Ten stockbroking firms in the Nigerian stock market traded N848.424 billion worth of shares from July to September 2024.
Data obtained from the Nigerian Exchange (NGX) on Broker Performance Report for third quarter (Q3) showed this translates to 57.63 per cent of the cumulative trade executed on the exchange in third quarter (Q3). In volume terms, the top ten brokerage firms conducted transactions totalling 37.291 billion shares between them, accounting for 46.92 per cent of the entire trade executed on the exchange in that period.
Specifically, Stanbic IBTC Stockbrokers led in value terms trading N264.899 billion, which is 17.99 per cent. United Capital Securities followed with N145.680 billion or 9.90 per cent, while Cardinalstone Securities recorded N140.877 billion or 9.57 per cent.
Investment One Stockbrokers and Cordros Securities facilitated N54.842 billion (3.73 per cent) and N46.929 billion (3.19 per cent) respectively. FBN Quest Securities traded N46.006 billion, while Meristem Stockbrokers accounted for N40.999 billion or 2.78 per cent. Others are; CSL Stockbrokers, APT Securities & Funds and Chapel Hill Denham Securities traded shares worth N40.681 billion, N33.820 billion and N33.690 billion, respectively.
In an effort to stimulate demand and engender competition in the stock broking community, the management of the Nigerian Exchange had in September 2011 introduced ranking of brokers by transaction value and volume.
The stock market recorded a decline of 1.5 per cent in Q3. Meanwhile, year-to-date growth of equities as at September 30, 2024 increased by 31.81 per cent.
The main stock index, which opened the quarter at 100,057.49 basis points, had dropped to 98,558.79 at the end of September. However, for the year-to-date, All-Share Index rose by 31.81 per cent from 74,773.77 points on December 29, 2023 to 98,558.79 points on September 30, 2024.
Speaking on the stock market performance in the first nine months of 2024, the vice president, Highcap Securities Limited, Mr. David Adnori, argued that investors were trading based on sentiment.
Adnori, however, was optimistic that the stock may maintain its positive momentum on the backdrop of banking sector recapitalisation and positive quarterly results to be released by banks to further strengthen the performance of the bourse.
On market outlook, the chief operating officer of InvestData Consulting Limited said “we expect mixed sentiment to continue on bargain hunting and profit taking ahead of the Q3 earnings session. Also, sector rotation continues in the market, with investors taking advantage of pullbacks to buy into value.
“This is amid the volatility and pullbacks that add more strength to upside potential.
Consequently, investors should take advantage of price correction. Also looking at the trends and events across the globe and domestically.”
