How the NSE Works

How the NSE Works

The Nairobi Securities Exchange operates like a marketplace, but instead of fruits and vegetables, people buy and sell shares of companies.

Trading Hours

The NSE operates Monday to Friday (excluding public holidays):

• Pre-open: 9:00 AM — Orders are queued
• Continuous trading: 9:30 AM to 3:00 PM — Buying and selling happens
• Closing auction: 3:00 PM to 3:10 PM — Final trades settle

Key Players

• NSE — The exchange itself, provides the platform
• CMA — Capital Markets Authority, the regulator that protects investors
• CDSC — Central Depository and Settlement Corporation, holds your shares electronically
• Stockbrokers — Licensed intermediaries who execute your buy/sell orders

Settlement: T+3

When you buy shares, the trade settles in T+3 — three business days after the trade. That means you officially own the shares on the third day after purchase.