As Bangladesh stock market soars, experts advise caution to investors
Chief Economic Correspondent, bdnews24.com
Published: 18 Jan 2017 12:38 AM BdST Updated: 18 Jan 2017 12:38 AM BdST
As Bangladesh’s capital market indices shatter records almost every day and the buzz is back after years, experts have advised investors against jumping the gun and to plan carefully before perking their money on securities.
On Tuesday, the benchmark DSEX at Dhaka Stock Exchange shattered a six-year record and settled at Tk 20.68 billion worth of transactions.
The market index also tore past the 10,000 mark.
The market euphoria has spread among the public with enthusiastic investors queuing up in the hope to make the most of the bounty days.
As brokerage houses are suddenly getting a lot of visits, experts have cautioned that investors should not get carried away by the boom.

He cautioned, "I have information that once again many people are selling off their land or borrowing money to invest in the share market. This is absolutely not the right thing to do."
Speaking to bdnews24.com, he said he is afraid the people, after losing their all to invest in stocks, might end up losing everything, yet again.
Former chairman of Bangladesh Securities and Exchange Commission (SEC) Farooq Ahmed Siddiqui told bdnews24.com, "It is not wise for those who do not understand the stock market to invest in it."
Former Dhaka Stock Market President Rakibur Rahman advised prospective investors to remember the prime minister's words - understand carefully and then put their money in.

The caution from all of them follows from two bitter incidents of the past.
In 2010, investors were in for a rude shock following the market bust preceded by a boom, much like 1996.
The crash led thousands to lose everything they had, which they had frantically gambled on. The commercial hub of the capital, Motijheel, was paralysed for months on end with angry investors demanding government measures.
Though several steps were taken by the government, small investors continued to remain unhappy as no measure taken by the government seemed enough to arrest market slide.
However, the transactions over the month so far are showing encouraging signs.

Under fire from retail investors for quite sometime, Finance Minister AMA Muhith is upbeat about the market surge.
He said the market is expected to do better in the days to come.
Just prior to the market collapsing in 2010, the DSE index had soared past 9000 dizzying points while the transaction figures had shot past the Tk 30 billion mark.
For now, brokerage houses in Motijheel are greeting euphoric traders.
Parvez Ahmed, an investor coming out of a brokerage house at the close of Tuesday's trading, told bdnews24.com, "It's quite good now.
“The market has emerged out of the 2010 collapse. It's been a month and has made good profits."
-
Financial institutions to reopen amid lockdown
-
Netflix subscriber growth slows after pandemic boom
-
After ‘green rush,’ Canada’s legal pot suppliers are stumbling
-
Investor group calls for banks to set tougher climate targets
-
Turn 50% of stimulus into grants: FBCCI
-
Cheque clearing, electronic transfer services resume
-
Migrant workers board special flights
-
Banks almost deserted in lockdown
-
Bangladesh allows financial institutions to reopen amid virus lockdown
-
Netflix subscriber growth slows after pandemic boom, shares fall 11%
-
After ‘green rush,’ Canada’s legal pot suppliers are stumbling
-
Investor group calls for banks to set tougher climate targets
-
Bangladesh enterpreneurs want half of COVID-19 stimulus funds as grants
-
Cheque clearing, electronic fund transfer services resume
Most Read
- Rickshaws and cars are back. Street scenes in Dhaka begin to change in lockdown
- IUB comes first among Bangladesh’s private universities in SCImago rankings
- Bangladesh police introduce pass for ‘movement’ in lockdown
- India's Serum institute to sell AstraZeneca vaccine to private hospitals at $8/dose
- NTV journalist Abu Tayeb arrested in digital security case in Khulna
- RAB arrests Hifazat leader Ataullah Amin
- Bangladesh reports 4,280 new virus cases, 95 deaths in a day
- Bangladesh to partially resume domestic flights on Wednesday
- Ex-police officer convicted of George Floyd murder that sparked global protests
- Bangladesh extends virus lockdown by one week to Apr 28