In the past six months, almost 49,000 beneficial owner (BO) accounts have been emptied, indicating rising investor annoyance at consistently poor returns and the departure of many from the stock market.

Market players blame the flight because investors are becoming increasingly concerned about suffering large losses in the midst of a protracted recession.

According to data from the Central Depository Bangladesh Limited (CDBL), the number of BO accounts with zero share balances was 310,000 on August 6 last year. This number has increased to 359,000 as of February 20, 2025.

Of the total 1686,000 BO accounts registered with CDBL, 21 percent are now inactive.

The number of shares held by BO accounts has decreased by 36,056 to 1259,000, indicating a decline in investor confidence.

After the fall of the Awami League government, the benchmark DSEX index of the Dhaka Stock Exchange (DSE) initially rose 786 points to 6,015 in just four days. The rise was fueled by optimism that a new administration would bring about a new era of transparency and good governance against persistent corruption and mismanagement, which would address economic uncertainty.

However, investor confidence has waned as the government and the stock market reform agenda have remained unclear or failed to reassure market participants.

According to market participants, decisions taken without consulting market intermediaries have deepened distrust and exacerbated the market decline.

They say the market’s downward trend reflects a growing divergence in investor expectations and a lack of concrete steps to stabilize and revive the market.