Ten stockbroking firms facilitated the trading of N217.725 billion staked on 16.105 billon shares in the first quarter (Q1) of 2020 according to statistics obtained from the Nigerian Stock Exchange (NSE).
Both in terms of value and volume, Stanbic IBTC Stockbrokers Limited led the top 10 brokers that accounted for the market turnover.
In terms of value, Stanbic IBTC was responsible for N54.533 billion or 17.8 per cent, trailed by Rencap Securities (Nig) Limited with N41.489 billion or 13.5 per cent.
EFCP Limited traded N31.275 billion or 10.2 per cent just as Stockbrokers Limited accounted for N23.337 billion or 7.6 per cent.
FBNQuest Securities Limited recorded N14.217 billion, while Chapel Hill Denham Securities Limited recorded N13.75 billion or 4.5 per cent.
Primera Africa Securities Limited traded N12.265 billion, just Cardinalstone Securities Limited and Meristem Stockbrokers Limited was responsible for 8.862 billion. A.R.M Securities Limited accounted for N8.153 billion.
In terms of volume, Stanbic IBTC Stockbrokers led with 3.089 billion shares, trailed by CSL Stockbrokers Limited accounted fo 2.108 billion. RenCap Securities Limited traded 1.969 billion shares, while Chapel Hill Denham Securities Limited recorded 1.841 billion shares.
Cardinalstones Securities Limited posted 1.375 billion shares, just ad FBNQuest Securities Limited and Meristem Stockbrokers Limited accounted for 1.303 billion shares and 1.243 billion shares respectively.
On the other hand, Morgan Capital Securities Limited traded 1.197 billion shares while EFCP Limited accounted for 1.109 billion shares. Readings Investments Limited recorded 866 million shares.
Similarly, IBTC Stockbrokers Limited has maintained its leadership of the top stockbrokers chart. The firm is a wholly-owned subsidiary of Stanbic IBTC Holdings Plc, and a member of The Standard Bank Group set up to provide world class stockbroking services to local as well as foreign investors in the Nigerian capital market.
In all, the Nigerian equities market attracted N312.395 billion investment committed to 24.799 billion shares in 297,772 deals in Q1 of 2019, indicating increase of 49.8 per cent compared with the N208.452 billion invested in 20.703 billion shares in 240,946 deals in Q1 of 2019.
Market analysts said some discerning investors found the Nigerian equities market very attractive due to low valuations, hence the increased value of investment in Q1 of 2020.
Investment banking firm, Afrinvest (West Africa) had urged investors to take advantage of the bearish situation and increase their investments.
“With a loss of 17.3 per cent YTD, market valuation is currently weak at 6.7x P/E ratio (vs. 8.9x average in January 2020), which is at its lowest since 2015. Given the effectiveness of social distancing measures to fighting the spread of COVID-19 and its wide adoption in countries most vulnerable to the virus, we could see a resumption of economic activities in second half of 2020 which would support crude oil prices and market performance. Thus, we advise a gradual entry approach (buying in tranches) into the Nigerian equities market given the uncertainties both on the global and domestic fronts,” they said.