The Dhaka Stock Exchange (DSE) is the largest of two stock exchanges in Bangladesh as well as the oldest, having begun trading before the country became independent in the 1970s. The second-largest is the Chittagong Stock Exchange, which began operations in 1995. The DSE lists almost 600 securities and total market capitalisation is approximately $47 billion.
Bangladesh is one of the fastest-growing economies in the world. Prior to the pandemic, the country registered an 8.2% growth rate in 2019, according to the World Bank.
Joshi explained that the Bangladeshi economy is larger than Vietnam and also growing at a faster pace than the Southeast Asian nation. “They will need more and more investment to capital markets if they were to sustain the growth,” he said.
With a population of some 163 million people, the country’s GDP per capita is inching closer to $2,000. That is set to bring about a shift toward discretionary sectors such as those related to non-essential consumer goods and services, which tend to increase as disposable incomes rise. So its a very good place to invest your money in Bangladesh stock exchange.
How To Invest In The Dhaka Stock Exchange
Like all stock market in the world, investing in Bangladesh Stock Market (DSE &CSE) is a profitable business. Investing is always profitable if you can invest at the right place and at the right time. In this post, I’ll share with you, how to start investing in Bangladesh Stock Market.
Understand What Is Stock Market
Before start stock trading in the stock market, you need to understand what stock market is, how it works, why you should invest. The stock market is not what types of the market where we usually go shopping. It is the market for buying and selling listed companies share. There are lots of companies are listed in Bangladesh stock market. More than 3 million BO account is active and over 1 million people are directly involved with the stock market. So, this is so important to understand the market and market summary. There is few step you need to follow if you want to invest in Bangladesh stock market, here is the steps:
Mediating The Secondary Application Process:
- Opening BO account
To invest or trade in the stock exchange an investor has to have a BO account. An investor can easily open a BO account with the help of a brokerage house both manually and online. Different firms charge a different amount for opening a BO account given a Cap prize by CDBL.
- Fund transfer
To Trade, Investors need to have money in their BO account. Facilitating the transfer of money through banking channels like NPSB, BEFTN, and RTGS or through mobile banking options or other mediums.
- Fund Withdrawal
Similar to Fund transfer, easing the process of fund withdrawal from BO account is also an important function of a Brokerage firm.
- Executing Trade orders
Brokerage firms is also entitled to execute trade order on behalf of their clients. Clients can issue a trade order through telecommunication or online or directly in the trading houses. If any kind of financial loses occur due to carelessness of brokerage house to the client, they are liable for that.
Mediating the IPO application process
When a new company gets enlisted in the share market, they issue their shares in the form of IPO for the very first time. To be able to purchase these shares investors need to place bid and go through a full funded application process. Failed attempts cast 10 taka per application being application.
- Portfolio and Ledger balance checking
Brokerage firms also keep records of the client’s portfolios and ledger balances on behalf of their clients. Clients can follow up from time to time to take more informed trade decisions.
- Safe keeping of securities
Brokerage firms ensures Safe keeping of their client’s securities on behalf of their clients.
Top Brokerage In Dhaka, Bangladesh
A brokerage firm is a financial corporation that aims to serve as an intermediary between buyers and sellers (Investors) to promote trade of securities. Brokerage firm obtains revenue by charging a fee on the price that is paid after the trade has been successfully concluded. While facilitating trade, a broker never performs in the role of a principal in the transaction, only takes the role of an agent. The fees or commissions charged by the brokerage firms vary among the industry. But In Bangladesh SEC has restricted the maximum amount of charge a certain Brokerage house can charge his clients is a maximum 1 percent of the trade value. And if you open an account with us then we Charge only .50%.
To have a successful trading experience a client needs to find an efficient brokerage house that has the ability to ease the trading experience and keeps up to date information on the market. Today we are going to discuss the features of the top or best brokerage firms in Bangladesh.
Tips on Investing
- Before investing in the stock market, consider connecting to a financial advisor or an expert. Such a professional’s advice can steer you away from pitfalls that retail investors working solo often fall into when they venture offshore.
- Before investing research on that company few things: Last 90days price graph, How many percentage hold directors for this company you are going to invest, And last 2 years profit & loss statement.
- There is two type of investment – 1. Short term , 2. Long term , you have to utilise your money with a plan that’s why you need to connect an advisor.
For advisor or open an BO account “call or WhatsApp” us: +8801312569295 | +8801678569298