CSE President uttered the need for Derivative products to provide hedging tools to the investors and liquidity in the cash market

Dhaka, June 22, 2007: CSE President Mr. MKM Mohiuddin has uttered the need for derivative products to provide hedging tools to the investors and to provide liquidity in the cash market while inaugurating a 4-day long training and certification program on derivatives this morning at BRAC INN, Dhaka, jointly organized by Chittagong Stock Exchange and the National Stock Exchange of India Ltd. (NSE, India).

In his inauguration speech, he told that in the present scenario, introduction of such products would surely increase the confidence of the investors as well the cash market. In his speech he also hoped that this training, designed for the market operators will help prepare the brokers as well the exchange for introducing derivative products.

More than fifty participants from CSE broker firms and other market intermediaries are attending the course. Mr. Arup Mukherjee, Assistant Vice President of NSE India is conducting the course. In his speech, he said derivatives are the must products for Risk Management while investing in the stock market, and when there is any derivative on a stock, it increases the liquidity of that stock in the cash market resulting in the overall liquidity in the market.

CSE President uttered the need for Derivative products to provide hedging tools to the investors and liquidity in the cash market

Mr. A. B. Siddique, Chief Executive Officer of the Exchange while speaking on the occasion said that this course is the outcome of our series of awareness seminars on familiarizing derivatives in our market. This course will put us one step forward towards introducing derivatives in our market. Our market is ready and it became the need of the time to standardize our market with international standards. Mr. Abdul Mutaleb, General Manager- Systems, was also present in the program.

The derivative products, which do not exist at all in our stock market, are the most popular investment instruments for the corporate investors as well as for individuals in the developed countries in India, Pakistan etc.

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AKM Shahroze Alam
Deputy Manager
Corporate Development