In the half year (H1) ended June 30, these 10 stockbroking firms handled equities transactions value of about N541.2 billion, representing 52.11 percent of the total value of stocks exchanged on the Nigerian Exchange Limited (NGX) between January 1, 2021, and June 30, 2021.
The NGX Broker Performance Report at the Bourse shows Stanbic IBTC Stockbrokers Limited led the pack accounting for over N112.089 billion of equities transaction in H1’21, representing 10.79 percent of the total value of stocks traded in the review period.
Investment One Stockbrokers International Limited followed with equities deals valued at N72.408 billion or 6.97 percent, while Cardinalstone Securities Limited, which carried out equities transactions worth N70.645 billion came third on the list of the top 10 by value of trade, representing 6.80 percent.
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The NGX had on Thursday, June 10, launched an enhanced broker performance ranking report designed to provide detailed insight into the performance of Trading Licence Holders across asset classes and improve participation in other exchange products.
The new Broker Performance Report, which shows the performance of Brokers ranked by the weighted calculated points in deals, volume, and value across all asset classes, comes in three different levels, distinguished by fields to be displayed.
In the six months to June 30, other top stockbroking firms and the value of stocks they exchanged in the review first half are Rencap Securities (Nig) Limited (N65.487bn or 6.31%), EFG Hermes Nigeria Limited (N46.217bn or 4.45%), and Absa Securities Nigeria Limited (N43.157bn or 4.16%).
Also, Meristem Stockbrokers Limited accounted for equities deals worth N42.642 billion or 4.11 percent of the total value of stocks exchanged on the NGX in H1, while FBN Quest Securities Limited traded stocks worth N33.328 billion or 3.21 percent; WSTC Securities Limited (N29.476bn or 2.84%), and Apel Asset Limited (N25.756bn or 2.48%).
Driven by persistent sell pressure in the month of June, investors in Nigeria’s equities market who held their stocks from the beginning of the year till end of H1 were in no small measure beaten by huge loss of about N1.3 trillion. Neither increasing oil prices nor declining inflation rate could spur investors’ appetite for Nigeria’s equities in H1 amid pressured parallel FX market.
In terms of volume, brokers that took the lead in H1 ahead of others are: Cardinalstone Securities Limited (7.321bn units), which represents 7.96 percent of the total volume of stocks exchanged on the Bourse in six months to June 30.
Only 10 stockbroking firms exchanged 39.342 billion units of companies shares, representing 42.78 percent of the total volume traded on the NGX in the review period.
Amid reduced participation by institutional investors in the equities market and sustained investor preference for risk free securities, Nigeria’s stock market witnessed subdued Buy activities in H1, which resulted to a remarkable dip. The market’s negative return in H1 2021 stood at -5.87 percent.
Other top stockbroking firms in term of volume of stocks they exchanged are Morgan Capital Securities Limited (6.933bn units or 7.54%), Meristem Stockbrokers Limited (5.452bn units or 5.93%), Stanbic IBTC Stockbrokers Limited (4.549bn or 4.95%), Atlass Portfolios Limited (3.728bn units or 4.05%), and GTI Securities Limited (3.184bn units or 3.46%).
Greenwich Trust Limited exchanged 2.213 billion units of companies shares in H1, representing 2.41 percent; Lighthouse Capital Limited (2.181bn units or 2.37%); FBN Quest Securities Limited (1.897bn units or 2.06%), and CSL Stockbrokers Limited (1.880bn units or 2.05%).
Going into this second half (H2), investors are expected to take advantage of cheap/attractive stocks while also positioning in counters known for paying interim dividend to shareholders. Though, uptick in the fixed income (FI) space will continue to weigh on Nigeria’s stock market performance.
