APT Securities & Funds Limited and nine other stockbroker firms traded 57.01 per cent or N829.96 billion worth of value of transactions on the trading floor of the Nigerian Exchange Limited (NGX) in the first half of 2023.
THISDAY gathered that most firms’ transactions were inflow from Foreign Portfolio Investors (FPIs), domestic/institutional investors, Pension Funds Administrations and stock exposure in mutual funds as the stock market continued to rally in the first half of 2023 amid decisive government policies.
Their major clients are foreign portfolio investors, while a few of them have significant stock exposure through collective Investment Schemes (CIS) at which they access a high volume of trading every day.
Before now, analysts have noted that these firms have some of the most diversified portfolios of clients which other firms are envious of.
The activities of these big stockbroking firms have made the stock market tilt towards oligopoly- a market dominated by few buyers and sellers who create room for a sort of imperfect competition, in order to accrue greater revenue and market share.
The Exchange currently has 224 stockbroking firms, including those classified by Securities and Exchange Commission (SEC) as sub-broker.
The NGX stockbrokers’ performance report between January and June of 2023 revealed that top on the list of the 10 top stockbrokers in the review period include: APT Securities & Funds which traded N168.99billion or 11.61 per cent, while Cardinal Stone Securities Limited traded N161.86billion or 11.12 per cent as Stanbic IBTC Stockbrokers Limited traded N129.9 billion or 8.92 per cent worth of equities in first six months of 2023..
United Capital Securities came fourth after trading N85.5billion or 5.87per cent in the period under review.
The fifth place was occupied by EFG Hermes Nigeria Limited after trading N57.93billion or 3.98 per cent while Meristem Stockbrokers Limited traded N56.03 billion or 3.85 per cent, to place itself at sixth position.
According to NGX chart, Cordros securities Limited, traded N48.2billion or 3.31 per cent of transactions in the period under review, coming close was FBN Quest Securities Limited with N44.67 billion or 3.07per cent of transactions.
Others on the list of NGX’s 10 top stockbrokers for first six months under review include: Chapel Hill Denham Securities Ltd with N40.21billion or 2.76per cent and APEL Assets Limited with N36.62billion or 2.52per cent were on the list of bottom firms that contributed to the N billion worth of transactions on NGX.
In terms of volume traded, United Capital Securities Limited and nine others traded 76.345million or 57.64 per cent volume of transactions in the first six months of 2023.
United Capital traded 25.158 million or 18.99 per cent worth of transactions, followed by APEL Assets Limited, which traded 10.086million or 8.07 per cent transactions.
Cardinalstone securities came third in volume of transactions, trading about 9.979 million or 7.53 per cent of the 776.345million transactions in the period under review.
