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How to Sell Shares in Nepal: Step-by-Step Guide

Gone are the days when only a selected few had access to share trading. And, with the growth of accessibility comes the growth of curiosity. In fact, buying and selling of shares in Nepal has become a common topic among many Nepalese. That said, not everyone who is interested in share trading has knowledge regarding how to buy or sell shares.If you belong to that group, then this is the perfect palace for you.

In this blog, we provide you with a step-by-step guide on how to sell shares in Nepal. Along with this, we also provide you information on what online share trading in Nepal is, some benefits of online trading of shares in Nepal, and the requirements to start online trading in Nepal's stock market. 

What Is Online Share Trading In Nepal?

Online share trading is a method that allows you to buy and sell shares online through various electronic means. The electronic means can be anything ranging from a mobile to laptops and tablets. The key point here is using the internet to buy and sell shares. By using the said online platform, you can buy and sell shares from anywhere in the world as long as you have access to the internet. Needless to say, because of this accessibility, online share trading in Nepal has huge advantages over traditional means of share trading. 

Benefits of Online Trading of Shares

As mentioned prior, online trading of shares has many benefits over traditional means of share trading. The question here is, what are these benefits?Online share trading offers several important advantages, such as: 

  • Allows you to sell or buy trades from anywhere

  • You can trade shares at the click of a few buttons at instant speeds

  • You are less dependent on share brokers

  • You need to pay comparatively less fees when compared to traditional buying and selling of shares. 

  • You are less dependent on the broker. 

  • It provides you with a seamless trading experience without outer interference.

  • You have increased access to information.

  • The trading procedure becomes more transparent. 

 

These are some of the key benefits of online trading of shares. Besides the ones we mentioned here, there can be several other benefits depending on the specifics of your requirements and how you use online trading. 

Requirements To Start Online Trading In Nepal's Stock Market

Now that you know the benefits of online trading shares, you may want to start trading and wish to know the process. But, before you begin trading, there are a few requirements that you must fulfill. Some of these requirements include:

Bank Account

One of the first aspects you need to have before you begin online trading is a bank account. Furthermore, the bank needs to be from BFIs or Banks and Financial Institutions in Nepal. For this, you need a citizenship certificate along with other necessary documents. 

DEMAT Account 

DEMAT is another key element of online trading from Nepal. You can keep your shares in an electronic form with a DEMAT account. The shares you purchase and sell in the stock market are debited and credited to your DEMAT account, similar to how a bank account operates. To open a DEMAT account, you have the option of visiting approved BFIs, brokers, or merchant brokers.

C-ASBA Number 

Centralized Application Supported by Block Amount, or C-ASBA for short, is an advanced form of Application Supported by Block Amount. It allows investors like you to apply for primary and right offerings online. To obtain a C-ASBA registration number, you should visit a recognized bank and complete an application form.

Mero Share Account

A Mero share account is a helpful account that allows you to invest in shares easily directly from home. You need to pay a small sum of Rs 50 per year to use this service. However, since you can easily apply for both primary and secondary offerings using this account, this small amount is worth the investment.

Broker Account

A broker account is similar to a Mero Share account in the fact that you can buy and sell shares in the secondary market using this account similar to Mero Share account. You have the option to choose from 50 different brokers for stock trading

Steps to Sell Shares in Nepal

Let's discuss the process of selling shares in Nepal after you have familiarized yourself with the requirements for buying and selling trade accounts in Nepal. Detailed steps on how to sell shares in Nepal for beginners have been highlighted below.

Step 1: Get Login Detail of Trading Management System (TMS)

The buying and selling process of your shares in the online market would start with procuring TMS Login Details. 

  • During this process, you must physically visit the office of the broker to update the KYC by filling out a form. Until your KYC is updated, you won't be able to participate in online trading.

  • Once your KYC form is verified, you can open an investor account within the Trading Management System (TMS). The system will send your username and password reset instructions to your registered email.

  • Subsequently, you will need to reset your new password, and then you can start trading using the TMS login URL that the broker has provided to you. This provides entry to investors into the NEPSE Online Trading System.

Step 2: Password Change

Once you have finally been granted access to your TMS account, the immediate next thing you have to do is reset your password. This can be done via the following procedure:

  • Open the URL

  • Click on the 'Forgot Password' link.

  • Please fill in the 'Username' assigned to you by your broker, followed by a valid email address, and click 'Submit.'You will receive a notification that a password reset link has been sent to your email.

  • Access your email and select the reset password link. This will open a new window where you can set a new password.

  • Follow the given criteria for the password

  • Fill in the new password, and confirm it by re-typing. Once both fields are filled, click on 'Submit'

Step 3: NEPSE TMS Login

After resetting your password, the third step is to log in to your TMS account. Following are the steps to log in to your TMS account.

  • Log on to the NEPSE TMS login URL provided by your broker. The URL will vary based on your broker number.

  • After that is done, the page will ask for a username and password. You are supposed to fill those out, together with doing the captcha below the log-in fields.

  • Finally, click on 'Login' to proceed to the next step.

Step 4: Selling The Share Accounts

After you log in using your TMS account, the next move which is supposed to be done is the selling. In regard to that, you can go to the TMS dashboard first, and then proceed with the following:

  • On the top right corner of the screen, select 'Order Management' and click on the option to 'Buy/Sell'.

  • Click 'Sell'.

  • After that, choose the type of share as 'Equity' and fill in the stock symbol of the company you want to sell.

  • Please provide your selling price and the quantity of shares you would want to sell.

  • Fill in the price and quantity, then click 'Sell' in the middle right section.

Note: In case there are problems with your order, please don't hesitate to contact us.

Conclusion

Buying and selling of shares is an aspect that has been gaining in popularity in Nepal recently. Therefore, more people are attracted to buying and selling shares. The process of purchasing and selling stocks is quite straightforward. All you need to do is meet a few requirements and log into your TMS account. Once you log in to your TMS account, you can head towards order management and share the shares you own from there. This process provides it with many benefits, such as high accessibility and lower fees. You, too, can start selling the shares you own as long as you meet the requirements and have a TMS account.

In this blog, we discussed how to sell shares in Nepal for beginners, what online share trading in Nepal is, and some of its benefits. We also talked about the requirements necessary to start selling shares in Nepal. Hopefully, you found it useful. For more informative updates on different aspects of share trading, please do read some of our other blogs.

And if you want the best share trading services in Nepal, look no further than Secured Securities Limited. Thank you for reading till the end.

FAQ's on Guide to Sell Shares in Nepal

How to sell a share in Nepal?

In Nepal, a beginner can sell shares by following the subsequent steps:

  • Approach your broker and get your KYC updated.

  • Get the TMS login details.

  • Open the URL and reset your password.

  • Log in to TMS login using a username and new password along with captcha.

  • Go to Order Management

  • Click on Sell, then Equity, stock symbol, selling price, and quantity.

  • Click on Sell.

Is it difficult to sell shares?

No, it is not difficult to sell shares as you can do it easily with a few clicks as long as you have the required documents to access a TMS URL and login credentials.

How much does a broker charge to sell shares in Nepal?

The specific amount that a broker charges depends on the brokerage company and the transaction amount. That said, on average, the brokers charge between 0.36 to 0.4 percent per transaction. However, some brokers do charge lower if the transaction is high enough.

Can I sell my shares without a broker?

Yes, you can sell your shares without a broker. That said, doing so without a broker does mean that you shall bear all the risks by yourself. Therefore if you are not an expert or a veteran, we recommend you to use brokerage firms until you are experienced enough.

Can I sell my stock anytime?

This all depends on whether one owns common stock or restricted stock. The owners of common stocks may at any time sell their shares when the market is open. If it is a restricted stock, there are various restrictions imposed upon it, such as holding periods.

What are the charges while selling shares in Nepal?

The specific charge you need to pay depends on our transaction amount. However, the total commission includes:

  • 79.4% broker commission

  • 20% exchange commission

  • 0.6% regulatory Fee

  • 0.015% SEBON transaction

  • Rs 25 per stock transfer per day as a DP transaction to be paid for DP.

Can I sell my shares through my bank?

You can sell your shares through your bank. However, in order for this to take place, your bank needs to be a licensed stock broker such as NIBL, Ace Capital, and Nabil Invest. That said, if your bank is not among the list of banks that are also stock brokers, then you cannot sell shares through your bank.

How long does it take to get money after selling shares in Nepal?

The total time taken to get money after settling shares in Nepal is around 3 days as it follows the T+3 days settlement system. On this date, the T stands for the date of trading and depending on when you sell your share, it can take 3 days from the date when you sell your share/s.

How to buy shares in Nepal?

The process of buying shares in Nepal as a beginner is rather simple. With this, you need to:

  • Have a bank account and a DEMAT account.

  • Get your TMS login details from your broker.

  • Update your password.

  • Log in to the NEPSE TMS system.

  • On the TMS dashboard, click "Order Management."

  • Click "Buy/Sell."

  • Click "Buy."

  • Select the share type as "Equity."

  • Write down the stock symbol of the company. Mention the number of shares and the purchasing price you want to buy at.

  • Click "Buy" on the middle right side of the screen.

FAQs