Demutualization of Dhaka Stock Exchange: Opportunities and Challenges
International Journal of Finance and Banking Research
Volume 1, Issue 1, October 2015, Pages: 1-11
Received: Sep. 20, 2015; Accepted: Sep. 25, 2015; Published: Sep. 28, 2015
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K. M. Anwarul Islam, Department of Business Administration, the Millennium University, Dhaka, Bangladesh
Sk. Alamgir Hossain, Departmentof Finance, Faculty of Business Studies, Jagannath University Dhaka, Bangladesh
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The Dhaka Stock Exchange is the prime bourse of the country. Through its nonstop highly fault-tolerant screen based automated trading system, the exchange can offer facilities for transparent and highly efficient mechanism provisions for secondary market activities of shares, debentures and wide varieties of other securities. In this research paper, we used two stock exchanges that have already demutualized and gone public: Hong Kong Stock Exchange, and London Stock Exchange and analyzed pre and post-demutualization performance of them. The reason of taking two exchanges of different sizes is to provide better suggestion for Dhaka Stock Exchange. Using data from the financial statements from 1999 to 2013 and by the means of descriptive statistics analysis we show that all the two demutualized exchanges have a better post listing share and operating performance than mutual exchanges.
Demutualization, DSE, HKSE, LSE
To cite this article
K. M. Anwarul Islam, Sk. Alamgir Hossain, Demutualization of Dhaka Stock Exchange: Opportunities and Challenges, International Journal of Finance and Banking Research. Vol. 1, No. 1, 2015, pp. 1-11. doi: 10.11648/j.ijfbr.20150101.11
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