Indications has emerged that the total market capitalization on the Nigerian Stock Exchange (NSE) was N26.2 trillion in the third quarter of 2019 as against the N22.3 trillion for the same period in 2018, which is an appreciation of 18 per cent.
The Securities and Exchange Commission (SEC) in its latest Nigerian Journal of Securities Market obtained by Daily Champion in Lagos noted that total market capitalization also improved in comparison to the value in the preceding quarter for 2019 by 2.18 per cent.
More specifically, the commission noted that market capitalization for equities rose from N13.22 trillion in second to N13.46 trillion in the third quarter, a growth of 1.85 per cent.
Also, the Exchange Traded Funds (ETF) segment grew by 24.81 per cent while corporate bond, federal government bonds appreciated by 10 per cent and 2.86 per cent respectively. However, sub-national bonds appreciated by 9.70 per cent,within the quarter under review.
The Commission further noted that transactions volume and value of securities on the NSE experienced consistent declines during the review quarters. While the All Share Index (ASI) and equities market capitalization opened the quarter at 29,614.61 basis point and N13.05 trillion, while it closed at 27,630.56 basis point and N13.45 trillion respectively. Compared to the figures at the end of the second quarter.
However, the ASI and market capitalization fell slightly by 0.23 per cent and 0.42 per cent respectively.
Interestingly, the commission noted that a total of 13.87 billion shares valued at N177.02 billion were sold in the third quarter with a depression of 46 per cent in value when compared with records of second quarter when 25.52 billion shares, amounting to N329.61 billion were traded.
According to the commission, federal government bond’s traded statistics in the secondary market were not buoyant under the review quarter, adding that the traded value fell from the height of N998.51 million in the second quarter to the N287.24 million in the third quarter, while the volume sold increased from 981.60 thousand units to 1,597.39 thousand units in the same period.
Also, transaction volume and value of ETF fluctuated throughout the quarter under review.
Specifically, 213 million units of ETF valued at N57.37 million exchanged ownership in the second quarter while it closed third quarter with the sale of 174.94 thousand units at N13.76 million.
Comparison of ETF traded statistics in the second quarter and third quarter of 2019 showed that traded volume and value fell significantly by 91.79 per cent respectively.\
For a better society