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Stock Market of Bangladesh

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Stock Market of Bangladesh
Introductory Part

1. Background:
A stock market / share market is a public market for the trading of company stock and derivatives at an agreed price; these are securities listed on a stock exchange. Usually, a stock market is the reflector of its countries economy. The stock market has become an essential market playing a vital role in economic prosperity that fostering capital formation and sustaining economic growth. Stock markets are more than a place to trade securities; they operate as a facilitator between savers and users of capital by means of pooling of funds, sharing risk, and transferring wealth. Stock markets are essential for economic growth as they insure the flow of resources to the most productive investment opportunities. In a growing economy like Bangladesh there are two stock or capital market, these are Dhaka Stock Exchange (DSE) and Chittagong Stock exchange (CSE). Both of these share market is regulated by Security exchange commission (SEC). However in recent times there are some opposite results are occurring in the stock market. That is not only hampering the capital of individual shareholders but also the country’s economy. As such circumstances’ are consistently occurring it has become a serious matter to concern. This paper reflects what are the problems behind stock market are and by considering what determinates such problems can be removed. This report also outlines whether the different factors as internal, external, economic factors etc. has impact on stock marketing.
2. Scope of the study:
The stock market of our country has never faced such problems that they are facing in recent times. The crashes are going larger and larger every time. Thus this a burning issue in our country to take some precautionary steps immediately. Thus our report is entitled to analyze the problems that stock market is currently facing and providing some solutions.
3. Methodology:
The report consists of secondary information and was collected from



References: ➢ Asadul. (20 December, 2007). The prospects, possibilities and challenges of Bangladesh Capital market. The Financial Express. Retrieved 27th August from http://www.thefinanciale xpress-bd.com/2007/12/20/20305.html ➢ Moazzem, K. G & Rahman, T. (2007). STABILISING THE CAPITAL MARKET OF BANGLADESH. Addressing the Structural, Institutional and Operational Issues. Retrieved 27th August from http://www.cpd.org.bd/pub_attach/WP95. Pdf ➢ Choudhury, A.H (2013). Stock Market Crash in 2010: An Empirical Study on Retail Investor’s Perception in Bangladesh. ASA University Review. Vol. 7(1, January–June). Retrieved 27th August from http://www.asaub.edu.bd/data/asaubreview/v7n1sl10.pdf ➢ Chowdhury, S.A. (4 July, 2013). Foreign Investors Flock To Stock Market. The Daily Star. Retrieved 27th August from http://www.thedailystar.net/beta2/news/foreign-investors-flock-to-stockmarket/ ➢ Md. Noor Solaiman Jewel, N.S. (18 September, 2012). Stock-Crash: An Overview and Raison D`être. Bangla News 24. Retrieved 27th August from http://www.banglanews24.com/ English/detailsnews.php?nssl=d4636a49d4ce00d4cc3a5392795e7ca6&nttl=1709201253212 ➢ Dhaka Stock Exchange Limited. (18-22 August, 2013). Weekly Report. Retrieved 27th August from http://www.dsebd.org/weekly_report.htm ➢ BB may consider raising bank loans to stock dealers. (5 March, 2013). The Daily Star. Retrieved 27th August from http://www.thedailystar.net/beta2/news/bb-may-consider-raising-bank-loans-to-stock-dealers/ ➢ Taking the economy forward: Chamber leaders speak out. (21 March, 2013). The Daily Star. Retrieved 27th August from http://www.thedailystar.net/beta2/news/taking-the-economy-forward-chamber-leaders-speak-out/ ----------------------- 29

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