Ticker

6/recent/ticker-posts

AD

custom_html_banner1 custom_html_banner2 custom_html_banner3 custom_html_banner4

Investors flustered by sudden drop in index

 Star Business Report:

Investors were left panicked and disheartened by the steep fall of the main index of the country's stock market.

They are now losing money even by investing in well-performing companies.

The DSEX,. the benchmark index of the Dhaka Stock Exchange (DSE), nosedived 128 points, or 2.33 per cent, to 5,376.45

Country's stock market.

The index shed 4.86 per cent, or 271 points, in the last two days. During the last two trading sessions, stock value dropped by around Tk 20,909 crore.

"I'm really disheartened as the value of most of my stocks dropped by more than 30 per cent suddenly," said Abdul Halim, an investor who works at a private bank.


 
Most of Halim's investments were in Beximco Pharmaceuticals, Beximco, Robi Axiata and Bangladesh Submarine Cables.

"My portfolio is showing unrealised losses for mainly three companies, which have been falling suddenly," he said.
 
👉👊👋👌"When I saw the companies were rising and people said these stocks would rise further, I planned to buy them," Halim said, adding that Beximco and Beximco Pharmaceuticals have the potential to make higher profits due to their participation in the Covid-19 vaccination programme.

On November 5, a trilateral memorandum of understanding was signed among the government of Bangladesh, the Serum Institute of India and Beximco Pharmaceuticals to collect and distribute three crore doses of Covid-19 vaccines from the Indian vaccine-maker.





The three crore doses will be delivered in phases with 50 lakh doses coming every month, according to the agreement. The first phase of the vaccination programme has already started in the country.

Robi is a multinational telecommunication company and it has the potential to grow, Halim said. "So, I invested in these stocks."

New companies are always a risky bet and a sustainable price takes time to establish.

"But many of our investors are chasing debutant companies and then they incur losses," a stock broker said.
Investors sometimes fail to see the justifiable price of a company if it has potential, he said.
  • "Although a company has potential, investors should see its proper valuation because a high price of a well-performing company may cause losses."
  1. The shares of Beximco rose four times and Beximco Pharmaceuticals increased 88 per cent. Both fell 22 per cent and 40 per cent respectively in the last few days.
Turnover, an important indicator of the stock market, rose 2.37 per cent to Tk 789 crore yesterday.
At the DSE, 23 stocks rose, 236 declined and 91 remained unchanged


Anlima Yarn Dyeing topped the gainers' list, rising 6.40 per cent followed by Savar Refractories, MatinSpinning, PHP First Mutual Fund, and Alhaj Textile.

Beximco topped the turnover list with its shares worth Tk 140 crore changing hands, followed by Beximco Pharmaceuticals, British American Tobacco Bangladesh, Robi Axiata and LankaBangla Finance.

Shyampur Sugar shed the most, dropping 9.69 per cent, followed by Aman Feed, CAPM IBBL Mutual Fund, BD Thai Aluminum, and Prime Insurance.

The port city bourse also dropped. The CASPI, the general index of the Chittagong Stock Exchange, fell 396 points, or 2.49 per cent, to 15,519.

Among the 228 traded stocks, 16 rose, 176 dropped and 36 remained the same.

Stay updated on the go with The Daily Star Android & iOS News App. Click here to download it for your device.




Post a Comment

0 Comments