Order Placement Allowed Even When Share Market Is Closed; Circuit Breaker Limit Raised to 8 Percent

The Nepal Securities Board is planning to allow the placement of buy and sell orders for shares even after the regular trading hours. The NEPSE has proposed accepting orders from 6 PM until 6 AM the following day, after the trading session ends at 3 PM. Additionally, the Securities Board has proposed an amendment to increase the circuit breaker limit of the share market to 8 percent. Kathmandu, 22 Chaitra.

This new provision will enable investors to place buy and sell orders outside the usual trading hours. The initiative aims to facilitate overseas Nepalis and investors who are unable to trade during office hours. According to Santosh Narayan Shrestha, Chairperson of the Nepal Securities Board, complaints from Nepalis abroad who have been unable to invest in the secondary market due to trading time constraints prompted the Board to enable order placement beyond the regular hours.

He noted that this measure will help maintain adequate liquidity in the secondary securities market and boost trading volume. “NEPSE’s regular trading ends at 3 PM, but with the new provision, orders will be accepted even after market closure,” he said. During this order placement, investors can specify prices up to 2 percent higher or lower than the final share price, he added.

Furthermore, the Securities Board has proposed raising the circuit breaker threshold to 8 percent to better control fluctuations in the NEPSE index. The Board is amending the NEPSE trading regulations to increase the circuit breaker’s limit by 2 percentage points from its current level.