DSE director warns investors against rumour-driven investment decisions

Minhaz Mannan Emon, shareholder director of the Dhaka Stock Exchange (DSE), has warned investors against making investment decisions based on hype or rumours. 

He said investment decisions based on hype or rumours without proper understanding often lead to significant losses for both investors and the capital market.

Speaking at the certificate distribution ceremony for a four-day training workshop on "Fundamental Analysis, Investment Techniques, and Tools" organised by the DSE Training Academy in Dhaka on Thursday, Emon stressed the importance of informed decision-making.

"The capital market is not a place for emotions. Investors should rely on calculations and base their decisions on the company's fundamentals," he said.

To minimise risks and secure profitable returns, the DSE director advised investors to thoroughly evaluate a company's financial health by analysing its financial reports. He underscored that understanding a company's earnings per share (EPS), net asset value (NAV), price-to-earnings (PE) ratio, and the background of its entrepreneurs is crucial for making sound investment choices.

"At DSE, we always encourage investors to invest with proper knowledge and a clear understanding of fundamentals. Analysing a company's financial condition and key indicators is essential. We believe that informed investors are vital for the development of a healthy capital market," he added.

During the workshop, participants received insights on key topics such as microeconomic frameworks, industry analysis, company analysis and valuation methodologies.

This event is part of DSE's ongoing efforts to promote financial literacy and encourage data-driven investment strategies among market participants.