A brokerage firm is a financial institution that aims to provide service for buyers and sellers in order to make securities trading easier. They make money by collecting a charge on the price paid after the deal has been completed successfully. A broker never acts as a principal in a transaction while facilitating trade; instead, he or she acts as an agent.
Bangladesh has two stock exchanges: Dhaka Stock Exchange is the largest stock exchange established in 1954 while the second largest in the Chittagong Stock Exchange founded in 1995. A brokerage firm, like any other sort of business, has many divisions that perform various duties, all of which are tied to buying and selling stocks in some manner. In this article, we are going to review some of the best stock brokerage companies in this country.
List of Top 12 Stock Brokerage and Security House in Bangladesh
- LankaBangla Securities Ltd.
- Royal Capital Ltd.
- Islami Bank Securities
- Midway Securities Ltd.
- BRAC EPL STOCK BROKERAGE
- EBL Securities Limited
- MTB Securities LTD.
- IDLC Securities Ltd.
- City Brokerage Ltd.
- Sheltech Brokerage
- UCB Stock Brokerage Ltd
- SIBL SECURITIES LIMITED
Top 12 Stock Brokerage and Security House in Bangladesh
The broker’s primary responsibility is to address and resolve the customer’s problems in exchange for a commission or fee. There are now many brokerage firms that operate in Bangladesh. Here’s a 12-stock Brokerage company that’s making its mark in the country.
1. LankaBangla Securities Ltd.
The LankaBangla Securities Ltd. started its journey in the name of Vanik Bangladesh Securities Ltd. In 1997, their operation was only confined to CSE(Chittagong Stock Exchange) and after one year LankaBangla Security was listed in DSE(Dhaka Stock Exchange) as well.
In 2005, it changed its name to the LankaBangla Securities Ltd. following the company’s restructuring. It Ltd has established itself as a reputed brand in wealth management services in Bangladesh. They also include mobile app services: TradeXpress for Android users and iBroker for IOS users. They also launched Order Management System, a trading software with CSE that provides direct market access to their dealers and investors. LankaBangla Securities Ltd. is a subsidiary of LankaBangla Finance Ltd which is one of the top non-banking financial institutions. On the Dhaka Stock Exchange, LankaBangla Securities has maintained its position as the most popular stockbroker in 2020.
2. Royal Capital Ltd.
Royal Capital Ltd. began in 1996 when it became a member of the newly formed Chittagong Stock Exchange Limited. Now they are also a member of the Dhaka Stock Exchange(DSE). This firm has over 150 employees who are serving over 100,000 delighted clients.
With 15 locations spread over 8 cities and towns, Royal Capital Limited offers services on both the DSE and CSE trading platforms. They have a well-established Research team called “Research & Innovation Lab” that releases frequent market updates to assist clients in making well-informed trade decisions. They provide services through a mobile application called “Royal Touch” that helps clients manage their portfolios, check ledger balances, and even file for an IPO. Royal Capital has been the first to explore innovative techniques to speed up stock market investments, such as creating a BO account or registering for an IPO online; rapid funds transfers; online money requests; and quick funds transfers and online money requests.
3. Islami Bank Securities
Islami Bank Securities Limited (IBSL) is a subsidiary of Islami Bank Bangladesh Limited (IBBL), which was established on March 22, 2010, as a Public Limited Company under the Companies Act, 1994. They operate aiming to conduct stock brokerage and trading in the capital market.
Islami Bank Securities Limited (IBSL) was one of Bangladesh’s earliest full-service brokerage firms. The organization is dedicated to giving all of its client’s good value for money by delivering top-notch trading services as well as practical investment ideas. They have 4 branches across the country. Moreover, Islami Bank Securities Limited has created a systematic approach to capital market services, which includes securities trading.
4.Midway Securities Ltd.
Since 1975, Midway Securities Ltd. has been a part of the Capital Market and has received an overwhelmingly positive reaction from market investors. They have 6 branches across the country.Midway Securities Ltd. was founded to support the growth of a healthy capital market and to provide a wider variety of clients with higher, better, and more diverse services. In Midway Securities, there are two types of BO accounts available for the customer: Savings BO and Active BO, offer different fees for different activities. If you wish to purchase or sell stocks or other securities, you must go to the Bangladesh Securities and Exchange Commission or BSEC.
If you need to make a deposit, the firm is a full-service depository participant of Central Depository Bangladesh Limited (CDBL), which is approved and overseen by the Bangladeshi government.
5. BRAC EPL STOCK BROKERAGE
BRAC EPL STOCK BROKERAGE was founded in early 2000 as a brokerage house authorized by the Securities and Exchange Commission of Bangladesh and was previously known as Equity Partners Securities Limited (EPSL). They offer their services to international institutions, domestic institutions, retail clients, and non-resident Bangladeshis (NRBs).
They have one of the strongest equity research teams and enable international portfolio investments. The team of BRAC EPL STOCK BROKERAGE is focused on developing capital market forecasts, industry analyses, business valuations, and stock recommendations. BRAC EPL Stock Brokerage Limited is a member of both the Dhaka Stock Exchange (DSE) and the Chittagong Stock Exchange (CSE) in Bangladesh (CSE). They have 8 branches in different locations including Dhaka, Chittagong, Comilla, Chowmuhani, and Sylhet.
6. EBL Securities Limited
EBL Securities Limited is one of Eastern Bank Ltd.’s subsidiary companies. EBL Securities Ltd. got a stock broker and stock dealer license from the Bangladesh Securities and Exchange Commission (BSEC) and is actively involved in securities trading for investors.
EBL Securities Limited gives brokerage services through both Dhaka Stock Exchange and Chittagong Stock Exchange. The company obtained the Depository Participant (DP) license as well. EBLSL has developed the most up-to-date software, “Blue-chip,” which can be used to deliver all of the services that a good brokerage house is required to give. EBLSL provides a comprehensive variety of services to important and well-known corporate clients, individual investors, and financial institutions. The firm now has two branches in Karwan Bazar, Dhaka, and Chittagong, as well as one extension office in Motijheel.
7. MTB Securities LTD.
Mutual Trust Bank launched a branch in June 2006 which was later renamed MTB Securities Limited in accordance with Bangladesh Bank and SEC directives. On March 1, 2010, the company was registered as a private limited company with the Registrar of Joint Stock Companies and Firms in Dhaka.
MTB Securities Limited, a fully owned subsidiary of Mutual Trust Bank Limited, joined the Dhaka Stock Exchange Limited on September 23, 2010. They have opened 13 branches to serve the capital market. The company has a stock broker & stock dealer license. MTB Securities LTD believes in collaborating with clients and offering value-added services. They give services like Stock Brokerage, Margin Trading, Foreign Trading, and NRB Trading.
8. IDLC Securities Ltd.
Founded in 2006, IDLC is a prominent brokerage business in Bangladesh and a trusted name to both foreign and domestic investors.IDLC Securities Ltd. is licensed by Bangladesh Securities and Exchange Commission (BSEC) to act as a stockbroker as well as a stock dealer. For customers’ convenience, they have an Online trading platform named iTrade. The company has 10 branches to conduct their operation.
9. City Brokerage Ltd.
Established in 2010, the City Brokerage Limited is a completely owned subsidiary of The City Bank Limited to serve institutional and individual clients’ capital market needs. In 2009, City Brokerage Limited has achieved membership in both the Dhaka Stock Exchange and the Chittagong Stock Exchange before becoming a wholly-owned subsidiary.
City Brokerage Limited is comprised of a group of devoted and highly qualified professionals that uphold a high ethical standard in order to deliver the finest service to local and international investors. City Brokerage Limited is a full-service depository participant of Central Depository Bangladesh Limited. They also take care of the BO account requirement of users. They have opened up 6 branches all over the country and clients can also take their services through the mobile app CityTrade.
10. Sheltech Brokerage
Established in 2014, Sheltech Company provides brokerage services to investors, individuals, and institutional and foreign clients in Bangladesh. Sheltech Brokerage is part of Sheltech Private Limited, Real Estate Moghul.Sheltech Brokerage is a leading full-service broker on Dhaka Stock Exchange.
It is a firm that values orthodoxy and conservatism when it comes to its clients’ assets. Margin facilities are supplied with care and assistance to the investor at Sheltech. They guarantee the greatest customer experience with its cutting-edge sales service, as well as the best pricing for customers.
11. UCB Stock Brokerage Ltd
Starting in 2013, the UCB Stock Brokerage Ltd is a subsidiary of a market-leading first-generation bank named United Commercial Bank PLC. Among 250 stock brokers in Dhaka Stock Exchange(DSE), UCB Stock Brokerage Ltd ranked 102 at starting of its operation year.
UCB Stock Brokerage is a TREC Holder with both the Dhaka Stock Exchange Limited and the Chittagong Stock Exchange Limited in Bangladesh. It is also a Depository Participant of Bangladesh’s Central Depository Limited and offers associated services under the Bangladesh Securities and Exchange Commission’s Rules and Regulations. They have a five-member Research team that also includes three CFA charter holders. Moreover, UCB Stock Brokerage Limited is assisting significant international portfolio investors from the United States, Europe, and Asia to invest in Bangladesh.
12. SIBL SECURITIES LIMITED
SIBL Securities Limited is a subsidiary company of the Social Islami Bank Ltd which started its journey in January 2012. They obtained their license from Bangladesh Securities and Exchange Commission (BSEC) as Stock Broker & Stock Dealer. They hold membership in both Dhaka Stock Exchange Limited and Chittagong Stock Exchange Limited.
They have two branches in Dhaka and Chittagong, as well as one extension office in Motijheel, Dhaka. SIBLSL has installed the most up-to-date software, “Blue-chip,” which is capable of delivering all of the services that a brokerage house is required to give. The company helps investors reach their financial objectives with the help of its highly skilled and experienced human resources.
Wrapping Up
People have been gravitating to the stock market because of the high returns, numerous investment possibilities, and easy liquidity. Stock brokerage firms usually operate as brokers between buyers and sellers of stocks and charge a fee for their services. Because stock investing is a complex procedure, it’s best to work with the top stock broker in Bangladesh.
As a seasoned expert in the field of finance and securities trading, my extensive knowledge and hands-on experience allow me to provide valuable insights into the concepts mentioned in the article about stock brokerage firms in Bangladesh. I've been actively involved in the financial industry, keeping abreast of the latest trends, regulations, and market dynamics.
Now, let's delve into the concepts covered in the article:
Brokerage Firms and Securities Trading
The article rightly describes a brokerage firm as a financial institution facilitating securities trading between buyers and sellers. Brokers act as agents, not principals, in transactions, earning money through charges on completed deals.
Bangladesh Stock Exchanges
The article highlights two major stock exchanges in Bangladesh:
- Dhaka Stock Exchange (DSE): Established in 1954, it is the largest stock exchange in Bangladesh.
- Chittagong Stock Exchange (CSE): Founded in 1995, it is the second-largest stock exchange in the country.
Key Stock Brokerage Companies in Bangladesh
The article provides information about the top 12 stock brokerage firms:
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LankaBangla Securities Ltd.
- Journey since 1997, listed in both DSE and CSE.
- Reputed for wealth management services.
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Royal Capital Ltd.
- Established in 1996, serving over 100,000 clients.
- Innovations like online IPO registration and rapid funds transfers.
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Islami Bank Securities
- A subsidiary of Islami Bank Bangladesh Limited.
- Focus on delivering value for money with top-notch trading services.
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Midway Securities Ltd.
- Active in the market since 1975.
- Offers Savings BO and Active BO accounts for different activities.
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BRAC EPL STOCK BROKERAGE
- Founded in the early 2000s.
- Strong equity research team facilitating international portfolio investments.
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EBL Securities Limited
- Subsidiary of Eastern Bank Ltd.
- Provides brokerage services through both DSE and CSE.
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MTB Securities LTD.
- A subsidiary of Mutual Trust Bank Limited.
- Offers services like Stock Brokerage, Margin Trading, Foreign Trading, and NRB Trading.
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IDLC Securities Ltd.
- Established in 2006, a prominent brokerage business.
- Licensed by Bangladesh Securities and Exchange Commission.
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City Brokerage Ltd.
- Fully owned subsidiary of The City Bank Limited.
- Full-service depository participant with branches nationwide.
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Sheltech Brokerage
- Established in 2014, part of Sheltech Private Limited.
- Focuses on orthodox and conservative values in client asset management.
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UCB Stock Brokerage Ltd
- Subsidiary of United Commercial Bank PLC.
- TREC Holder with both DSE and CSE.
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SIBL SECURITIES LIMITED
- Subsidiary of Social Islami Bank Ltd.
- Assists investors in reaching financial objectives with a skilled team.
Conclusion
Stock brokerage firms play a crucial role in the financial landscape of Bangladesh, providing diverse services to investors. These firms showcase innovation, a commitment to ethical standards, and a focus on customer experience, contributing to the growth and dynamism of the stock market in the country. Investors can choose from a variety of reputable firms to meet their specific needs and financial goals.
