Rules for trading shares on ATB relaxed
ATB is a common platform to facilitate trading shares of non-listed companies.
The Bangladesh Securities and Exchange Commission (BSEC) has relaxed rules for trading shares on the Alternative Trading Board (ATB).
ATB is a common platform to facilitate trading shares of non-listed companies.
In July last year, the Dhaka bourse sought the removal of the 90-day bar on realising capital gains in a bid to increase investors' participation on this platform.
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On Monday, the regulator removed the bar by issuing a directive that became effective immediately.
Earlier, if any security was sold within three months after buying it, the realised gain would go to the investors' protection fund of the stock exchange.
Meanwhile, the BSEC increased the circuit breaker limit to 5% from 4% based on the fair value calculation.
From the second trading day onwards, the regular circuit breaker will be 5%, calculated on the previous day's closing price or the opening adjusted price, as per the new directives.
The equity securities traded on the ATB platform can not change over 30% of their calculated fair value.
The settlement of transactions for all equity securities traded on the ATB platform will be on a trade date plus four days (T+4) basis.
Issuers of unlisted securities will not be eligible for be listed on ATB if they want to raise paid-up capital.
Since launching the platform, only two securities — LankaBangla Securities and Pran Agro Limited Unsecured Guaranteed Bond-1 have been listed on the platform.
