Economy

Always Monitor Your Investments, Partake in AGMs—SEC Tells Shareholders

Published

7 years ago

19/08/2019

By Modupe Gbadeyanka

Investors in the Nigerian capital market have been advised to make it a habit to always monitor their investments and have good knowledge about the company they invest in.

Acting Director-General of Securities and Exchange Commission (SEC), Ms Mary Uduk, who gave this advice at a meeting with the Association of Corporate Trustees in Abuja, however, said efforts would be made by her agency to protect the interests of shareholders.

“We are doing a lot to boost investors’ confidence in our market. But I want to say that both local and foreign investors are very good for the market. For instance, the foreign investors, because they trade their shares all of the time it leads to price discovery as against the local investors that just takes a long term view on their investments,” she said.

“Investors’ fears can be of two folds, firstly they could be afraid because they feel that capital market operators will mismanage their investments, secondly is looking at the volatility of the market that makes investors sceptical.

“For the first scenario, we have a number of initiatives that we have put in place to boost investors’ confidence. We have the E-Dividend mandate system, the Direct Cash Settlement as well as multiple subscriptions in place.

“For the second category, investors have to take ownership of their investments. They have to be able to monitor their investments, attend Annual General Meetings as well as read the annual reports sent out to them,” Ms Uduk, who was represented at the meeting by the Acting Executive Commissioner, Operations of SEC, Mr Isyaku Tilde, said.

She said further that investors are also protected through the National Investors Protection Fund (NIPF), Risk Based supervision that enables the SEC to supervise the operators to ensure that they do not do what they are not supposed to do.

She further said SEC was taking steps to reduce transaction costs in the Nigerian capital market so as to shield investors from high charges.

According to her, this was why the agency reduced the capital market charges to ensure that investors do not bear unnecessary costs.

Ms Uduk noted that it was the responsibility of the SEC to ensure that investors are not short-changed in any transactions in the market and therefore urged them to participate in the market to grow it.

The SEC chief also advised investors averse to risk to consult their financial advisers on where to invest, saying, “We also advise retail investors to invest in Collective Investment Schemes and Mutual Funds because those are managed independently by professionals and they are diversified thereby reducing risks.

“We are committed to protecting investors in the work we do. We will keep working on our rules and the possibility of amending them when the need arises, we want more transparency in the market so that investors will feel comfortable and the market can be better.”

In her remarks, President of the Association of Corporate Trustees, Mrs Tokunboh Ajayi, said members of the association are committed to attracting investors to the market without encumbering them with costs and commended the SEC on its efforts in transaction costs reduction.

“This market is dynamic and that is why as a group we keep on evolving and devising ways to make the market better. We will continue to render our best and ensure our members operate within the confines of the rules and regulations in the market” she stated.

Economy

Naira Loses Against Dollar Official, Black Markets

Published

2 hours ago

09/06/2026

Adedapo Adesanya

By Adedapo Adesanya

The Naira opened the new trading week on a negative note on Monday at the Nigerian Autonomous Foreign Exchange Market (NAFEX) and the black market.

At the parallel market, the Nigerian currency weakened against the US Dollar by N5 to sell for N1,380/$1 compared with the preceding session’s rate of N1,375/$1, and at the GTBank FX desk, it shed N1 to trade at N1,373/$1 versus N1,372/$1.

At the official market, it lost 63 Kobo or 0.05 per cent against the Dollar during the session to close at N1,362.84/$1, in contrast to last Friday’s value of N1,362.21/$1.

However, the Nigerian Naira gained N2.30 against the Pound Sterling at the spot market yesterday, quoting at N1,821.29/£1 compared with the previous rate of N1,823.59/£1, and improved against the Euro by 23 Kobo to settle at N1,574.35/€1 versus N1,574.58/€1.

Data from the Central Bank of Nigeria (CBN) showed that interbank forex turnover increased to $92.248 million across 90 deals, from $73.565 million last Friday.

On the policy front, participants believed that the application of the fourth edition of the Foreign Exchange Manual of the central bank, which introduces updated guidelines for foreign exchange transactions and tightening compliance requirements for authorised dealers and market participants, will enhance market flexibility and ease previous restrictions.

Meanwhile, the cryptocurrency market snapped from recent declines, jolted by Strategy’s purchase of 1,550 Bitcoin for approximately $101 million, increasing its total holdings to 845,256 BTC. The company raised $181 million through common stock sales, using the proceeds to fund the bitcoin purchase and increase its cash reserves to $1 billion, pushing the price of the coin higher by 3.2 per cent to $63,731.69.

Cardano (ADA) appreciated by 8.4 per cent to $0.1738, Ethereum (ETH) rose by 5.2 per cent to $1,711.54, Solana (SOL) expanded by 5.1 per cent to $67.82, and Ripple (XRP) improved by 4.9 per cent to $1.18.

Further, Dogecoin (DOGE) jumped by 4.3 per cent to $0.0873, Binance Coin (BNB) soared by 2.7 per cent to $609.50, and TRON (TRX) increased by 0.7 per cent to $0.3274, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) remained unchanged at $0.9997 and $0.9998, respectively.

Economy

Economist Tasks FG to Explore Alternative Funding Sources

Published

2 hours ago

09/06/2026

Aduragbemi Omiyale

By Aduragbemi Omiyale

The federal government has been advised to consider exploring other funding sources to finance its budget deficits.

Speaking with Punch recently, the chief executive of CSA Advisory, Mr Aliyu Ilias, said the current appetite for borrowing by the government cannot be sustained because it elevates debt-servicing costs.

The economist suggested the sale of some public assets and the involvement of the private sector in infrastructure financing for economic growth.

According to him, running to the debt markets to raise funds for the government is not the best route to take, as the reliance on borrowing always leads to higher debt-servicing obligations.

“The more you borrow, the more you are also incurring more debt services,” he said, tasking the government to also capitalise on increased oil revenues stemming from ongoing geopolitical tensions in the Middle East.

“The government can actually sell off some of their assets to raise more money. The government can also, if you look at the revenue we are getting from oil, it’s getting more, especially with this war. It’s another opportunity for us to actually not borrow again,” Mr Ilias submitted.

He also pointed to ongoing tax reforms as another avenue to improve government finances and narrow the fiscal gap.

“The government can also look at tax reform. The fact is that the government does not have money. The only chance for getting more money is to address the financial deficit,” he added.

Economy

Crude Oil Gains Over $1 Despite Easing Iran-Israel Tensions

Published

2 hours ago

09/06/2026

Adedapo Adesanya

By Adedapo Adesanya

Crude oil was up by $1 on Monday as Iran and Israel said they had halted attacks on each other following an ‌appeal from US President Donald Trump.

Brent crude futures gained $1.16 or 1.3 per cent to trade at $94.25 a barrel, while the US West Texas Intermediate (WTI) crude futures were up 76 cents or 0.8 per cent to $91.30 per barrel.

Iran’s military said Monday it halted attacks on Israel after the two countries exchanged their most intense strikes in months, further straining an already shaky ceasefire as well as the US-Israeli relationship. Iran, however, said it would resume strikes if Israel continued to hit Hezbollah in Lebanon.

Israel also halted attacks on Iran, Israeli Prime Minister Benjamin Netanyahu said, stopping short of acknowledging a ceasefire that US President Donald Trump said the countries were aiming for.

President Trump said earlier that the US blockade, which was introduced in April, would remain in place “in full force” until a final peace agreement between the two warring nations is reached.

Prices gained more than 5 per cent earlier on Monday after renewed Israeli strikes on Iran and attacks on Lebanon had reduced hopes of an imminent end to the wider war.

Market analysts noted that because of the strikes, investors were concerned that flows through the Strait of Hormuz might remain restricted for longer. Roughly a fifth of the world’s daily supply of oil and liquefied natural gas passed through the waterway before US-Israeli airstrikes at the end of February ‌unleashed the ⁠latest escalation of the Middle Eastern conflict.

Yemen’s Iran-aligned Houthis said on Monday they would ban ships linked to Israel from the Red Sea after Israel renewed its military attacks on Iran, adding to concerns about global shipping and energy flows.

In the face of the supply crisis, a sub-group under the Organisation of the Petroleum Exporting Countries and its allies (OPEC+) on ⁠Sunday agreed on its fourth oil output target increase in four months. The seven members decided to increase targets by 188,000 barrels per day from July, the same as the June hike, which was adjusted down from monthly increases of 206,000 barrels per day in May and April to take into account the exit of the United Arab Emirates (UAE).

On paper, the sub-group has increased its output quotas from April ⁠to June by almost 600,000 barrels per day, but in reality, the group’s production has collapsed due to export cuts by Gulf members, averaging 33.19 million barrels per day in April compared with 42.77 million barrels per day in February.

Saudi Arabia has cut its official selling prices for crude oil to Asia in July for a second month.