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NSE boss advises investors on market opportunities

By BusinessNews Staff on December 2, 2014

The Chief Executive Officer of the Nigerian Stock Exchange (NSE), Mr. Oscar Onyema, has advised investors to exploit the opportunities in the stock market and invest more.
Onyema made the call while speaking at the 2014 FCSL Asset Management Limited investors’ forum held in Lagos, Onyema said investment in the Nigerian capital market will boost the fortunes of individual investors and the country’s economy.

“This is the best time to invest in the Nigerian capital market. We have restored confidence in the system through introduction of corporate governance, which allows companies to do business in a transparent and sustainable manner. Investment in the capital market is long term and it is one which requires attention and the support of parties concerned, to grow,” Onyema said.
He said instead of seeing the slide in the market a negative development, investors should the low valuation of stocks as an opportunity to enter the market.

According to him, investors should seek the advice of professionals to better enjoy the benefits of investing in the market.
“Investors should know that the capital market is a cyclical market with up and down movements. The market is full of risks. I encourage investor to seek professional advice from investment specialists and stockbrokers that will be able to manage their investment in the market. Also, investors can personally manage and monitor their investment portfolios in a manner that will reduce risk and improve returns. Investors have to adopt appropriate techniques in making investment decisions, because the capital market is not for gamblers, it is not a game of chance but a game that requires informed decision.”

Also speaking, notable lawyer and Chairman of Sterling Bank Plc, , Mr. Asue Ighodalo, listed challenges facing the capital market to include technological limitation, lengthy/cumbersome deal execution/implementation, prohibitive pricing (both transaction costs and cost of funds), low financial literacy levels and doubtful transparency among others.

He noted that the Federal Inland Revenue Services (FIRS) must not consider every tax-exemption proposal as “reducing its take.”
Ighodalo who commended the development of Alternative Securities Market (ASeM), also called for considerable improvement in financial literacy, modification of current strict rules-based compliance approach, enhancement & deployment of technology at all levels including the Securities and Exchange Commission, Nigerian Stock Exchange and operators.
Meanwhile, Managing Director of FCSL Asset Management Limited, Mr. Lekan Belo, said the forum was the commitment of the company towards stimulating interest in the capital market, and also help to create increased investment and financial awareness in the economy.

[ThisDay]

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