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A stock exchange is the platform where financial instruments like shares/stocks, bonds and derivatives are traded. Market participants have to be registered with the stock exchange and authorised by the Capital Markets and Securities Authority (CMSA) to conduct trades. This includes companies issuing securities, brokers/dealers executing the trades and investors. All of this is regulated by CMSA, the Government Agency established to promote and regulate securities business in the country.

These is information on how to buy or sell shares of the entities listed on the DSE.

Thees are four easy steps to making a bid/buy or offer/sell trades through VICTORY FINANCIAL SERVICES LTD:

  • Step 1: Visit or contact VICTORY FINANCIAL SERVICES LTD by phone or email to express interest to use our services for trading;
  • Step 2: Send us your particulars (KYC information) to enable us open your trading account;
  • Step 3: Decide on which securities you wish to buy
  • Step 4: Put money into the designated VICTORY FINANCIAL SERVICES LTD Trust bank account.

The DSE has a number of participants, each performing different functions. Understanding how they work together and interact to create an efficient marketplace will help make your understanding of otherwise complex market concepts easier.

Market Order

A market order does not have a set price and is therefore executed immediately at the current ‘market’ or last traded price. Markets can be highly volatile and therefore the price of execution may differ dramatically from the price at time of order entry. Clients are advised to use market orders if more concerned about the speed of execution as opposed to the price.


Limit Order

A limit order does have a set price and therefore may only be executed at the set price; however, a limit order may not be executed if the market moves away from the set price. Those who use limit orders are less concerned about speed and risk having the order never executed.

Investors in the stock market vary in their knowledge and experience from large institutional money managers to retail investors. The goal of all of these investors is the same – to generate returns from their savings and investment. DSE facilitates information transparency by requiring issuers of listed securities to provide financial and other corporate disclosure for investors. VICTORY FINANCIAL SERVICES LTD supports its clients’ access to the information through aggregation and dissemination of the information in its regular publications.

Market Participants (Stockbrokers and Financial Advisors / Brokers)

In addition to Brokers and Dealers (responsible for trading, brokerage and market making), market participants include investment advisors who advise medium and retail investors on investment strategies. Investment Advisors’ competencies include corporate finance, security analysis, market regulations, and other aspects relevant to the operation of the capital markets. VICTORY FINANCIAL SERVICES LTD is also a licensed Investment Advisor, and therefore best placed to provide investors with both investment advisory and execution of trades under one roof.

A “Custodian” is a legal entity providing custodial services by holding securities in custody on behalf of clients. To render such services in relation to listed securities, the entity must be regulated by the CMSA and admitted as a CSD Member of the DSE. Subject to client choice and mandate, VICTORY FINANCIAL SERVICES LTD offers custodial services to our trading clients.

Companies create and sell securities in the market to raise capital, complete an acquisition and/or allow current shareholders to exit their investments. Pursuant to their capital needs and corporate strategies, Companies may issue and sell shares on the DSE. In the regulated market, companies must provide adequate disclosure either to Regulators and the investing public. Such disclosure also helps the Issuers as they get to benefit from the liquidity that follows transparency. Companies that provide high disclosure levels experience significantly greater levels of liquidity, improved price discovery, more efficient trading and therefore better branding and market visibility.

A stock exchange is a central ‘market place’ in which companies or entities that want to issue their securities (shares or bonds) for sale in a public environment can trade their shares alongside other ‘issuers’.


Willing buyers and willing sellers place orders on the exchange’s trading system. Collectively, these orders constitute the market for a share. The aggregation and ranking of the orders defines the price at which a share will sell. The highest ‘bid’ (purchase price) and lowest ‘ask or offer’ (sale price) together are called the ‘double’. Investors in shares should thoroughly understand the difference between a Market Order and Limit Order.

In terms of the Capital Markets and Securities Act, 1996 (Cap. 89 of the Laws of Tanzania), any stock exchange operating in the country must be approved and licensed by the Capital Markets and Securities Authority (CMSA). Currently, only DSE has been so licensed. 

  • No! You can start your investment portfolio with as little as TZS 1,000 and grow your portfolio over time.
  • Our objective at VICTORY FINANCIAL SERVICES LTD is to broaden financial inclusion Tanzania and beyond by giving every investor easy and affordable access to shareholding. We also aim to make it easier for companies to list on DSE, and hence raise the capital they need for implementing innovative business ideas.


  1. Choose VICTORY FINANCIAL SERVICES LTD or any other broker authorised by CMSA. The Capital Markets and Securities Act (CMA) requires that all shares on a stock exchange be bought and sold through licensed brokers.
  2. Create a trading account us. For this, you will need to provide us with your KNY details.
  3. Select the shares you wish to buy. You can visit us and receive face to face advice from our experts, contact any of our Customer Services Officer by phone (+255-22-211 1758) or email (info@vfsl.co.tz) or use the free information we regularly provide to our Client about the shares that are available.
  4. Fund your trading account by depositing funds into VICTORY FINANCIAL SERVICES LTD designated Trust Account.
  5. Give instructions on which and how many shares to buy and type of Order. You can use a fax, email (including through this website) or phone for instruction, provided that you promptly visit our offices for completing the necessary documentation.

The Capital Markets and Securities Act (CMS Act) stipulates that only brokers that have been authorised by the Authority may enter orders to buy or sell securities listed on any exchange in Tanzania.

  • Because DSE operates differently from others, you will need to confirm with your broker if your account permits the broker to transact DSE listed securities on your behalf.
  • The DSE works on a T+3 clearing and settlement model. The money for the shares and the shares themselves take three days from the date of executing the order to reach the parties involved. So, brokers authorised by the exchanges are obliged to provide safe custody services for investors. They have to hold your money or securities for the shares for the three days to settlement.
  • All trades must go through a broker.
  • The Capital Markets and Securities Act (CMS Act) requires that all transactions be routed through a broker.


  • Depending on the market price of the securities you want in your portfolio, you can invest as little as you like.
  • Remember, though, that there are some basic costs involved in each transaction.
  • So, a minimum investment of TZS 1000 is a practical point to start. See our example below, under ‘costs of transacting on DSE.

The current structure of transaction costs is as follows




Brokerage Commission:



•        Up to TZS 10 million



•        On the next TZS 40 million



•        On any sum above TZS 50 million






DSE and CMSA’s Commission (where 0.02% goes to Fidelity Fund and 0.28% is being equally divided):



•        Up to TZS 10 million



•        On next TZS 40 million



•        On any sum above

•        TZS 50 million




A schedule stating the costs associated with trading transactions on DSE is usually available on DSE website. For the most recent structure, please see the

DSE Handbook at:  http://www.cmsa.go.tz/DSE_HANDBOOK_2018.pdf..

As frequently as you want, during the market’s business hours when the exchange is open for business. The DSE market is open from 1000hrs to 1500hrs (EAT) except on weekends (Saturdays and Sundays) and public holidays. But please note that a very active investment strategy may attract disproportionate costs of transactions, reducing the overall return on your investment.

Shares traded on DSE are in an electronic format, held in the Central Securities Depository maintained by the Central Securities Depository and Registry Company Limited (CSDR).

We provide all market prices live and free to the public. You can always see the value of your shares – and all the others traded on DSE – from a scroll ribbon on our website. Also, the information is available on the DSE website under the Listed Companies tab.

Share prices move up and down due to changing market expectations about the listed company’s future performance which reflects through fluctuations in supply and demand. If more people want to buy the shares of a particular company, its market price will increase. Conversely, if more people want to sell a share, its price will fall. This is because the market is always building future expectations into prices.

Accordion Content

Usually, when their prices are low.

Buying a company’s shares is a type of investment. Via shares, people choose to buy small portions of ownership in companies. This part ownership entitles them to a share of any profits and to participate in the company’s growth. There are several ways of benefiting from such part ownership.

Most investors buy shares because they have the potential to appreciate over time. If your shares go up in value, you can sell them at a time of your choice to cash a profit.

For instance, if you buy a stock (share) at a price of TZS 500 and its price increases to TZS 900 after a year, you can sell it for a profit of TZS 400. Profit from the sale of a single share may be minimal, but if you buy hundreds or thousands of shares, profits can be significant. You are, of course, free to sell your shares at any time.

Dividends are periodic payments that some companies give to shareholders based on the company’s profits. Dividend paying shares can provide a steady source of income for shareholders without their having to buy or sell the shares. They are, therefore, an alternative to saving money in interest bearing accounts or buying bonds. However, not all companies will pay dividends, nor is the dividend amount fixed like interest from a bank deposit. Many choose to reinvest at least part of the profits back into their operations rather than distribute earnings.

Another advantage of being a shareholder is the ability to influence decisions in the company that issued the shares. This can potentially affect the value of your shares. For example, shareholders may have the right to vote on appointing the board members that run a company. In some companies, the shareholders themselves may sit on directive boards.

Companies that issue shares may grant shareholders a variety of other benefits. For example, a shareholder may be granted special discounts on products or services that the company offers. Specific shareholder benefits will vary from one company to the next.

Listed securities may be used as security for borrowing from a financial institution.

Brokers must pass an exam set by the CMSA, be licensed by CMSA after meeting other conditions including adequate capitalisation and be admitted by DSE as Dealing Members of the Exchange.

The brokers’ commissions for executing trades on DSE are regulated by CMSA and DSE. Advisory fees are subject to agreement between the broker and client.