- Stocks Extend Losses, Exchanges Collaborate for Growth
The nation’s stock market extended its decline on Monday as 25 companies, led by Ikeja Hotel Plc, recorded losses at the end of trading.
The market capitalisation of listed equities fell slightly to N13.315tn while the All Share Index of the Nigerian Stock Exchange closed at 36,479.42 basis points.
Twenty-one stocks appreciated at the close of trading on Monday, with Consolidated Hallmark Insurance Plc leading the pack.
Last week, the NSE ASI depreciated by 0.37 per cent, while the market capitalisation appreciated by 0.38 per cent to close at 36,499.67bps and N13.322tn, respectively.
Meanwhile, the Nigerian capital market will on Wednesday witness the launch of the Association of Securities Exchange of Nigeria at the Nigerian Stock Exchange.
The NSE, in a statement on Monday, described ASEN as the nation’s first association of domestic securities exchanges and a non-profit industry association established to accelerate the development of domestic securities exchanges and support the Nigerian capital market to achieve greater global competitiveness.
According to the bourse, membership of the association currently includes AFEX Commodities Exchange, FMDQ OTC Securities Exchange, NASD OTC Securities Exchange, Nigeria Commodity Exchange and the NSE.
It said the launch would be attended by the Chairman, House of Representatives Committee on Capital Markets and Institutions, Mr Yusuf Tajudeen; the Acting Director-General, Securities and Exchanges Commission, Mrs Mary Uduk; the Director-General, Debt Management Office, Mrs Patience Oniha; the Chairman, Heirs Holding, Mr Tony Elumelu and the President, National Council, NSE, Mr Abimbola Ogunbanjo.
Speaking on the development, the Chairman, ASEN Board of Trustees and Chief Executive Officer, NSE, Mr Oscar Onyema, said, “We are excited to launch ASEN, an association that will help build a stronger capital market and cultivate a culture of mutual support and collaboration among stakeholders.
“Global securities exchanges are responding to developments in the operating environment and competitive landscape, by establishing mechanisms for cooperation that position not only their businesses but their markets to become more attractive to investors.”
Onyema said Nigerian securities exchanges must, therefore, embrace a broader collaborative effort to unlock new opportunities and efficiencies in view of increasing global competition.
“The establishment of this association is a bold step towards the actualisation of that vision of becoming globally competitive trading venues,” he added.
A member, Board of Trustees, ASEN and CEO, NASD Plc, Mr. Bola Ajomale, stated, “This event is the culmination of deliberate cooperation between the various exchanges in the Nigerian capital market. Collaboration between exchanges in this manner will ensure some level of uniformity and consistency in governance while allowing each member to continue along its natural trajectory.
“Ultimately key stakeholders in the Nigerian capital market – regulators, issuers, investors and operators – will be the real beneficiaries. We also believe the existence of such an association will significantly support market structure in Nigeria.”
According to the statement, other members of the Board of Trustees, ASEN include Mr Ayodeji Balogun (representing AFEX), Ms Zaheera Baba-Ari (representing NCX) and Mr. Bola Onadele. Koko (representing FMDQ).