Insurance groups´ sub-indices rallied by 2.14 points and 1.46 points to finish at 682.3 points and 648.63 points respectively. Likewise Manufacturing and Others groups also saw nominal gain by 0.58 points and 1.17 points to 434.9 points and 659.11 points respectively.

However, Pokhrel is skeptical the pace of Nepse´s rally will continue in coming trading sessions due to gap for next three days in trading. The rise in the share prices pushed up total turnover also to Rs 137.84 million with 180,602 units of share being traded through 1,038 transactions during the trading session. Total market capitalization, total worth of shares, reached to Rs 492.73 billion.
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