Economy
Four Best-Performing Equity Mutual Funds of Q1 2018
By Quantitative Financial Analytics Ltd
Nigeria’s equity market witnessed some calmness and subdued volatility in the first quarter of the year.
Quantitative Financial Analytics Realized Volatility index (NSErealVol) stood at 12.98, as at March 29, 2018 down from 15.68 recorded by the end of the previous year.
In addition, inflation in Nigeria moderated while the Dollar exchange rate stabilized around the N360 range within the quarter even as yields continued to fall along all maturities. All those had some positive effect on equity market which got translated into the equity mutual funds.
How Did Energy Sector Perform in Q1?
During the Q1 of 2018, the Nigeria All Share Index (ASI) increased by 3,261.32 points representing a positive performance of 8.53 percent. The market grew by 15 percent in Jan, 2018, losing marginally by 2 percent and 4 percent in February and March to end the quarter with a positive return.
In spite of the market performance within the quarter, we have identified four mutual funds that did much better in the quarter. Here they are:
Meristem Equity Mutual Fund
Meristem Equity Market fund seeks capital appreciation for the long run by investing in a basket of high quality equity securities in Nigeria. The fund gained about N95 million or 46 percent in 2017 and has gained about 52.7 million or 17 percent in Q1, 2018, according to our analysts. In Q1, 2018, it attracted an estimated 8.5 million of inflows to leave its net asset value at N364 million by the end of the first quarter.
Stanbic IBTC Aggressive Fund
Stanbic IBTC Aggressive fund seeks to provide liquidity whilst maintaining low to medium volatility of return over the long-run. The fund invests a minimum of 60 percent of its assets in the equity market and the other 40 percent in fixed income market according to its fact sheet. Stanbic IBTC Aggressive fund gained about N95 million or 48 percent in 2017 and has gained about N43.6 million or 12.58 percent in Q1, 2018, according to our analysts.
In 2017, it suffered a net outflow of about N10 million but in Q1, 2018, it attracted an estimated N169 million of inflows to leave its net asset value at N502 million by the end of the first quarter
Frontier Fund
The Frontier Fund has the primary objective of achieving long-term capital appreciation to unit holders by investing in carefully selected money and capital market instruments.
The Fund gained about N42 million or 22 percent in 2017 and has gained about N27 million or 10.55 percent in Q1, 2018, according to our analysts.
In 2017, it suffered a net outflow of about N3 million but has attracted net inflow of N5 million in Q1, 2018 to leave its net asset value at N286 million by the end of the first quarter
UBA Equity Fund
The United Capital Equity Fund Invests in quoted equities that are traded on the Floor of the Nigerian Stock Exchange (NSE). Its objective is to achieve high returns over a medium to long-term period by investing in select portfolio of equity securities according to its fact sheet.
The Fund which is suitable for investors with a long-term outlook gained about N420 million or 45.8 percent in 2017 and has gained about N145 million or 10.45 percent in Q1, 2018, according to our analysts.
In 2017, it suffered a net outflow of about N122 million and has also suffered about N15 million net outflow in Q1, 2018 to leave its net asset value at N1.5 billion by the end of the first quarter.
Though these funds have been stellar in their performance, it is worthy of note to state that past performance is not a guarantee of future performance.
By Adedapo Adesanya
The duo of Afriland Properties Plc and Geo-Fluids Plc crashed the NASD Over-the-Counter (OTC) Securities Exchange by a marginal 0.06 per cent on Wednesday, December 11 due to profit-taking activities.
The OTC securities exchange experienced a downfall at midweek despite UBN Property Plc posting a price appreciation of 17 Kobo to close at N1.96 per share, in contrast to Tuesday’s closing price of N1.79.
Business Post reports that Afriland Properties Plc slid by N1.14 to finish at N15.80 per unit versus the preceding day’s N16.94 per unit, and Geo-Fluids Plc declined by 1 Kobo to trade at N3.92 per share compared with the N3.93 it ended a day earlier.
At the close of transactions, the market capitalisation of the bourse, which measures the total value of securities on the platform, shrank by N650 million to finish at N1.055 trillion compared with the previous day’s N1.056 trillion and the NASD Unlisted Security Index (NSI) went down by 1.86 points to wrap the session at 3,012.50 points compared with 3,014.36 points recorded in the previous session.
The alternative stock market was busy yesterday as the volume of securities traded by investors soared by 146.9 per cent to 5.9 million units from 2.4 million units, as the value of shares transacted by the market participants jumped by 360.9 per cent to N22.5 million from N4.9 million, and the number of deals increased by 50 per cent to 21 deals from 14 deals.
When the bourse closed for the day, Geo-Fluids Plc remained the most active stock by volume (year-to-date) with 1.7 billion units valued at N3.9 billion, followed by Okitipupa Plc with 752.2 million units worth N7.8 billion, and Afriland Properties Plc 297.5 million units sold for N5.3 million.
Also, Aradel Holdings Plc, which is now listed on the Nigerian Exchange (NGX) Limited after its exit from NASD, remained the most active stock by value (year-to-date) with 108.7 million units sold for N89.2 billion, trailed by Okitipupa Plc with 752.2 million units valued at N7.8 billion, and Afriland Properties Plc with 297.5 million units worth N5.3 billion.
By Adedapo Adesanya
The euphoria around the recent appreciation of the Naira eased on Wednesday, December 11 after its value shrank against the US Dollar at the Nigerian Autonomous Foreign Exchange Market (NAFEM) by N5.23 or 0.3 per cent to N1,547.50/$1 from the N1,542.27/$1 it was valued on Tuesday.
It was observed that spectators’ activities may have triggered the weakening of the local currency in the official market at midweek as they tried to fight back and ensure the value of funds in foreign currencies strengthened.
The domestic currency was regaining its footing after the Central Bank of Nigeria (CBN) launched an Electronic Foreign Exchange Matching System (EFEMS) platform to tackle speculation and improve transparency in Nigeria’s FX market.
At midweek, the Nigerian currency depreciated against the Pound Sterling by N3.56 to close at N1,958.68/£1 compared with the preceding day’s N1,955.12/£1 and against the Euro, it slumped by 34 Kobo to trade at N1,612.66/€1, in contrast to the previous session’s N1,613.00/€1.
As for the black market segment, the Naira lost N45 against the American currency during the session to quote at N1,670/$1 compared with the N1,625/$1 it was traded a day earlier.
A look at the cryptocurrency market showed a recovery following profit-taking as the US Consumer Price Index report matched economist forecasts.
The news was enough to convince traders that the Federal Reserve is certain to trim its benchmark fed funds rate another 25 basis points at its meeting next week.
The move also saw Bitcoin (BTC), the most valued coin, return to the $100,000 mark as it added a 2.9 per cent gain and sold for $100,566.12.
The biggest gainer was Cardano (ADA), which jumped by 15.00 per cent to trade at $1.16, as Litecoin (LTC) appreciated by 10.4 per cent to sell for $121.76, and Ethereum (ETH) surged by 7.0 per cent to $3,929.30, while Dogecoin (DOGE) recorded a 6.7 per cent growth to finish at $0.4181.
Further, Binance Coin (BNB) went up by 5.2 per cent to $716.72, Solana (SOL) expanded by 4.6 per cent to $229.77, and Ripple (XRP) increased by 4.2 per cent to $2.43, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) closed flat at $1.00 apiece.
By Aduragbemi Omiyale
The Dangote Refinery located in the Lekki area of Lagos State has made its first export of premium motor spirit (PMS) just three months after it commenced the production of petrol.
In September 2024, the refinery produced its first petrol and began loading to the Nigerian National Petroleum Company (NNPC) on September 15.
However, due to some issues, the facility has not been able to flood the local market with its product, forcing it to look elsewhere.
In a landmark move for regional energy integration, Dangote Refinery has partnered with Neptune Oil to take its petrol to neighbouring Cameroon.
Neptune Oil is a leading energy company in Cameroon which provides reliable and sustainable energy solutions.
Dangote Refinery said this development showcases its ability to meet domestic needs and position itself as a key player in the regional energy market, adding that it represents a significant step forward in accessing high-quality and locally sourced petroleum products for Cameroon.
“This first export of PMS to Cameroon is a tangible demonstration of our vision for a united and energy-independent Africa.
“With this development, we are laying the foundation for a future where African resources are refined and exchanged within the continent for the benefit of our people,” the owner of Dangote Refinery, Mr Aliko Dangote, said.
His counterpart at Neptune Oil, Mr Antoine Ndzengue, said, “This partnership with Dangote Refinery marks a turning point for Cameroon.
“By becoming the first importer of petroleum products from this world-class refinery, we are bolstering our country’s energy security and supporting local economic development.
“This initial supply, executed without international intermediaries, reflects our commitment to serving our markets independently and efficiently.”
-
Feature/OPED5 years agoDavos was Different this year
-
Travel/Tourism8 years ago
Lagos Seals Western Lodge Hotel In Ikorodu
-
Showbiz2 years agoEstranged Lover Releases Videos of Empress Njamah Bathing
-
Banking6 years agoSort Codes of GTBank Branches in Nigeria
-
Economy2 years agoSubsidy Removal: CNG at N130 Per Litre Cheaper Than Petrol—IPMAN
-
Banking2 years agoFirst Bank Announces Planned Downtime
-
Sports2 years agoHighest Paid Nigerian Footballer – How Much Do Nigerian Footballers Earn
-
Technology4 years agoHow To Link Your MTN, Airtel, Glo, 9mobile Lines to NIN