• April 20, 2021
How to buy and sell shares in Nepal

How To Buy And Sell Shares In Nepal?

This post is for you if you are planning to invest on stock or stock market. This post is intended for the beginners and we are trying to make it more simple and easy to understand.

There is only one stock market or stock exchange in Nepal and that one is Nepal Stock Market Exchange (NEPSE). Nepal Stock Exchange, in short NEPSE, is established under the Companies Act- 2006, operating under Securities Act- 2007.

How To Buy And Sell Shares In Nepal?

Minimum requirements:

  1. You need to have a bank account, Dmat number, and CRN number to join primary market.
  2. You need to have a bank account, Dmat number, CRN number, and the TMS account or the broker account to join secondary market.

Generally there are two methods to buy and sell shares in Nepal. Let’s start with the first method.

  1. IPO/Primary Market: Initial Public Offering or IPO is the a public offering from the company in which shares of company are  sold to the investors. Investors can be the institutional investors or individual investors. Through this process, A Privately held company is transformed into a public company. You can apply for the IPO through the MeroShare or the bank and the capital market in Nepal. Due to the excessive number of applicants, IPO is allocated through the lottery system.  If you want’s to know the details about the upcoming IPOs in Nepal, kindly visit this link and make sure to bookmark it.
  2. Secondary Market: Secondary market is the place where you buy and sell the share or the stock. In the primary market, you can only buy the shares in the form of IPO but you can’t sell it. If you want to sell the stock or the shares you need to join the secondary market and the only way to do is to create an account with the stock brokers. There are multiple brokers companies in Nepal from where you can trade your shares. These days, you can easily buy and share by online sitting in your home.

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