By Dipo Olowookere
Companies listed on the Nigerian Stock Exchange (NSE) have been asked to make information about them readily available to the investing public.
This appeal was made by the Association of Stockbroking Houses of Nigeria (ASHON) during a visit recently to the corporate headquarters of FBN Holdings Plc in Lagos.
According to the leader of the association, Mr Patrick Ezeagu, the stock market is information driven, which has an influence on the value of a stock. The stockbroker also said the release of information to investors would go a long way to strengthen the market.
“It is important that we have regular information concerning what is happening within the companies that are quoted on the exchange so that the brokers will appropriately appreciate the efforts of the people who are running those companies, and know exactly what they are planning to do.
“This will help stockbrokers to advise their clients effectively. The engagement will be a continuous one because that is the only way that we can be sure that they are operating in a very transparent manner and that we too are abreast with what is happening within the company’s space.
“This is because the market is actually driven by information. Prices are made based on perception of the company in question and the value they actually carry. You cannot know the value except when you get information concerning what they have done, what they are doing at the moment, what they have done and some of the measures that the companies have put in place in order to ensure that they are able to manage their risk,” Mr Ezeagu said.
In his remarks, Group Managing Director of FBN Holdings Plc, Mr Urum Kalu Eke, commended the collaborative efforts of ASHON to move the market forward.
He also hailed ASHON for its series of initiatives, including floating of Lagos Commodity and Futures Exchange (LCFE) as Indices that shall move the capital market to the next level.
