People associated with the capital market have attributed the increased trading at the bourses to hike in institutional investments.
However, many have expressed their fear of a scam pointing out that trading had increased for only a number of issues.
The benchmark index of the Dhaka Stock Exchange has gained nearly 160 points or 8.4 percent over the last 13 working days (from Aug 5 to Sep 2), a turnaround from the trend observed over the four weeks before that (from July 8 to Aug 2) where the DGEN had shed nearly 4.4 percent.
The turnover also saw a massive hike in the period, striking Tk 58.59 billion, rising by nearly Tk 20.71 billion or 55 percent from the amount of trade in-between July 8 and Aug 2.
On Sunday, shares and mutual funds amounting close to Tk 5.41 billion change hands, maintaining the trend of staying above Tk 5-billion mark seen over the previous six days.
DSE Senior Vice President Ahmed Rashid Lali told bdnews24.com: "The index and turnover are rising as large and institutional investors are coming into play."
Bangladesh Merchant Bankers Association President M A Hafiz said the price of shares was drawing the investors in.
He told bdnews24.com: "Share prices have gone down a lot, which is why the investors are jumping into the arena."
However, when questioned why they did not join the market earlier as the prices were down then also, the merchant bankers' chief replied, "The liquidity crisis is less than before and the investor confidence has also grown."
Hafiz attributed the lessening of liquidity crisis to the fall in call money rates and rates of interests of the banks.
The Bangladesh Bank records show that the call money rate was 19.66 percent in January and had fallen to 10.91 percent by Aug 7.
However, Dhaka University's Finance Department Teacher Osman Imam has expressed his fears that a scam could be in the making.
"Of the trade over the last few days, a large chunk was that of 8-10 companies' shares and most of them were IPO shares," he told bdnews24.com. "Such transactions are signs of manipulative activities."
The DU Professor added that the capital market regulators, Securities and Exchanges Commission, should keep an eye out on this. "Or else, the investors could be adversely affected."
However, many have expressed their fear of a scam pointing out that trading had increased for only a number of issues.
The benchmark index of the Dhaka Stock Exchange has gained nearly 160 points or 8.4 percent over the last 13 working days (from Aug 5 to Sep 2), a turnaround from the trend observed over the four weeks before that (from July 8 to Aug 2) where the DGEN had shed nearly 4.4 percent.
The turnover also saw a massive hike in the period, striking Tk 58.59 billion, rising by nearly Tk 20.71 billion or 55 percent from the amount of trade in-between July 8 and Aug 2.
On Sunday, shares and mutual funds amounting close to Tk 5.41 billion change hands, maintaining the trend of staying above Tk 5-billion mark seen over the previous six days.
DSE Senior Vice President Ahmed Rashid Lali told bdnews24.com: "The index and turnover are rising as large and institutional investors are coming into play."
Bangladesh Merchant Bankers Association President M A Hafiz said the price of shares was drawing the investors in.
He told bdnews24.com: "Share prices have gone down a lot, which is why the investors are jumping into the arena."
However, when questioned why they did not join the market earlier as the prices were down then also, the merchant bankers' chief replied, "The liquidity crisis is less than before and the investor confidence has also grown."
Hafiz attributed the lessening of liquidity crisis to the fall in call money rates and rates of interests of the banks.
The Bangladesh Bank records show that the call money rate was 19.66 percent in January and had fallen to 10.91 percent by Aug 7.
However, Dhaka University's Finance Department Teacher Osman Imam has expressed his fears that a scam could be in the making.
"Of the trade over the last few days, a large chunk was that of 8-10 companies' shares and most of them were IPO shares," he told bdnews24.com. "Such transactions are signs of manipulative activities."
The DU Professor added that the capital market regulators, Securities and Exchanges Commission, should keep an eye out on this. "Or else, the investors could be adversely affected."
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