Some capital market operators on Monday called on the Nigerian Stock Exchange (NSE) and the Securities and Exchange Commission (SEC) to map out strategies aimed at increasing the participation of local investors.
They said that increased local participation of both institutional and retail investors would reduce the persistent fall of equities at the nation’s bourse.
Mr Emeka Madubuike, the President, Association of Stock broking Houses of Nigeria (ASHON), urged SEC and the NSE to map out strategies aimed at increasing local participation in the market, to reduce the dominance of foreign investors.
Madubuike said that regulators should embark on enlightenment programmes to boost confidence and educate investors on the gains in long-term investment.
He said that the market would continue to shrink anytime foreign investors offloaded their holdings in the market, due to uncertainties or unfriendly economic policies.
Madubuike also called on market regulators to liaise with the Federal Government on ways to increase the participation of pension fund administrators in the market.
Malam Garba Kurfi, the Managing Director, APT Securities and Funds Ltd, said that there was the need for government to pay more attention to the market, to enhance economic growth and development.
According to him, the economy will not achieve any meaningful growth without a strong capital market.
He, however, attributed the appreciation recorded in the market last week to positive third quarter earnings released by some companies.
A turnover of 992.72 million shares worth N13.12 billion were traded by investors in 14,252 deals.
This was against the 949.68 million shares valued at N10.280 billion exchanged in 14,833 deals in the preceding week.
The Financial Services Industry led the activity chart with 712.27 million shares valued at N4.99 billion, transacted in 7,921 deals.
The Oil and Gas sector followed with a turnover of 124.81 million shares, worth N1.96 billion, achieved in 1,695 deals.
The third place was occupied by the Industrial Goods sector with 47.28 million shares worth N2.75 million, traded in 606 deals.
Honeywell led the gainers’ table in percentage terms, appreciating by 24.32 per cent or 24k, to close at N2.79 per share.
NEM Insurance followed with a gain of 10.90 or 6k to close at 74k, while Glaxosmithkline appreciated by 10.74 per cent or N3.03, to close at N39.99 per share.
Consequently, the All-Share Index appreciated by 177.68 points or 0.60 per cent to close at 30,011.89, as against the 29,834.21 posted in the corresponding week.
Also, the market capitalisation which opened at N10.253 trillion rose by N61 billion or 0.60 per cent, to close at N10.314 trillion.
On the other hand, Okomu Oil Palm topped the losers’ chart in percentage terms, dropping by 14.23 per cent or N5.07, to close at N30.50 per share.
R T. Briscoe trailed with 11.67 per cent or 7k, to close at 53k per share, while Academy Press shed 9.23 per cent or 6k, to close at 59k per share.
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