About Us » Company Overview

Mercantile Exchange Nepal Limited (MEX), established on 14th August, 2007 and started its operation from 5th January, 2009., is the only Exchange in Nepal to have technical and business related support from the market participants. Since its inception, MEX has been constantly contributing towards the up- gradation and enhancement of Nepali commodity eco-system. The day-to-day operations of the Exchange are managed by the experienced and qualified professionals with impeccable integrity and expertise. None of them have any trading interest. The structure of MEX is impossible to replicate in Nepal.

Uniqueness of MEX lies in various aspects. As a zero debt company, it has accepted globally tested accounting and compliance procedures. MEX is guided by public interest rather than commercial interest. Effective and accepted fair, transparent and rule based dispute settlement mechanism is developed, to eliminate any such conflicts.

MEX commenced futures and Spot trading in precious metal, energy, base metal and agro commodities based upon pure order matching system. Moreover, research desk of MEX is constantly in the process of identifying the hedging needs of the commodity economy and the basket of products is likely to grow even further in the coming days. MEX has also made immense contribution in raising awareness and catalyzing implementation of policy reforms in the commodity sector. MEX is the first Exchange to enroll participation of high net-worth corporate Members in commodity derivatives market.

Taking a leap and justifying the "pioneer" status, the trading mechanism of MEX is the pure order-matching model with the state-of-the-art technology. As this new market mechanism facilitates a robust trading sphere in the commodity market, the principle of trading has radically shifted. To mention a few enhancements- trading based on the market-depth, execution of contracts based on the best available bid-ask quotes, market liquidity et cetera- are some of the advanced features of the new market model.

MEX conducts its futures and spot markets through its standard and tested automated trading accessibility to trader which offers the leading benchmarks and trades the futures and spot in its markets. The clearing a service at MEX is performed through MEX affiliated Clearing members. State-of-the-art electronic trading platform which is also known as AX1 brings market access and transparency to participants on broader scale.

A Futures Exchange shall work in line with interest of growers, merchandiser, exporter-importer, industrialist, investors and end users. These are known as market factors. MEX believes to serve the needs and requirements of the market factors. While serving the market factors, MEX follows a globally accepted and tested norms and ethics. Being an ISO 9001:2008 certified exchange, the quality of services that MEX offers have been of superior standard. Further, MEX has been setting a benchmark for service delivery in the industry.

Finally, to address the growing demand of the market participants and traders, MEX has started trading practice based on "odd-lots." In basic terms, the traders in odd-lot based trading are facilitated to choose the contract sizes based on their preferences or intent of investment. Further, as the traders are facilitated with multiple contracts in numerous commodities, MEX expects to satisfy the growing requirements of the traders in the Nepalese commodity arena.