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DSEX exceeds 4,000-mark after five weeks

FE REPORT | July 08, 2020 00:00:00

The core index of the prime bourse crossed the 'psychological' threshold of 4,000-mark after five weeks Tuesday as buoyant investors showed their appetite following the ultimatum by the regulator on complying with minimum shareholding by directors of the listed companies.

DSEX, the key index of the Dhaka Stock Exchange, went up by 7.15 points or 0.17 per cent to settle at more than one month high at 4,001, since May 31.

Market operators said the securities regulator's ultimatum to non-complaint directors of listed firms to ensure holding of minimum 2.0 per cent shares within 45 days propelled the buy pressure in the market.

The stock market regulator has recently asked 61 directors of 22 listed companies to ensure a minimum 2.0 per cent shares in their own companies within 45 days to continue their directorship.

If any director fails to comply with the 2.0 per cent shareholding rules within stipulated time, his/her position would be automatically vacated. To comply with the rules, many directors will have to buy shares within the 45-day time frame which boost the investors' confidence, said a leading broker.


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