August 7: The Nepal Stock Exchange (NEPSE) has granted membership to all new broker companies that applied for it. In three phases, NEPSE has granted membership to a total of 17 broker companies.

In the first and second phases, NEPSE granted membership to seven broker companies each on July 7 and July 28.

During the third phase, on August 4, three broker companies - Mega Stock Market Limited, Machhapuchhre Securities Limited, and Nabil Securities Limited - were given membership.

According to Giriraj Dahal, Assistant Manager at NEPSE, Mega Stock Market, Machhapuchhre Securities, and Nabil Securities have been assigned broker numbers 75, 76, and 77 respectively.

 Nabil Securities, with a capital of Rs 1.5 billion, will function as a stock dealer. Mega Stock Market, with a capital of Rs 600 million, will function as a second-tier broker, providing services like investment consulting, investment management, margin trading, and share trading.

Likewise, Machhapuchhre Securities, with a capital of Rs 230 million, will operate as a broker company with limited activities.

As of now, 29 new companies have secured broker licenses from the Securities Board of Nepal (SEBON). During the three phases, SEBON granted licenses to seven, 11, and 11 new companies respectively.

Companies that have obtained broker licenses from SEBON are required to also gain membership from NEPSE as per the existing regulations of the board. Currently, 17 companies have received NEPSE membership.

KBL Securities Limited licensed by SEBON, has not applied for NEPSE membership as it is in the process of merging with an old broker company.

SEBON has classified brokers into three categories, based on a minimum paid-up capital of Rs 200 million, Rs 600 million, and Rs 1.50 billion for broker licenses.

In accordance with the same framework, the board has granted licenses to one stock trader, one full-service stock broker, and 27 limited-service stock brokers.