FAQs

A share/stock represents a company's ownership and a claim on the company’s assets and earnings. A shareholder of a public company may enjoy dividends from the company’s profits, participate in its share price performance, and has the right to vote at its shareholder meetings. Shares/stocks may be bought or sold usually but not always in the context of a securities exchange and the exchange lists companies across different sectors.

An investor investing in shares and bonds will be sure to build wealth and a diversified portfolio. This can be done in two ways: Buy shares/bonds at a lower price and sell at a higher price and Earn income in the form of dividends in Equities from your shareholding and coupons from your bond holding every six months.

A stock represents a fractional ownership of a company, allowing investors to participate in the growth of the company, gain liquidity, and enjoy potential capital gains.

Risks include price risk, volatility risk, and liquidity risk.

In order to trade on the DSE, you should open a securities (CDS) account with a licensed Dealing Member (LDM) i.e., a stockbroking firm. The licensed broker will be your main point of contact and you will need to provide all your details as requested by the broker to complete your KYC requirements.

Once the investor has opened a CDS account, they will be able to start trading. However, MTP clients may need to wait approximately 10 minutes for authorization.

In the normal course of business, your investment advisor/broker will provide you with the trust account to make the payments before the transaction is done. If you are investing via the MTP, you will be given a control number that will be active for 24 hours to make the payment.

The maximum total brokerage fees stand at 2.3768% of the value of the trade. This includes Brokerage charges, DSE fees, CMSA fees, CDS fees, and Fidelity fees.

The exchange uses Avvento in its trading activities. The system vendor is STT, while on the settlement area the exchange uses the CSD system.

The forces of demand and supply determine the prices of securities in the exchange. The share prices respond to the law of demand and supply, the share prices of good-performing companies tend to go up over time while those of bad-performing companies tend to drop over time.

Yes, an order input into the ATS and displayed in the order book can, if required, be either cancelled or amended by a trader. However, the order can be cancelled at any point in time prior to execution.

Whether an order is executed depends upon several factors namely: whether buyers or sellers are willing to trade at the same price, the quantity of securities being ordered, and the order type.

MTP is a mobile trading platform developed by DSE in collaboration with EGA to facilitate trading in the Exchange via mobile phone. The avenue can be used via an application, web access, and USSD Code which is *152*00#.

The DSE mobile trading app allows investors to open a CDS account and to have online access to their CDS accounts to monitor their account activity and investments. MTP will enable investors to place orders online both buy and sell with their chosen stockbroker.