The Nepal Stock Exchange Limited (abbreviated as NEPSE) is the only Stock Exchange in Nepal. It is located in Singha Durbar Plaza, Kathmandu Nepal. The NEPSE index, also known as the Nepal Stock Exchange index, is the stock exchange index. The index is used to measure the performance of the stock exchange. The NEPSE index is a capitalization-weighted index of all the companies listed on the Nepal Stock Exchange. The index has a base value of 100 as of January 1994. The base year for the index is 1994. The index has a base capitalization of 2,804,742.730 NPR mn in Nov 2022. The NEPSE index is calculated using the free float market capitalization weighted methodology, where the level of the index reflects the total market value of all the stocks listed on the stock exchange. The index is calculated every 15 minutes during the trading hours of the stock exchange.
The official website of Nepse is www.nepalstock.com where you can get all the market data. It is rumored that Nepse itself going to list in the Stock Exchange. Here are the Stakeholders of Nepse till now.
| Stakeholders | Percentage of Stake |
| Nepal Government | 58.66 |
| Nepal Rastra Bank | 14.60 |
| Employee provident fund | 10 |
| Rastriya Banijya Bank | 6.14 |
| Laxmi Bank | 5 |
| Prabhu Bank | 5 |
| Others | 0.6 |
Some Points on Nepal Stock Exchange
- In November 2022, the market capitalization was 2,804,742.730 NPR million.
- Market capitalization has generally been increasing over the years.
- The highest market capitalization recorded was 4,284,164.090 NPR million in July 2021.
- The lowest market capitalization recorded was 34,912.190 NPR million in July 2003.
- The data is updated monthly and provided by Nepal Stock Exchange Limited.
- The data is included in the Global Database’s Nepal data under “Nepal Stock Exchange: Market Capitalization.”
Factors for stock market growth in Nepal
There are several factors that can contribute to the growth of the stock market in Nepal:
Economic growth: A growing economy can lead to increased profits for companies, which can lead to an increase in the demand for their stocks. This can drive up the prices of stocks and contribute to the overall growth of the stock market.
Political stability: Political stability can create a favorable environment for businesses to operate in, which can lead to increased profits and growth. This can also attract foreign investment, which can further boost the stock market.
Improved infrastructure: Improvements in infrastructure, such as transportation, communication, and electricity, can make it easier for businesses to operate and can lead to increased economic activity and growth. This can also have a positive impact on the stock market.
Increasing foreign investment: Foreign investment can bring capital and technology to the country, which can help to stimulate economic growth and development. This can also lead to an increase in the demand for stocks and contribute to the stock market’s growth.
Government policies: Government policies that promote economic growth and development, such as tax incentives and regulatory reform, can create a favorable environment for businesses to operate in and can lead to an increase in the demand for stocks.
Also Check: Listed Company of Nepal
Role of Nepal stock exchange
The Nepal Stock Exchange (NEPSE) plays a vital role in the development of the capital market in Nepal. Its main functions include:
Providing a platform for companies to raise capital: The NEPSE allows companies to issue and sell stocks to the public, which can help them raise capital for expansion and other purposes.
Providing an avenue for investors to buy and sell securities: The NEPSE provides a marketplace where investors can buy and sell securities, such as stocks and bonds.
Facilitating price discovery: The NEPSE helps to determine the prices of securities through the buying and selling activity that takes place on the exchange.
Promoting transparency and disclosure: The NEPSE requires companies listed on the exchange to disclose financial and other information to the public, which helps to promote transparency and increase investor confidence.
Regulating the market: The NEPSE has rules and regulations in place to ensure fair and orderly trading and to protect the interests of investors.
Overall, the NEPSE plays a crucial role in developing the capital market in Nepal by providing a platform for companies to raise capital, facilitating the buying and selling of securities, and promoting transparency and investor protection.
SEBON & NEPSE
The Securities Board of Nepal (SEBON) and the Nepal Stock Exchange (NEPSE) are both important organizations in the Nepali capital market. However, they have different roles and functions.
SEBON is the regulatory body for the capital market in Nepal. It is responsible for regulating and supervising the activities of the capital market, including the securities market and the stock exchange. SEBON sets rules and regulations for the market monitors compliance with those rules and takes action against any violations.
On the other hand, the Nepal Stock Exchange (NEPSE) is the only stock exchange in Nepal. It is a marketplace where securities, such as stocks and bonds, are bought and sold. NEPSE provides a platform for companies to raise capital by issuing and selling stocks to the public, and it also provides an avenue for investors to buy and sell securities.
One similarity between SEBON and NEPSE is that they both play important roles in the development of the capital market in Nepal. SEBON helps to ensure that the market operates fairly and transparently, while NEPSE provides a platform for companies to raise capital and for investors to buy and sell securities. Both organizations work together to promote the growth and development of the capital market in Nepal.
Also Check, the List of Upcoming IPOs in Nepal
NEPSE TMS
The Nepal Stock Exchange Trading Management System (NEPSE TMS) is a computer-based trading system that is used to facilitate the buying and selling of securities on the Nepal Stock Exchange (NEPSE). It is an automated system that allows investors to place orders to buy or sell securities and to track the status of those orders.
The NEPSE TMS is designed to improve the efficiency of trading on the stock exchange by providing real-time information about market prices, available securities, and trading activity. It also helps to ensure that trades are executed accurately and promptly.
The NEPSE TMS is used by brokers, who are authorized to buy and sell securities on behalf of investors, as well as by the Nepal Stock Exchange itself. It is an important tool for facilitating the buying and selling of securities on the stock exchange and helping to ensure the smooth operation of the market.
Also, check
NEPSE TMS login of 51 Clearing Member
LIVE NEPSE DATA
To view live NEPSE data, you can visit the Nepal Stock Exchange’s official website at www.nepalstock.com. On the website, you can find real-time data on the NEPSE index and other market information, such as stock prices, trading volumes, and market trends. You can also find information on listed companies, market news, and regulatory information.
Additionally, there are several financial news websites and stock market apps that offer live NEPSE data and other information on the Nepal stock market. These can be useful resources for tracking the performance of the market and individual stocks. A few of these sites which are paid and free for live NEPSE are listed below
- Merolagani
- Nepsealpha
Sadly, the Broker won’t provide much information like charts and analysis details that are helpful for trading in Live NEPSE.
Conclusion
Hope you have got some insight into Nepal Stock Exchange. If you don’t know about the share market learn first before investing. The best way to enter any share market is via a primary share market like IPO. To apply IPO you need to have a Demat account and Mero Share.