INTRODUCTION

The role of capital in economic growth has been unequivocally accepted throughout the world.
The provision of capital through stock market has markedly contributed in accelerating the pace
of economic growth. Stock market development is a robust vehicle that supports resource
allocation and spurs economic growth through various channels.

A well-developed stock market boosts up saving and efficiently allocates capital to productive
investments, which lead to an increase in the rate of economic growth. Stock markets
contribute to the mobilization of domestic savings through the issuance of equity securities.

Nepal Stock Exchange, in short NEPSE, is established under the Companies Act- 2006, operating
under Securities Act- 2007. The basic objective of NEPSE is to impart free marketability and
liquidity to the government and corporate securities by facilitating transactions in its trading
floor through member, market intermediaries, such as broker, market makers etc. NEPSE
opened its trading floor on13thJanuary1994.

Government of Nepal, Nepal Rastra Bank, Rastriya Banijya Bank (previously, Nepal Industrial
Development Corporation) and other securities businessperson brokers are the shareholders of
NEPSE.

History

The history of securities market in Nepal began with the floatation of shares by Biratnagar Jute
Mills Ltd. and Nepal Bank Ltd. in 1937. The first issuance of Government Bond in 1964 and the
establishment of Securities Exchange Center Ltd. in 1976 were other significant development
relating to capital markets.

Securities Exchange Center was established with an objective of facilitating and promoting the
growth of capital market. Before conversion into stock exchange it was the only capital market
institution undertaking the job of brokering, underwriting, managing public issue, market
making for government bonds and other financial services. Nepal Government, under a
program initiated to reform capital market, inter alia, converted Securities Exchange Center
into Nepal Stock Exchange in 1993.

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Vision
NEPSE contributes to the creation of wealth of nation by adding value through trading of securities.

Mission
• Actively pursue strategies that contribute to the growth of capital market.
• Provide facilities to trade equities, bonds, debt securities and derivatives.
• Promote corporate culture that encourages employee commitment, creativity and team work.
• Maintain a balanced and responsive regulatory framework that will enhance market integrity
and investor confidence.
• Focus on customer orientation, strike for organizational excellence and promote professionalism
within the industry.

Goal
 To impart marketability and liquidity to the listed corporate securities along with registered
government securities.
 To facilitate transactions in its trading floor through member, market intermediaries, such as
broker, market makers etc.
 To list corporate as well as government securities like equity shares, bonds etc.

Objective
The basic objective of NEPSE is to provide liquidity to government bonds and corporate securities by
facilitating transactions through intermediaries, such as, brokers, market makers etc. The other
important objective of NEPSE are to protect investors' rights and develop a secondary market, as
prescribed in the Memorandum of Association (MOA) and Article of Association (AOA) of NEPSE.

Functions of NEPSE
To achieve stated objectives NEPSE performs following activities which are largely guided by
IOSCO principles for secondary markets:

Listing: NEPSE enlist government and corporate securities under prevailing rules and
regulations.

Trading and post trading service: NEPSE is obliged to conduct trading of listed securities and
to make necessary arrangements of physical and technological infrastructure for the same.
Currently, CDS and Clearing Limited, subsidiary of NEPSE, provides post trade services
(Clearing and Settlement) on behalf of NEPSE.

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Surveillance and monitoring: To ensure trading activities are carried out according to
prevailing rules and regulations NEPSE conducts surveillance and monitoring on a regular basis.
Surveillance and monitoring activities are carried both on-site and off-site basis.

Information dissemination: NEPSE provides live trading information through its website.
Accordingly, weekly, monthly and annual trading reports are available for public on electronic
version. NEPSE has made necessary arrangements to acquire and disseminate price sensitive
information.

Other functions: Apart from the functions stated above, NEPSE timely conducts capital market
literacy programs in order to create financial awareness among general public. Furthermore, it
has also initiated "Visit NEPSE" program to educate students about the value of investment and
role of capital market within its office premises.

Structure
The Government of Nepal holds significant number of NEPSE’s shares (58.66%). Likewise,
Rastriya Banijya Bank, Employee Provident Fund and Nepal Rastra Bank (Central Bank of Nepal)
hold the second, third and fourth largest share respectively. Laxmi Bank and Prabhu Bank hold
equal percentage of share placing it in fifth and sixth position and remaining share is held by
other members. The following table shows the percentage of holdings on the capital structure.

S.No Owners Ownership (Percenatage)

1 Government of Nepal 58.66

2 Nepal Rastra Bank 9.51

3 Employee Provident Fund 10

4 Rastriya Banijya Bank 11.23

5 Laxmi Bank Limited 5

6 Prabhu Bank Limited 5

4 Members 0.60

Board of Directors
The Board of Directors (BOD), which governs NEPSE, constitutes of seven members
representing different entities. The composition of the Board of Directors of the NEPSE

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comprises two members including Chairman from Government of Nepal, two representatives
from Nepal Rastra Bank (NRB), one representative from Rastriya Banijya Bank (RBB) and one
independent director nominated by BOD having expertise in the area of capital market. The
Chief Executive Officer (CEO) of NEPSE also serves as a director.

Members

Members of NEPSE are permitted to act as intermediaries in buying and selling of government
bonds and listed corporate securities. At present, there are 90 member brokers and two stock
dealer, who directly participate in trading activities. The tenure of the membership is one year.
The license should be renewed within 3 months after the closure of the fiscal year.

Trading System

NEPSE opened its trading floor on January 13, 1994 and adopted "Open Out-Cry" system for the
transaction of securities through its licensed members. NEPSE introduced automated screen
based trading (Computerized Trading System, CTS) from 24th August, 2007. The CTS facilitated
remote trading access from the broker’s office. In order to bring a new level of dynamism to
Nepalese stock market, NEPSE launched NEPSE Online Trading System (NOTS) on
6th November, 2018.

NEPSE Online Trading System (NOTS)

NOTS is designed to allow investors to place their orders online, where everything including
trading, clearing and settlement can be carried out electronically. A broad spectrum of market
participants are expected to be benefited from the increased convenience of the new system.

NOTS includes an integrated online matching engine, comprehensive off ‐market & negotiated
trade mechanism, pre‐trade risk management, post ‐trade reporting, in ‐built surveillance
reports and market dissemination system for brokers and third party vendors. The solution
expected to enable NEPSE to provide industry standards and leading price/value performance
to their market participants ‐ drive them rapidly for liquidity and profitability .

NOTS is highly adaptable to other systems in the capital market, can be configured for tight
coupling with Depository System for pre‐trade validation without compromising the
performance or loosely coupled as per the regulations of the exchange. Its market
dissemination module generates feed for the vendors for integrating market dissemination
system and devised or transmitting to vendors for onward transmission or providing value
addition products. Transactions can be transmitted either to Clearing & Settlement system

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and/or third party broker back office systems either through industry standard protocol or
through proprietary protocols.

A high speed messaging system has been used to communicate amongst different components
of the system, which ensures reliable and efficient delivery of the messages i.e. millions of
messages/minute.

System’s market dissemination module generates feed for the vendors to integrate market
dissemination system and devised or transmitting to vendors for onward transmission or
providing value addition products. Transactions can be transmitted either to Clearing &
Settlement System and/or third party broker back ‐office systems either through FIX protocol.
The system is fully compliant to different settlement regimes e.g. T+0, T+1, T+2, T+3, T+4, T+5
etc.

NOTS, is a distributed platform, which is implemented by a set of hybrid technologies,

depending upon the suitability of requirements. In essence, our system is an implementation of
n‐tier architecture, taking benefits of various technologies paradigms i.e. SOA, Java, SQL, C++,
Linux etc.

Highlights of NOTS Matching Engine

 20,000+ Order Matches / sec

 72 Million Transactions / hour
 Supports multi asset classes
 Supports Stop Loss – Limit and Stop Loss – Market orders
 FIX & Binary Protocol for connection
 Bucket Matching for scalability
 Mirroring of Matching Engine for robustness

NOTS Core Functionalities

NOTS, is functionally and technologically rich application suite that caters the need of all
stakeholders in the capital market including the retail investment community, regulator,
intermediaries and exchange officials. Core functionalities of the system are as described
below:

Multiple Markets:
NOTS, supports multiple asset classes such as Equities/Cash, Odd Lot, Negotiated Deals, Off
Market deals, Government and Corporate Bonds etc. Each market can be configured for
different operating hours and limited access to market participants can be configured as
permitted by Market Administrator or other Exchange authority.

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Pre‐Trade Risk Management Module:
NOTS, has a salient feature of pre trade risk management embedded in the trading system. The
system can be interfaced with Central Depository System to validate whether the Brokers or
Clients have balances against their depository positions. Thus, system can be configured to
apply short‐sell check prior to sell order submission to the Matching Engine. Likewise, Pre ‐
Trade Credit line validation can also be applied on all Buy Orders prior to submission to the
Matching Engine.

The Risk management module also offers Margin Trading Risk Management which computes
pre‐trade exposures and losses for each broker and investor. Risk of all brokers and their clients
is computed at each tick in the market on real‐time basis using the internationally proven Value
at Risk (VaR) model. Each order submitted in the system is pre ‐validated against a set of
exposure rules defined by the exchange or regulator. Orders stretching broker exposure
position beyond the permissible trading limits are rejected and a rejection message is sent to
the trader.

System accepts and forwards orders to the trading engine once all pre ‐defined checks are
validated in pre‐trade manner. A comprehensive real‐time monitoring tool is provided for
viewing the Brokers violating the rules set by the Exchange. Risk manager of the exchange is
equipped with a powerful tool to perform control actions for each broker and these control
actions are recorded for later reference.

Pre‐Trade Risk Management gives confidence to the exchange and regulator for compliance of
necessary regulations and avoiding fear of broker default on settlement day. This system
ensures that clearing house of the exchange maintain sufficient collateral all the time to meet
any broker default scenario without compromising the brokers’ operational efficiency.

Market Administration:
Market administrator is a privileged user that can monitor activities of all market participants
and can control the state of market and symbols. Special interfaces to perform each of the
following activity are provided to Market Administrator:
• Symbol states can be changed on the fly
• Global cancellation of all orders for a symbol or all symbols placed by a trader
• Corporate News or announcement broadcast
• Trade cancellation
• Market summary inquiry to highlight trading activity
• Scheduling/change of market states

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 • Real‐time exposure/loss of all members can be viewed or monitored
• A trade can be "frozen" if it falls outside of price change ‐ no further orders will be
accepted for that instrument until the trade freeze is resolved
• Suspension and/or restoration or view only state of a broker/member terminal

Multiple Index Maintenance:

System supports configuration and maintenance of multiple indices. Each configured index can
have independent composition, base period and weightages. All indices are computed
incrementally on real‐time basis but transmission can be control through the parameter. User
may define secretarial, dedicated and all share indices. Indices can be maintained based upon
their nature like Total Return Index and flat trend representation.

Interfacing and Integration:

Information Technology industry has learnt over the period that IT systems are as much
successful as much they are open and integrate will with other systems. IT systems have
transitioned from close or monopolistic framework to more open and adaptable systems
especially in financial industry. Modern systems are offering industry specific protocols for
interoperability of systems e.g. SWIFT, FIX etc.

NOTS, can adopt XML or FIX standards for interfacing with Clearing & Settlement System,
Depository Systems, Risk Management Systems and Broker Back Office Systems. However, the
market dissemination is being done to the third party vendors, using FIX 4.2 or via InfoTech
proprietary protocol.

Security Features:
Keeping in view the sensitive nature of financial transactions, extra security measures have
been taken to protect the system from traffic sniffing, integrity and confidentiality of the
information both when data is rest or traveling over the LAN/WAN and Internet. Entire
communication (except public/market data) has been encrypted using industry standard Secure
Socket Layer. System inherits this security feature from its underlying transport layer for
maximum protection.

High Availability & Load Balancing:

NOTS, is highly scalable by the virtue of its distributed and parallel architecture. It can be scaled
up to support hundreds and thousands of users by adding more hardware and bandwidth. The
architecture of the system does not limit the number of users and transactional capacity.
Multiple instances of the system components can be launched for load balancing and high
availability.

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Scalability:
System is highly parallel and scalable by its architecture. NOTS, has been architected on Service
Oriented Architecture that leverages system to optimally use the system resource for best
performance. Secondly, highly distributed design of the system allows configuration to launch
multiple instances of each service/component on multiple machines. Further each
service/component can take maximum advantage of multiprocessors, multi‐cores.

System design and flexible configuration allows administrator to scale up application easily for
additional transactional and simultaneously user connections. NOTS, can scale up linearly to
accommodate sustained and peak load of market activity and user population.

NOTS is a state-of-the-art system that is implanted at the NEPSE. Its highly flexible features will
enable it to cope with future needs and growing loads without compromising its performance.
Being an online trading system, it can be accessed from any part of the world via Internet.

Trading Rules
Following rules are followed for trading in NEPSE.

1. Client Management: Client Management enables a broker to create a client. Without creating
a client the broker as well as client will not be allowed to place order. The broker has to insert
various details of the client out of which a unique client code (UCC) is created for a client.

2. Order: It is an expression of interest to either buy or sell a specified quantity of stock either
at a specified price or at the current market price. The order can be placed by the client
themself by getting username and password from the broker for online trading or is placed by
the licenced broker on behalf of the clients. There is an order entry form in the system through
which the order is placed in the system.

Generally four types of order can be placed in the system

Regular: - An order which is completed on the exchange and that confirms the order of lot
size or greater than that.

Odd-Lot: - An order which is completed on the exchange and that confirms the order less
than lot size.

Manual: - An order which is placed by the brokers and is reported individually by the buying
and selling brokers.

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 Block: - An order which is placed by the brokers and confirms to the minimum block trade
quantity specified by the exchange and is reported individually by the buying and selling
brokers.

3. Price: It is the price, which is quoted by client for buy or sell of stock. The investors as usual
can quote in three ways in their order forms. They can quote fixed price, price in range or
market price. In present system the order entry form in computer has been developed to
indicate the price either in limit or market. If the price is limit then the order is placed within
the price range set by the system where transction is executed by the negotiation process. If
the price is market then the order is executes at market price. It means buy or sell the shares at
market price.

4. Execute At: This represents the phases of trading when to execute the order.There are three
phases during which the client themself or broker on behalf of client can place the order to
execute the transactions. Such phases are:
Pre Open Session: This session starts from 10:30 A.M. to 10:45 A.M. During this session the
order is placed in different window by selecting the pre open session in buy/sell order
book . All the orders will be accumulated in the system till execution time and after the time
reaches the orders will be executed at the best price. This session gives the price, quantity
and time priority for the execution. The engine calculates the best price and matches the
order at 10:45 A.M. i.e. before market opens. In this case price can be quoted within the
range of 2 percent of previous close price. Once this session is over price can be quoted
within the range of 2 percent of LTP. Pre open session helps to determine the opening price
for the stock. If there are no matchable orders for a stock the open price of the stock will be
equal to the previous close price.

There is a special pre open session for newly listed securities which is aimed to determine
the opening price of the particular security within the price range set by NEPSE.

Continuous Session: This is the phase that indicates the orders should be executed while
the market is in progress.

Post Close Session: This is another market type that runs after continuous market for a time
period as specified by NEPSE. After the continuous market has been ended each security
will have its closing price calculated and then during post close session, member or client
can place market order.

The system has provided facility to generate the closing price of a stock either by taking the
average of the price of last n transactions or the average of the price of the last n minutes.

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 Currently NEPSE adopts the average of last n transactions where n equals to 1 i.e. the LTP of
the stock at close is the post close session price or closing price.

5. Retain Until: Customer can give order to retain until the specified period as below unless it is
executed.

End of Day (EOD): This indicates the placed orders if not executed will be retained until
end of today.

Good Till Cancel (GTC): This indicates the order if not executed should be retained until 15
days from the day of order placed. NEPSE has adopted order driven market system. So
each and every order entered must specified the validity period of the orders but if they do
not mention the time period the order will be valid for 15 days.

Good Till Date (GTD): The order entered in the system must specify the validity period of
the order which must be less than 15 days. The order is automatically removed from the
system after the specified period.

6. Conditions: This specifies the conditions under which the order could be executed. The
conditions are as below.

None: This indicates there are no conditions for execution of orders.

Immediate or Cancel (IOC): This condition indicates that the orders should be executed in
full or part immediately if not executed immediately the unexecuted order will not be sent
to Public order book but cancelled immediately by the system.

Fill or Kill (FOK): This condition indicates the order must get executed entirely or cancelled
immediately. The unexecuted order is not sent to public order book but killed (cancelled) by the
immediately. NEPSE has modified the system allowing entering the quantity of a stock to be traded
either at the multiple of lot size or greater than that.

All or none (AON): This condition indicates the order must get executed entirely and if not
executed the order is sent to public order book. In this condition too, NEPSE has modified
the system allowing entering the quantity of a stock to be traded either at the multiple of
lot size or greater than that.

Listing

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Listing, which is one of the major functions of NEPSE, is a process of admitting different types of
securities to be traded on the floor of stock exchange. Listing is the first step towards the secondary
market which provides liquidity and marketability to the scrip issued to general public at primary
market. In 1994, NEPSE started its trading with 62 listed companies. From 2005 government bonds are
being listed and traded at NEPSE floor. To date 47 companies which didn’t comply with the listing
requirements have been delisted from NEPSE.

Listing Fee & Annual Fee

For Equity

S.No. Paid Up Capital Listing Fee Annual Fee

1 Upto Rs. 500 million 0.10 % or minimum Rs. 150,000 Rs. 50,000

2 Above Rs. 500 million 0.05% or minimum Rs. 250,000 Rs. 100,000

Debenture/Units of Collective Investment Schemes

S.No. Issued Amount Lisitng Fee Annual Fee

1 Upto Rs. 500 million Rs. 60,000 Rs. 25,000

2 Above Rs. 500 million Rs. 100,000 Rs. 50,000

Government Bond

S.No. Issued Amount Lisitng Fee

1 Upto Rs. 1,000 million Rs. 20,000

2 Rs. 1,000 million to Rs. 5,000 million Rs. 30,000

3 Above Rs. 5,000 million Rs. 50,000

Classification of Listed Companies

As per the provision of Listing Byelaws 2075, the listed companies can be classified under four
categories.

Companies which fulfill following criteria are classified at Group "A"

a) Paid up capital not less then Rs. 1,000 million

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 b) Securities listed must be not less than three years

c) Company must be in profit and must distribute dividend in last three fiscal
year

d) Company must get average or above rating from the Credit Rating
Company

e) Compiled financial report in the format prescribed by regulatory body

f) Annual General Meeting conducted within six month of completion of

fiscal year

Companies which comply with the following conditions are classified at Group "B"

a) Paid up capital not less then Rs. 500 million

b) Securities listed must be not less than three years

c) Company must be in profit for two years from the last three fiscal years

d) Company must get minimum of below one level of average rating from
the Credit Rating Company

e) Annual General Meeting conducted within six month of completion of

fiscal year

f) No reserve loss

Companies that fulfill the condition to be categorized under group "A" and "B" but has
not completed two years of listing are classified under group "G" .

Companies that does not fulfill the condition to be categorized under group "A", "B" and
"G"are classified under group "Z".

Trading Hours:
Trading on equities takes place on all days of week (except Friday, Saturday and holidays declared by
NEPSE in advance) both board and odd lot.

The trading hours on Sunday to Thursday:

Market Open: - 11:00 Hours

Market Close: - 15:00 Hours

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Securities Available for Trading

NEPSE facilitates trading in the following instruments:

A. Shares
 Equity Shares
 Preference Shares
B. Corporate Bonds
C. Government Bonds
D. Mutual Funds

Broker Commission

Broker Commission

As per the Securities Businessperson (Stock Broker & Dealer ) Regulation, 2064 , Regulation 32,
Schedule-14, brokers can obtain commission as mentioned below :

If Equity

S.N. Amount (in NRs.) Rate (in Percentage)

1 Upto 50,000 0.36
2 More than 50,000 to 500,000 0.33
3 More than 500,000 to 2,000,000 0.31
4 More than 2,000,000 to 10,000,000 0.27
5 More than 10,000,000 0.24

If Bond issued by Nepal Government or Governmnet organization in gurantee of Nepal

Government or Nepal Rastra Bank

S.N. Amount (in NRs.) Rate (in Percentage)

1 Upto 500,000 0.10
2 More than 500,000 to 5,000,000 0.05
3 More than 5,000,000 0.02

If securities not mentioned in above two table

S.N. Amount (in NRs.) Rate (in Percentage)

1 Upto 500,000 0.15
2 More than 500,000 to 5,000,000 0.12
3 More than 5,000,000 0.10

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 Secondary Market Indicator of last 23 Fiscal Year

Paid Up
Number of No. of Value of
Turnover shares No. of Listed listed Market Turnover/ Market
Fiscal (US$ traded (in No. of Companies shares (in shares (US$ Capitalization Nepse Market Capitalization/
Year million) thousand) Transaction Listed thousand) million) (US$ million) Index Cap. GDP
2000/01 31.29 4989.15 46.10 115 12127 106.08 620.88 348.43 0.050 0.105

2001/02 19.75 6004.68 42.03 96 122685 111.28 444.92 227.54 0.044 0.076

2002/03 7.71 2427.89 69.16 108 159958 159.17 471.44 204.86 0.016 0.072

2003/04 28.92 6468.18 85.53 114 161141 162.07 558.74 222.04 0.052 0.077

2004/05 64.08 18433.55 106.25 125 194673 238.39 872.29 286.67 0.073 0.104

2005/06 46.58 12221.93 97.37 135 226540 269.34 1305.85 386.83 0.036 0.148

2006/07 128.91 18147.25 120.51 135 243504 335.33 2872.80 683.95 0.045 0.256

2007/08 333.15 28599.77 150.80 142 321131 430.15 5346.68 963.36 0.062 0.449

2008/09 277.79 30547.16 209.09 159 637868 783.34 6571.93 749.10 0.042 0.519

2009/10 158.35 26122.82 213.73 176 826046 1071.82 5062.75 477.73 0.031 0.316

2010/11 93.94 26240.39 302.36 207 1033674 1412.80 4559.33 362.85 0.021 0.237

2011/12 116.02 41885.4 293.49 216 1140081 1248.42 4156.46 389.74 0.028 0.241

2012/13 226.87 81571.71 292.24 212 1302090 1463.81 5415.05 518.33 0.042 0.303

2013/14 806.03 214143.56 566.39 235 1614978 1538.48 11023.63 1036.11 0.073 0.538

2014/15 645.95 159717.47 477.28 232 2553109 2082.15 9782.52 961.23 0.066 0.464

2015/16 1542.69 303575.21 838.99 230 2105437 1911.55 17709.45 1718.15 0.087 0.839

2016/17 1993.22 392881.15 1356.52 208 2965884 2815.38 18052.01 1582.67 0.110 0.703

2017/18 1110.22 293817.53 1310.99 196 3598745 3220.18 13125.46 1212.36 0.085 0.477

1006.53
2018/19 8 387506.9 1422.791 215 4206602 3769.941 14333.39 1259.02 0.070 0.452

1246.48
2019/20 5 428522 1848.773 212 4827582 3932.787 14893.77 1362.35 0.084 0.476

12218.1
2020/21 1 3404514 15417.67 219 5826048 4815.492 33694.2 2883.41 0.363 0.940

9427.50
2021/22 7 2492010 14712.48 234 6771226 5236.876 22502.9 2009.47 0.42 0.59

2022/23 3561.23 1277110 8644.72 254 7387006 5557.313 23500.19 2097.10 0.15 0.57

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 3

Source : Nepal Stock Exchange Limited

Evolution of the Capital Market

Date Events
1936 A.D. Promulgation of Company Act

1937 A.D. Flotation of shares by Biratnagar Jute Mills and Nepal Bank Limited

1976 A.D. Establishment of Securities Exchange Center

1983 A.D. Promulgation of Securities Trading Act

1984 A.D. Started trading of listed shares

1993 A.D. Establishment of Securities Board of Nepal

1993 A.D. Conversion of Securities Exchange Center to Nepal Stock Exchange Limited

1993 A.D. Adoption of Open OutCry System

2006 A.D. Started secondary trading of the government bonds

2007 A.D. Enactment of Securities Act, 2063

2007 A.D. Begning of Computerized Trading System

2008 A.D. Inception of Over The Counter Market

2009 A.D. Commencement of Trading Outisde Kathmandu Valley

2010 A.D. Establishment of CDS and Clearing Limited

2011-2013 A.D. Addition of 27 Stock Brokers

2014 A.D. Started trading of Dematerialized Shares

2016 A.D. Introduction of C-ASBA System in IPO

2018 A.D. Adoption of NEPSE Online Trading System (NOTS)

2019 A.D. Begening of Margin Trading through Broker

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 Ongoing Membership to Additional Stock Broker and Stock Dealer in Market

Source : Nepal Stock Excahnge Limited

Institutions in Nepalese Capital Market

S.N. Particulars No. of Company
1 Stock Exchange 1
2 CDS & Clearing Corporation 1
3 Credit Rating Agency 3
4 Merchant Bankers 29
5 Depository Participants 111
6 ASBA Service Reated Bank & Financial Institutions 43
7 Broker Members 90
8 Stock Dealer 2
Source : Securities Exchange Board of Nepal

Existing Rules and Regulations

S.N. Particulars
1 Company Act, 2006
2 Securities Act, 2007
3 Asset (Money) Laundering Prevention Act, 2008
4 Securities Board Regulation, 2007
5 Stock Exchange Operation Regulation, 2008
6 Securities Businessperson (Stock Broker, Dealer & Market Maker) Regulation, 2008
7 Securities Businessperson (Merchant Banker) Regulation, 2008
8 Central Depository Service Regulation, 2010
9 Mutual Fund Regulation, 2010
10 Credit Rating Regulation, 2011
11 Securities Registration and Issue Regulation, 2016
12 Securities Listing and Trading Regulation, 2018
13 Government Securities Transaction Bylaws of NEPSE, 2005
14 Government Securities Bylaws of SEBON, 2005
15 Listing Bylaws, 2018
16 Trading Bylaws, 2018
17 Compliance Guidelines for Securities Broker, 2001
18 Portfolio Management Guidelines, 2010
19 Magrin Trading Guidelines, 2018
20 Securities Businessperson (Stock Dealer) Operation Guidelines, 2020

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 21 Mutual Fund Guidelines, 2012
22 Securities Issuance and Allotment Guideline, 2017
23 Securities Public Issue Guidelines, 2017
Source : Securities Exchange Board of Nepal

Broker List
S.N. Name of Broker Company Broker No. Phone
1 Kumari Securities Service Pvt. Ltd. 1 4423689
2 Arun Securities Pvt. Ltd. 3 5913750
3 Stock Broker Opal Securities Pvt. Ltd. 4 4520313
4 Market Securities Exchange Co. Pvt. Ltd. 5 5348973
5 Agrawal Securities Pvt. Ltd. 6 4431597
6 J.F Securities Co. Pvt. Ltd. 7 5348202
7 Ashutosh Brokerage and Securities Pvt. Ltd. 8 5970780
8 Pragyan Securities Pvt. Ltd. 10 4515958
9 Malla and Malla Stock Broking Co. Pvt. Ltd. 11 4514008
10 Thrive Brokerage House Pvt. Ltd. 13 4543052
11 Nepal Stock House Pvt. Ltd. 14 4529621
12 Primo Securities Pvt. Ltd. 16 4168092
13 ABC Securities Pvt. Ltd. 17 5970117
14 Sagramatha Securities Pvt. Ltd. 18 4533316
15 Nepal Investment and Securities Trading Pvt. Ltd. 19 4580072
16 Sipla Securties Pvt. Ltd. 20 4543183
17 Midas Stock Broking Co. Pvt. Ltd. 21 5970056
18 Siprabi Securities Pvt. Ltd. 22 5430701
19 Sweta Securities Pvt. Ltd. 25 5323778
20 Asian Securities Pvt. Ltd. 26 4524896
21 Shree Krishna Securities Ltd. 28 4441228
22 Trishul Securities Investment Ltd. 29 4540709
23 Premier Securities Co. Ltd. 32 4532700
24 Dakshinkali Investment and Securities Pvt. Ltd. 33 4168640
25 Vision Securities Pvt. Ltd. 34 4770452
26 Kohinoor Investment and Securities Pvt. Ltd. 35 4442858
27 Secured Securities Ltd. 36 5324523
28 Swarnalaxmi Securities Pvt. Ltd. 37 4168219
29 Dipshikha Dhitopatra Karobar Co. Pvt. Ltd. 38 4102532
30 Sumeru Securities Pvt. Ltd. 39 5970439
31 Creative Securities Pvt. Ltd. 40 4519572
32 Linch Stock Market Ltd. 41 4469068
33 Sani Securities Co. Ltd. 42 4524641
34 South Asian Bulls Pvt. Ltd. 43 4284785
35 Dynamic Money Managers Securities Pvt. Ltd. 44 4414522

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36 Imperial Securities Co. Pvt. Ltd. 45 5970145
37 Kalika Securities Pvt. Ltd. 46 5705565
38 Neev Securities Pvt. Ltd. 47 4168601
39 Trisakti Securities Pvt. Ltd. 48 5970148
40 Online Securities Pvt. Ltd. 49 4168298
41 Crystal Kanchanjangha Securities Pvt. Ltd. 50 4011072
42 Oxford Securities Pvt. Ltd. 51 5373850
43 Sundhara Securities Ltd. 52 5360174
44 Investment Management Nepal Pvt. Ltd. 53 5356589
45 Sewa Securities Pvt. Ltd. 54 5356642
46 Bhrikuti Stock Broking Co. Pvt. Ltd. 55 5324648
47 Sri Hari Securities Pvt. Ltd. 56 5970456
48 Aryatara Investment and Securities Pvt. Ltd. 57 5707070
49 Nassa Securities Co. Ltd. 58 5970084
50 Divya Securities and Stock House Pvt. Ltd. 59 4521488
51 Nagarik Stock Dealer 60 4790331
52 Bhole Ganesh Securities Ltd. 61 5970494
53 Capital Max Securities Ltd 62 5918878
54 Himalayan Brokerage Company Limited 63 5900724
55 Sun Securities Pvt. Ltd. 64 5971500
56 Sharepro Securities Private Limited 65 5915124
57 Miyo Securities Pvt Ltd 66 5918868
58 Property Wiard Limited 67 5918915
59 Elite Stock House Limited 68 4005108
60 Index Securities Limited 69 5916136
61 Infinity Securities Limited 70 5915306
62 Shubhakamana Securities Pvt. Ltd. 71 5918829
63 Hatemalo Financial Services Private Limited 72 4443770
64 Money World Share Exchange PVT Ltd 73 5916459
65 Kalash Stock Market Pvt. Ltd. 74 5915218
66 Mega Stock Markets Limited 75 5364109
67 Machhapuchchhre Securities Limited 76 5366285
68 Nabil Stock Dealer Limited 77 4250892
69 Garima Securities Limited 78 5916351
70 Pahi Investment Private Limited 79 5919714
71 Indira securities pvt. ltd 80 5917903
72 Aakashbhairab Securities Ltd 81 5917930
73 N.M.B. SECURITIES LIMITED 82 5914759
74 Sanima Securities Limited 83 5915341
75 MILKY WAY SHARE BROKER COMPANY LTD 84 5915636
76 Capital Hub P. Ltd 85 5914728
77 Stoxkarts Securities Limited 86 5919359
78 S.P.S.A. Securities Limited 87 5970394

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 79 Blue Chip Securities Ltd 88 5919326
80 JBNL Securities ltd 89 5915381
81 Sajilo Broker Limited 90 5916986
82 C.B.I.L. Securities Limited 91 5914835
83 Roadshow securities limited 92 5916071
84 Beni Securities Pvt.Ltd 93 5917369
85 K.B.L. Securities Limited 94 4547030
Magnet Securities and Investment Company Private
86 Limited 95
87 Himalayan Securities Limited 96 5364093
88 RBB Securities Company Limited 97
89 Trademo Securities Private Limited 98 4547711
90 Prabhu Stock Market Limited 99 5904271
Source : Nepal Stock Exchange Limited

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