DSE reduced tick size

Dhaka Stock Exchange (DSE) has reduced the tick size from Tk 0.10 to Tk 0.01 for shares whose price is less than Tk 1.

Tick size is the smallest possible price increment for a financial instrument, set by exchanges to ensure orderly trading. For example, a stock with a tick size of Tk 0.01 can only move in one-paisa increments, like from Tk 50.00 to Tk 50.01.

In a disclosure yesterday, the premier bourse said it currently applies a tick size of Tk 0.10 for equity securities in determining single price deviations in the secondary market.

However, it has been observed that the market prices of certain securities have recently fallen close to Tk 1.

In such cases, when the price of any security falls below Tk 1, the existing tick size of Tk 0.10 becomes unsuitable for price movement and trading purposes.

Therefore, DSE shall introduce a revised tick size of Tk 0.01 for securities trading below Tk 1, effective from October 29, 2025, as per the disclosure.

This has been brought about in accordance with Regulation 18 of the Dhaka Stock Exchange Automated Trading Regulations, 1999, to ensure smoother price discovery and improved market efficiency, it added.

Recently, the share of People's Leasing and Financial Services Limited dropped below Tk 1. So, the company's share could not undergo price movements as the tick size was Tk 0.10.