Cut annual fees on BO account: stockbrokers

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Offline Showrav.Yazdani

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Cut annual fees on BO account: stockbrokers
« on: August 20, 2015, 02:19:27 PM »
Stockbrokers yesterday requested the Central Depository of Bangladesh Ltd to slash the annual maintenance fee on beneficiary owner's accounts, considering the current market situation.

They also urged CDBL to consider their proposal of withdrawing the minimum share transaction fee that is Tk 5 at present, and to revise the fixed charge on bond transactions, now set at Tk 50.

They made the pleas at a meeting with CDBL, which operates the central depository system for electronic share transaction. Officials of the stock exchanges were also present.

“We informed CDBL about the problems we are facing now in the context of the current market situation,” said Ahsanul Islam, president of DSE Brokers Association of Bangladesh.

The annual maintenance fee on each BO account is Tk 500, of which a depository participant gets Tk 100, CDBL Tk 150, Bangladesh Securities and Exchange Commission Tk 50 and the government gets the rest Tk 200.

The number of active BO accounts stands at 30.65 lakh, according to the CDBL website.

The brokers did not mention how much the BO maintenance fee should be cut.

Stocks closed almost flat yesterday, with the benchmark index of Dhaka Stock Exchange, DSEX, increasing by only 7.7 points or 0.16 percent to close at 4,816.97 points.

Turnover, another important indicator of the market, rose 4.1 percent to Tk 550.19 crore on the transaction of 14.26 crore shares and mutual fund units.

Of the traded issues, 155 advanced and 116 declined with 48 securities closing unchanged on the premier bourse.

Square Pharma dominated the turnover chart with 10.13 lakh shares worth Tk 24.46 crore changing hands, followed by Apex Tannery, United Power Generation and Distribution Company, Islami Bank and RSRM Steel.

Apex Spinning and Knitting Mills was the day's best performer, gaining 9.89 percent, while Eastern Lubricants was the worst loser with a 6.9 percent fall.

Chittagong stocks also rose with the bourse's benchmark index, CSCX, increasing 27.55 points or 0.3 percent to stand at 8,991.07.

Gainers beat losers as 121 advanced and 98 declined, while 34 finished unchanged on the Chittagong Stock Exchange.

The port city bourse traded 1.23 crore shares and mutual fund units, generating a turnover of Tk 86.27 crore.