🇳🇵 PART 2 – Nepal-Specific Terms
Essential NEPSE & stock market terms (26–50) every Nepalese investor must know
📋 DEMAT · MeroShare · ASBA · SEBON · and more
Part 2: Nepal-Specific Stock Market Terms — This part covers Nepal-specific terms that every investor should know before applying for an IPO or trading shares on NEPSE.
Tip: If you want to invest in Nepal's stock market, you will regularly use many of these terms.
Terms 26–50: Nepal-Specific & Trading Essentials
26. DEMAT Account A DEMAT account stores your shares electronically. It replaces physical share certificates.
27. BOID (Beneficial Owner Identification Number) A unique 16-digit number linked to your DEMAT account. It identifies you as the owner of your shares.
28. MeroShare An online system that allows investors to apply for IPOs, view their shares, transfer shares, and access other investment services.
29. CRN (Customer Reference Number) A unique number provided by your bank. It is required when applying for IPOs through ASBA.
30. CDSC (Central Depository System and Clearing Limited) The organisation that manages electronic share records and settlement services in Nepal.
31. DP (Depository Participant) A bank or financial institution that provides DEMAT account services to investors.
32. Broker A licensed company that buys and sells shares on behalf of investors.
33. Broker Number Every licensed stock broker in Nepal has a unique broker number for identification.
34. TMS (Trade Management System) An online trading system that allows investors to buy and sell shares through their broker.
35. ASBA (Applications Supported by Blocked Amount) A system that allows investors to apply for IPOs without immediately paying the application amount. The money remains blocked in the bank until the allotment process is completed.
36. C-ASBA The online version of the ASBA system that allows investors to submit IPO applications electronically through participating banks.
37. IPO Allotment The process of deciding which applicants receive shares after the IPO application period ends.
38. Refund The blocked or unused money becomes available again if you do not receive all the shares you applied for.
39. Allotment Result Shows whether you have received IPO shares and how many shares were allotted to you.
40. Settlement The process of completing a share transaction by transferring shares to the buyer and payment to the seller.
41. Trading Account Used to place buy and sell orders through a stock broker.
42. Buy Order An instruction to purchase shares.
43. Sell Order An instruction to sell shares.
44. Bid Price The highest price a buyer is willing to pay for a share.
45. Ask Price The lowest price a seller is willing to accept for a share.
46. Volume The total number of shares traded during a certain period.
47. Liquidity How easily a share can be bought or sold in the market.
48. Circuit Breaker A temporary pause in trading when the market moves sharply within a short time.
49. SEBON (Securities Board of Nepal) The government regulator that supervises and regulates Nepal's securities market.
50. Merchant Banker Helps companies issue shares, manage public offerings, and provide other capital market services.
Conclusion – Part 2
These Nepal-specific terms are essential for every investor who wants to participate in IPOs or trade shares on NEPSE. Understanding them will make investing much easier and help you use Nepal's stock market systems with confidence.
Next: Part 3 explains important financial terms such as EPS, P/E Ratio, Net Worth, Revenue, Assets, Liabilities, ROE, ROA, Dividend Yield, Debt-to-Equity Ratio, and many more.
Quick reference – Nepal-specific terms
| S.N. | Term | Short definition |
|---|---|---|
| 26 | DEMAT | Electronic share storage |
| 28 | MeroShare | Online IPO & portfolio system |
| 35 | ASBA | Blocked-amount IPO application |
| 49 | SEBON | Securities regulator of Nepal |
| 34 | TMS | Online trading system |
“Knowing the local terminology is the first step toward confident investing in NEPSE.”
Disclaimer: This content is for educational purposes only and does not constitute financial advice. Always consult a registered financial advisor before making investment decisions. Stock market investments are subject to market risks.