Low Price Attraction May Boost Positioning In Nigeria’s Dividend Stocks, As Earnings Season Beckons


Market Update for February 13

One fitting word to describe Tuesday’s trading on the Nigerian Stock Exchange (NSE) is: catastrophic. The market took a very deep and unexpected plunge after the seemingly mild bloodbath experienced in the previous seven trading sessions of decline to reflect a peak in panic sell-offs, even at a time the global markets that set off the panic wave are on the rebound route by resisting further correction, while the price of oil, Nigeria’s mainstay, continues to oscillate.

The continued wave-6 decline was worsened on Tuesday as highly capitalized stocks shed weight to record their biggest losses since the correction started on February 5, 2018, just as the continued decline in traded volume over the last three trading sessions after given a sign of recovery attempt last Friday. This hope was dashed on Monday and Tuesday when the bearish charge came strong. The market further broke down the 42,000 mark on low volume.

Tuesday’s free fall notwithstanding, it had from its opening stayed low till close with intraday highs at 42,735.32 from lows of 41,614.10.
The market technicals for the day was weak as the negative breadth widen on a low volume and high selling pressure of 92% and buying position of 8%, volume index was 0.50 with institutional money flow index at 34.47 point to reflect the hesitation among foreign and portfolio players as they wait to see the actual numbers that have been factored in prices, pushing prices to their new 52-week highs.
Meanwhile, the decline in prices is making these stocks attractive for new positioning.

The All-Share Index lost significant ground by shedding 1029.74 points in one day to close at 41,708.15 basis points after opening at 42,737.89, representing a decline of 2.41% on a low traded volume that was lower than the previous day’s. Similarly, market capitalisation had all of N369.54bn (about $1bn) sliced off close at N14.97tr, after opening at N15.34tr which also represented 2.41% value depreciation in position.

The seven-day downturn has been due to heavy losses suffered by Dangote Cement, Nigerian Breweries, Nestle Nigeria, Dangote Flour, Guinness, International Brewery, UBA, FBNH, UACN, PZ, Stanbic IBTC, Double 11, Forte Oil and UBN. These impacted negatively on the NSE’s Year-To-Date returns to further drop to 9.06%, just as market capitalisation gain for the period reduced to N1.36 trillion, representing a 9.98% YTD growth.

The composite index and all other sectorial indexes closed in deep red, while NSE AseM continues to remain flat. Market breadth for the day remained negative as decliners outpaced advancers in the ratio of 40:15, to continue its seven trading sessions of bear run.
Market activities in volume and value terms were down by 9.07% and 28.97% respectively to 470.52 million shares worth N3.68 billion from previous day’s 502.87 million units valued N5.19bn.

Transaction volume for the day was considerably boosted by financial services stocks like Diamond Bank, FCMB, Fidelity Bank, UBA and FBNH which witness increased trading to top the activity chart as most traded.
At the end of the day, AG Leventis and Berger Paints topped the advancers table with 7.02% and 5.00% gain to close at N0.61 and N9.45 respectively, purely on market forces and full year earnings expectations, while Prestige Assurance and Skye Bank led the decliners log, losing 7.14% and 6.54% to close at N0.52 and N1.00 each, on profit booking.

TODAY OUTLOOK

Expect slowdown of panic selling as low price attraction will boost positioning in dividend paying stocks ahead earnings declaration, given insight of upturn is imminent if volume keep reducing on a downtrend movement of the market. The expected January inflation figure today will also revealed the state of pricing in the first month of 2018.
However, we would like to reiterate that investors should go for equities with intrinsic value, especially during this season that dividend payment is approaching.

We advise investors to allow numbers guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08028164085.

Get your home study pack on INVEST 2018 Traders & Investors Summit and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable. You can also still access stocks analysed in the home study pack of the INVEST 2018 traders & investors summit, which includes 15 stocks picks for 2018 are available now to guide your positioning as trading for the year just started.

Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available, you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467, 08028164086 or 08111811223.

Chart Summit! Chart Summit!! Chart Summit!!!

Investdata Consulting Ltd is organizing another workshop where experts would simplify market jargons with the aim of increasing understanding and increasing the pool of retail investors.

Theme: ABC of Technical Analysis for the Novices and Advance Traders
Have you traded the stock market before and failed? It is a known fact that about 90% of those who trade without knowledge and understanding of the dynamics will end up losing 90% of their capital most of the time. You don’t have to be one of them.
Therefore, when you attend this Practical ABC Technical Analysis conference, you would learn how to trade such that you become one of the lucky 10%, who manage to consistently play the market profitable by themselves through our SIMPLE trading strategies and buy & sell signal setup.

Consistency is the key to equity trading and investing successfully.
At investdata we have been teaching investors simple and proven strategies which when implemented makes you a successful trader and investor in any market situation, especially when it comes to equipping you well enough to know how to protect their portfolios and profit from market corrections in a recovering economy.

We have also, over time, focused attention on attuning the mindset of investors and traders to managing risk, while eliminating emotions when trading so as to avoid irrational investment decisions.
Attend the Practical Conference on Technical Analysis for the Novices and Advance Traders. We would be taking participants through:
• Understanding the momentum behind current equity movement and when to exit using SIMPLE Technical Indicators and Tools to avoid losing capital and profit.
• Our team of experts and time-tested resource persons will show you how you too can successfully and confidently trade and invest in stocks profitably on your own from your phone, laptop and/or desktop computer.
• Know what the smart money are doing
• Know what they are buying
• How you should buy what they are buying.

The workshop is scheduled as follows:
DATE: February 24. 2018
TIME: 10am – 3.00pm
VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.

This chart summit is designed specifically for those who:
• Jump out of profit position in fear of giving profits back?
• Indecision in pulling the trigger because you fear the prospects of a loss?
• Holding on to losing positions because you fear taking the loss?
• Trading often leads into unplanned trades because you fear leaving money on the table?
• Small trade size or investing small amount because you’ve just had a large loss?
• Increasing you position size to try and make up for past losses?
This practical workshop is for novice traders, investors, professionals and fund managers who want to overcome fear and improve their trading performance. The workshop is basically on technical analysis and practical charting teaching on evidence-based techniques that is working in today market. Also the power of focused trading and investing strategies that will help participants build mental skills to turn fear into profits and protect capital.

Registration is ongoing
There will be sales of stock trading and investing materials at the end of the conference, Fundamental and Technical Analysis materials, including home study packs you can play and viewed on your phone, laptop and television set. All at 20% discount for attending. You need to prepare yourself and profit from the market and the recovery economy to truly achieve your financial independence and freedom in 2018. Also come with your laptop.

For more enquiries about the programme, please call 08032055467, 08179547605, and 08111811223.

Ambrose Omordion
CRO|Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
http://investdata.com.ng/2018/02/low-price-attraction-may-boost-positioning-nigerias-dividend-stocks-earnings-season-beckons/

Be Entrepreneurs, Not Job Seekers, Emefiele Tasks Varsity Graduates


(Photo Caption) University of Nigeria Nsukka (UNN) 2017 convocation lecturer and Central Bank of Nigeria (CBN) Governor, Godwin Emefiele, in warm handshake with Prof. Chukwuma Soludo former CBN Governor, Chairman of the 2017 convocation lecture on Thursday, November 30, 2017. Emefiele and Soludo were 1984 graduates of UNN.

The Governor, Central Bank of Nigeria (CBN), Godwin Emefiele, on Thursday, November 30, 2017, enjoined graduates of the nation’s universities to change their mindsets by work towards becoming entrepreneurs and employers of labour than job seekers
Emefiele, who spoke while delivering the 47th Convocation Lecture of the University of Nigeria, Nsukka, Enugu State, insisted that in spite of its many challenges, Nigeria remains a land of limitless opportunities.

Graduates, he said, can explore and take advantage of these challenges to become job creators in the economy at a time of rising unemployment.
To enable the youths become job creators, the CBN Governor, who spoke on: “A mindset for Succeeding in Today’s Nigeria,” however warned that failure to galvanise the youths could boomerang against the Nigerian society.
Emefiele, who is also an alumnus of the University, said the CBN, as part of its effort to address the challenge of unemployment on the one hand and the promotion of entrepreneurship among the youths, had designed and formulated policies and programmes aimed at direct real sector intervention.

He therefore encouraged Nigerian youth with not more than five years post-service experience to take advantage of the CBN’s Youth Entrepreneurship Development Programme (YEDP), run in collaboration with banks and the National Youth Service Corps (NYSC).
Citing examples of successful entrepreneurs and businesses in Nigeria and abroad, Emefiele further challenged the graduating students to take identify opportunities in their respective environments, motivate themselves, create innovative ideas that would turn their ideas into profitable ventures.

Speaking on current economic developments and policies of the CBN, Emefiele recalled that several global shocks that affected the Nigerian economy were amplified due to the country’s over-reliance on the oil sector for its foreign exchange revenue and for government finances.
The apex bank, he recalled, embarked on some proactive policy measures such as policy tightening, restriction of forex for imports of 41 non-essential commodities, exchange rate management and development financing in key sectors in order to keep the economy sound.
Citing indicators such as the decline in inflation, improvement in forex supply, accretion to the foreign reserves and improvements in the World Bank’s “doing business indicators,” as well as the significant boost in local production, Emefiele said the Nigerian economy had turned the corner and the worst days were behind.

Earlier, in is his welcome address, Vice Chancellor of UNN, Prof. Benjamin Chukwuma Ozumba said the convocation lecture was one of the prestigious public lectures hosted by the institutions, following which the convocation lecture was usually reserved for men and women whose achievements will motivate and inspire graduating students and the entire university community to greater achievements.
He listed some of the projects being embarked on by the university, for which solicited funding support to accomplish them, assuring that the initiatives would not only increase entrepreneurship and innovation, but help curb youth restiveness in the country.

One of the highpoints of the convocation lecture, which was graced by Governor Ifeanyi Ugwuanyi, of Enugu State, was the presentation of plaques and the Lion laptops manufactured by the University to Emefiele as well as a former Governor of the CBN, Prof. Chukwuma Soludo, who was Chairman of the event.

http://investdata.com.ng/2017/12/entrepreneurs-not-job-seekers-emefiele-tasks-varsity-graduates/

January Inflation In Nigeria Drops To 15.13%, Kebbi Records Peaks At 18.55%

The National Bureau of Statistics (NBS), on Wednesday released the Consumer Price Index (CPI) for the month of January, showing that inflation growth, though still in the double digit range recorded the 12th consecutive slow down to 15.13%, 0.24% better than the 15.37% in December 2017.

The CPI helps to measure the average change over time in prices of goods and services consumed by people on a daily basis. It is used to gauge inflation rate in a country or location.

Month-on-Month, January inflation stood at 0.21%, down from 0.59% in December; with the highest increase recorded in the prices of bread and cereals, vegetables, meat, potatoes, yams and other tubers; just as coffee, tea and cocoa; milk, cheese and egg; oil ad fat; as well as fish.
Unlike in the month of December, food inflation however rose by 18.92%m as against 19.42%; even as it jumped to 0.87% MoM from 0.57% in December, a situation that was blamed on the continued pressure on food prices, although at a slower pace YoY.

“The average annual rate of change of the food sub-index for the 12-month period ending January 2018 over the previous 12-month average was 19.62%, 0.07% points from the average annual rate of change recorded in December 2017 (19.55%),” it said.
The rise in food index was blamed on increases in prices of imported food in general as well as bread and cereals, milk, cheese and eggs, among others, which may not be unrelated to the fluctuation in the exchange of the Naira to global currencies like the US$, British Pounds and the Euro essentially, a situation that has been mitigated by the Central Bank of Nigeria (CBN) intervention in the inter-bank segment of the nation’s foreign exchange market.

Core inflation stagnated at 12.1% Year-on-Year, but climbed to 0.68% MoM from 0.51% in the preceding month; propelled by the rice in the cost of fuel and lubricants for personal transport equipment; vehicle spare parts; accommodation services, maintenance and repair of personal transport equipment; as well as appliances aticules and products for personal care, hotels and restaurants.

Others were hairdressing salons and personal grooming establishments, clothing materials and other articles of clothing; garments; and non-durable household goods.
Also, urban inflation YoY dropped to 15.56% from 16.78% in December; while on a month-on-month basis, it climbed from December’s 0.66% to 0.83%.

Inflation rate in Nigeria’s rural dwellings averaged 14.76%, from 0.66% in December; while MoM, it climbed to 0.77% from 0.54%
The NBS believes the situation could have been better, but for the indirect effects of the lingering fuel scarcity across the country.
On a state-by-state basis, inflation in the country was at its peak in Kebbi, in the northwest flank, where it stood at 18.55%; followed by Nasarawa in the north-central at 18.49%; while Bauchi in the north-east recorded 18.01%.
The lowest inflation rate nationwide was recorded in Delta, south-south Nigeria, at 12.77%; Kogi, also in the north-central recorded 13.28%; followed by Anambra, south-east with 13.34%.

The situation was however different MoM, as Kogi recorded the fastest growth of 2.72%; ahead of Beyelsa in the south-south at 2.39%; and Sokoto in the north-west with 1.68%; while the lost came from Cross Rivers (south-south), 0.02%; Bauchi, 0.05%; and Kebbi, 0.15%.
For food inflation YoY, Kwara recorded the highest growth rate of 24.46%; Nasarawa followed with 22.77% and 22.6% for Bayelsa, while Bauchi in the north-east recorded the slowest growth of 13.34%; followed by Anambra and Benue with 14.63% ad 14.78% respectively.
MoM, Bayelsa recorded the highest growth rate in food inflation at 3.47%; ahead of the 3.38% by Kogi; and Nasarawa’s 2.26%; with the lowest coming from Yobe also in the north-east at 0.2%; Kebbi, 0.26% and Cross River, 0.54%.

http://investdata.com.ng/2018/02/january-inflation-nigeria-drops-15-13-kebbi-records-peaks-18-55/#more

Presidency Denies Fraud In Social Investment Programmes


Press Release:

The attention of the National Social Investment Office (NSIO) has been drawn to misleading media reports alluding that “massive fraud has hampered the National Social Investment Programmes” of the Federal Government of Nigeria. The National Social Investment Office (NSIO) under the Office of the Vice President wishes to restate that the intervention programmes are recording significant successes across the States were we have deployed.

It has become expedient to state that the reports remain a regrettable exaggeration of the attempt by the Special Advisor to the President on Social Investments, Mrs. Maryam Uwais, to update the media about the progress of the programmes, while reassuring the press that some of the challenges being recorded in a few States are being tackled effectively and transparently.

It is pertinent to state that following the presentation made to the National Economic Council (NEC) on Thursday, 15, February 2018, the Special Advisor addressed State House Correspondents on the significant progress being made with the social investment initiatives of the Federal Government of Nigeria. In response to a specific question by a member of the State House Press Corps as to whether the instances of sharp practices being perpetrated at the State levels have impacted the quantum of funds available to the NSIO, the Special Adviser clarified that the amount involved in the identified sharp practices were insignificant to affect the desired social impact. She went on to also state that the NSIO is working with security agencies to curb the breaches, as evidenced in a few minimal instances.

It is rather curious therefore that several media reports towed the single lane of giving a negative slant to the bold efforts and successes of the National Social Investment Office by the sensational reporting.

We are pleased to reiterate the fact that, despite some limited process breaches recorded in some rural communities, the Social Investment Programmes are recording profound successes and having the desired impact on lives, as envisaged by Government, as designed and in implementation.

The special interventions by the Federal Government continue to support the populace by addressing financial inclusion and supporting poor and vulnerable households around the country. We are indeed delighted that a total of 7,812,201 lives have been directly impacted by our programmes. This means that over seven million homes can testify to our efforts. Another set of 1,500,000 secondary beneficiaries comprising mainly farmers and cooks can also validate our claims to be true. We are encouraged by the unspeakable joy we see on the faces of the 297,973 poor and vulnerable beneficiaries of our National Cash Transfer Programme (NCTP) that is currently being implemented in the 217 local governments spread across the 20 States of the Federation

We appeal to our media partners to be much more circumspect in their reportage. It is evident that the programmes have not been “hampered or marred” with the level of successes recorded around the country, witnessed by the numerous testimonials of beneficiaries on social media and elsewhere. Indeed, we encourage our media to engage the beneficiaries directly for a true picture of the impact of our efforts, around the country.

The NSIO will continue to drive the implementation of the SIPs with efficiency, diligence and transparency. And we call on Nigerians to be the true witnesses of the output of our activities.



Signed:

Mrs. Maryam Uwais MFR

Special Adviser to the President on Social Investments

Office of the Vice President

http://investdata.com.ng/2018/02/presidency-denies-fraud-social-investment-programmes/#more

Investdata Price & Earnings Tracking For Week Ended February 16, 2018

http://investdata.com.ng/2018/02/investdata-price-earnings-tracking-week-ended-february-16-2018/#more

Investdata Summit For Equity Investors, Traders Holds Feb. 24, 2018


It is the dawn of another earnings reporting season and indeed, dividend payment season for the bulk of companies listed on the Nigerian Stock Exchange (NSE), which is presently volatile with share prices going into correction mode after a rally that saw most stocks trade at new 52-week highs to create buying opportunity for discerning market players.

As part of efforts to guide investors on where to look for juicy returns this season and beyond, Investdata Consulting Limited will on February 24, 2018, at Ostra Hall and Hotels, Ikeja, Lagos, hold another edition of its regular workshops with the theme: “ABC of Technical Analysis for the Novices and Advance Traders,” where experts will simplify market jargons, thereby enhancing understanding among retail investors and others.

This edition is a follow-up to the previous one on December 9, 2017 where as usual, the following 16 stocks were recommended to participants:

African Prudential Plc
Dangote Flour Mills Plc
Dangote Sugar Refinery Plc
Fidson Healthcare Plc
Fidelity Bank Plc
FBN Holdings Plc
Eterna Plc
Access Bank Plc
Dangote Cement Plc
Flour Mills of Nigeria Plc
Honeywell Flour Mills Plc
Presco Plc
Okomu Oil Palm Plc
Total Nigeria Plc
Unilever Nigeria Plc
Zenith Bank Plc

The table above shows the performance of the stocks year-to-date, including their highs, before the recent profit taking that led to price adjustments, with Dangote Flour recording 42.11% Return on Investment (RoI), closing at N16.20 per share, from an opening price for the year of N11.40 each. Year-to-Date, it peaked at N17.81 each, representing an RoI of 56.22%.

FBNH has returned 36.36% as at Friday, February 16 when it closed at N12.30 per share, from N9.02, after adjusting from its peak of N15.16 or 68.07% RoI; just as Fidelity Bank returned 28.51%, after peaking at N4.33, representing 73.89% for those who exited at that price also. Honeywell Flour Mills returned 30.34% YTD, after hitting a high of N3.69 per share or 67.72% within the period.

It was not all superlative performance, as Flour Mills went 7.14% red; followed by Okomu Oil Palm’s 4%; while Presco remained flat at 1.01% RoI.

The Practical ABC of Technical Analysis conference, you would learn how to trade such that you become one of the lucky 10%, who manage to consistently play the market profitable on their own, guided by our SIMPLE trading strategies and buy & sell signal setup.

At investdata we have been teaching investors simple and proven strategies which when implemented makes you a successful trader and investor in any market situation, especially when it comes to equipping you well enough to know how to protect their portfolios and profit from market corrections in a recovering economy.

We have also, over time, focused attention on attuning the mindset of investors and traders to managing risk, while eliminating emotions when trading so as to avoid irrational investment decisions.

Attend the Practical Conference on Technical Analysis for the Novices and Advance Traders. We would be taking participants through:

• Understanding the momentum behind current equity movement and when to exit using SIMPLE Technical Indicators and Tools to avoid losing capital and profit.

• Our team of experts and time-tested resource persons will show you how you too can successfully and confidently trade and invest in stocks profitably on your own from your phone, laptop and/or desktop computer.

• Know what the smart money are doing

• Know what they are buying

• How you should buy what they are buying.

The workshop is scheduled as follows:

DATE: February 24. 2018

TIME: 10am – 3.00pm

VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.

This chart summit is designed specifically for those who:

• Jump out of profit position in fear.

• Are plagued by indecision when pulling the trigger for fear of a loss.

• Hold on to loss positions for fear of sustaining real loss.

• Often engage in unplanned trades.

• Invest small amounts, still reeling from a huge loss.

• Take bigger bets to make up for past losses.

This practical workshop, which would be followed by another one on March 17, 2018 in Port Harcourt, Rivers State, is for novice traders, investors, professionals and fund managers who want to overcome fear and improve their trading performance. The workshop is basically on technical analysis and practical charting teaching on evidence-based techniques that are working in today’s market. Also the power of focused trading and investing strategies that will help participants build mental skills to overcome their fears and trade profitably, while protecting their capital.

There will be sale of home study packs on stock trading and investing at the end of the conference; as well as those on Fundamental and Technical Analysis , including videos that can be viewed on phones, laptops and television sets at 20% discount for participants. You need to prepare yourself and profit from the market and the recovering economy to truly achieve financial independence and freedom in 2018. Also come with your laptop.

For more enquiries about the programme, please call 08032055467, 08179547605, and 08111811223.
http://investdata.com.ng/2018/02/investdata-summit-equity-investors-traders/#more

Nigerian Equity Investors Upbeat, As Low Money Market Rates Buoy Positioning In Dividend Stocks


Market Update for February 15

Trading on the Nigerian Stock Exchange on Thursday was a consolidation of previous day’s position, amidst continued volatility and recovery mode. This was supported by an increasing demand for relatively low priced stocks as reflected in the volume traded.
From the opening session, the index gapped up till mid-morning and pulled back slightly by the midday before retracing up to hit intraday high of 42,604.40 from lows of 42,171.80 basis points. It backed off with a 3-wave corrective move and held support at the current level, any breakout of 42,735.52 will signal real recovery from the recent seven-day correction.
The market forces-induced pullback is progressively rebounding as economic, market and company fundamentals remain strong ahead of the Q4 earnings reporting season.
Thursday’s market technicals were strong and positive, with buying pressure at 100% and selling position of 0%, volume index was 0.60 with money flow index at 33.13 point.
At the close of trading, the composite All-Share index gained 432.60 points to close at 42,604.40 basis points after opening at 41,171.80bp, representing a growth of 1.03% on a high traded volume that was higher than the previous day’s. Similarly, market capitalisation was up N155.25bn to close at N15.29tr, after opening at N15.13tr, which also represented 1.03% appreciation in investors’ position.
The sustained upturn resulted from value gain in stocks like FBNH, UBA, Dangote Flour, Flour Mills, Access Bank, Lafarge Africa, Stanbic IBTC, Zenith Bank, Dangote Cement, ETI, GTBank and NB.
On Thursday, the board of NB advised investors of its offer of N3.13 per share as dividend to shareholders whose names appear in the register of members on March 6, before it closed between March 7 to 13, 2018. Shareholders are expected to approve the recommended dividend payment slated for April 23, at the Annual General Meeting on April 20 in Lagos. The company has advised, in line with the regulatory directive that the dividend, less withholding tax shall be transferred electronically to bank accounts of beneficiaries to replace the age-long warrants now outlawed.
These impacted positively on the NSE’s Year-To-Date returns, which bounced back to 11.40%, just as market capitalisation gain for the period rose to N1.67r, representing a 12.20% YTD growth.
The Composite and all other sectorial indexes closed green, except for the NSE AseM that stayed flat. Market breadth was positive as advancers outpaced decliners in the ratio of 29:24.
Market activities in volume and value terms were up by 18.13% and 33% respectively to 615.18m shares worth N6.28bn from previous day’s 520.74m units valued at N4.72bn.
Transaction volume for the day was considerably boosted by financial services and Agriculture stocks like Multiverse, Skye Bank, Access Bank, FCMB and FNBH which witnessed increased trading to top the activity chart as most traded.
FBNH and Wapic Insurance topped the advancers table for the day with 8.23% and 6.25% gain to close at N12.50 and N0.68 respectively, due to expectation of full-year earnings, while the decliners log was led by Caverton and Courtville losing 8.77% and 8.70 % to close at N2.60 and N0.42 each, on profit taking and market forces.
TODAY’S OUTLOOK
Being the last trading session of the week, expect short term positioning for Q4 earnings reports and volatility to continue as traders jump back into the market on low price attraction ahead of dividend declaration. The relatively low interest rates in the money market and sell-off in the bond market will boost inflow into stock market as fund managers play earnings season for quick returns in high dividend paying stocks,
However, we would like to reiterate that investors should go for equities with intrinsic value, especially during this season that dividend payment is approaching.
We advise investors to allow numbers guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08028164085.
Get your home study pack on INVEST 2018 Traders & Investors Summit and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable. You can also still access stocks analysed in the home study pack of the INVEST 2018 traders & investors summit, which includes 15 stocks picks for 2018 are available now to guide your positioning as trading for the year just started.
Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available, you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467, 08028164086 or 08111811223.

Chart Summit! Chart Summit!! Chart Summit!!!
Investdata Consulting Ltd is organizing another workshop where experts would simplify market jargons with the aim of increasing understanding and increasing the pool of retail investors.
Theme: ABC of Technical Analysis for the Novices and Advance Traders
Have you traded the stock market before and failed? It is a known fact that about 90% of those who trade without knowledge and understanding of the dynamics will end up losing 90% of their capital most of the time. You don’t have to be one of them.
Therefore, when you attend this Practical ABC Technical Analysis conference, you would learn how to trade such that you become one of the lucky 10%, who manage to consistently play the market profitable by themselves through our SIMPLE trading strategies and buy & sell signal setup.
Consistency is the key to equity trading and investing successfully.
At investdata we have been teaching investors simple and proven strategies which when implemented makes you a successful trader and investor in any market situation, especially when it comes to equipping you well enough to know how to protect their portfolios and profit from market corrections in a recovering economy.
We have also, over time, focused attention on attuning the mindset of investors and traders to managing risk, while eliminating emotions when trading so as to avoid irrational investment decisions.
Attend the Practical Conference on Technical Analysis for the Novices and Advance Traders. We would be taking participants through:
• Understanding the momentum behind current equity movement and when to exit using SIMPLE Technical Indicators and Tools to avoid losing capital and profit.
• Our team of experts and time-tested resource persons will show you how you too can successfully and confidently trade and invest in stocks profitably on your own from your phone, laptop and/or desktop computer.
• Know what the smart money are doing
• Know what they are buying
• How you should buy what they are buying.
The workshop is scheduled as follows:
DATE: February 24. 2018
TIME: 10am – 3.00pm
VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.
This chart summit is designed specifically for those who:
• Jump out of profit position in fear of giving profits back?
• Indecision in pulling the trigger because you fear the prospects of a loss?
• Holding on to losing positions because you fear taking the loss?
• Trading often leads into unplanned trades because you fear leaving money on the table?
• Small trade size or investing small amount because you’ve just had a large loss?
• Increasing you position size to try and make up for past losses?
This practical workshop is for novice traders, investors, professionals and fund managers who want to overcome fear and improve their trading performance. The workshop is basically on technical analysis and practical charting teaching on evidence-based techniques that is working in today market. Also the power of focused trading and investing strategies that will help participants build mental skills to turn fear into profits and protect capital.
Registration is ongoing
There will be sales of stock trading and investing materials at the end of the conference, Fundamental and Technical Analysis materials, including home study packs you can play and viewed on your phone, laptop and television set. All at 20% discount for attending. You need to prepare yourself and profit from the market and the recovery economy to truly achieve your financial independence and freedom in 2018. Also come with your laptop.
For more enquiries about the programme, please call 08032055467, 08179547605, and 08111811223.

Ambrose Omordion
CRO|Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
http://investdata.com.ng/2018/02/nigerian-equity-investors-upbeat-low-money-market-rates-buoy-positioning-dividend-stocks/#more

VAIDS: Nigeria Hires Int’l Asset Tracing Firm, Kroll To Track Tax Evaders


• W’Bank Group, OECD To Help Africa Fight Illicit Financial Flows

Photo Caption: Nigeria’s Finance Minister, Mrs. Kemi Adeosun discussing with the Chairperson of the Illicit Financial Flows Panel of the Platform for Collaboration on Tax (PCT), Grace Navarro, during the PCT Conference organised by the the Organisation for Economic Cooperation and Development (OECD), World Bank Group, International Monetary Fund and United Nations in New York on Thursday, February 15, 2018.

With few weeks to the March 31, 2018 end of the tax amnesty period under its Voluntary Assets and Income Declaration Scheme (VAIDS), Nigeria’s Federal Government has hired Kroll, a leading international Asset Tracing and Investigation Agency (Kroll), with offices in 20 countries, to trace and track illicit flows and assets.

Minister of Finance, Mrs. Kemi Adeosun, disclosed this while speaking at the Platform for Collaboration on Tax (PCT) Conference at the United Nations in New York, where the World Bank Group and the Organisation for Economic Cooperation and Development (OECD) committed to high-level collaborations with Nigeria and other African countries to stop Illicit Financial Flows (IFF) on the continent.
Explaining the idea behind the VAIDS introduced by the Federal Government in June 2017, she said the tax amnesty was aimed at increasing the tax payer base, raising revenue and regularising the tax status of many Nigerians.
The scheme, she explained, was aimed at raising at least $1 billion and bringing in four million new tax payers into the tax net, with the use of technology to improve its accuracy and efficiency.

Continuing, she said “Project Light House is using advanced data mining and data analytics techniques to: identify tax defaulters, establish their tax liabilities and send notifications.
“The system-wide computer software, which drives Project Lighthouse, aggregates data from multiple sources such as bank accounts, land registry records, company registration data, tax filings, customs’ records, asset ownership records, among others, to identify, profile and track tax evaders,” she added.

A statement by Oluyinka Akintunde, spokesman to the Minister on Friday, also quoted her as saying IFF is a problem that urgently requires global focus and actions if Nigeria and other developing countries are to record significant developmental progress.
According to her, “the IFFs are driven by the desire to hide illicit wealth, hide the proceeds away from the public eye and law enforcement agencies and also conceal the ways and means by which illicit wealth was created. This makes it difficult to trace the associated money flow.
“Developing countries, including Nigeria, collect significantly lower levels of tax, as a percentage of Gross Domestic Product (GDP), than wealthier States. This is partly because the income and wealth being created, is taken out of the country illegally, without being taxed.”
Quoting the report of former South African President Thabo Mbeki’s High-Level Panel on IFFs, the Minister said Africa loses US$80 billion annually to IFFs, with a significant percentage of the loss coming from Nigeria.

In addition, she said Nigeria had signed the Multilateral Competent Authority on Common Reporting Standards, which allows for exchange of financial account information.
The country, according to her, is expected to effect the first exchange by 2019 as soon as the domestic legal framework was completed.
She added, “Nigeria has adopted the Common Reporting Standards and the Addis Tax initiative aimed at improving the fairness, transparency, efficiency and effectiveness of the tax system.

“Furthermore, as part of open government partnership Nigeria has included in the national action plan a commitment to establish a public register of beneficial owners. To this end, the Corporate Affairs Commission, the custodian of Nigeria’s company registry, is pursuing relevant amendments to the Companies and Allied Matters Act to comply with global standards.”
As part of measures to tackle IFFs, Adeosun called for the tightening of Nigeria’s tax codes and tax laws that encourage tax avoidance as well as strengthening of the tax system to make it more efficient.
Advocating more responsibility on the part of destination countries of illicit financial flows, the Minister advised that beneficial ownership registers should be established to allow authorities track money in financial investigations involving suspect accounts/assets held by corporate vehicles.

She further called for the elimination of safe havens that provide incentives for transfer of stolen assets and illicit financial flows abroad, and also the development of a supportive, efficient and speedy process for returning assets to originating countries.
Also speaking, Head of OECD Global Forum on Exchange of Information, Ms. Monica Bhatia, said the partnership would involve automatic information sharing as part of proactive steps to curtail the menace.

“The Sustainable Development Goals (SDGs) specifically says that we must significantly reduce illicit financial flows by the year 2030. A lot of efforts are ongoing to achieve this and support developing countries to end the IFFs,” Bhatia added.
The PCT Conference is a collaborative initiative of the Organisation for Economic Cooperation and Development (OECD), World Bank Group, International Monetary Fund and United Nations.

The inaugural PCT Conference, which has as theme “Taxation and the Sustainable Development Goals (SDGs)”, is focusing on the opportunities and challenges for taxation and its role in supporting the SDGs.
It covers practical aspects of tax policy and administration, as well as encourages an open change of experience and views on how to ensure taxation policy and practices can improve SDG outcomes.

http://investdata.com.ng/2018/02/vaids-nigeria-hires-intl-asset-tracing-firm-kroll-track-tax-evaders/#more

Dangote Cement Begins Talks For Possible $1bn Share Sale, London Listing


It’s Not True, Says Spokesman

Ahead of the deadline by the Nigerian Stock Exchange (NSE) to meet its free-float deficiency, the board and management of Dangote Cement Plc may have began discussions that would lead to a possible $1bn worth share sale in London according to sources close to international newswire- Bloomberg.

The company, majority owned by Africa’s richest man, Aliko Dangote, reportedly approached investment bankers to discuss a potential listing on the London Stock Exchange, a process that could take at least five months to complete, one of the people said.

The cement maker is also considering issuing a debut Eurobond, according to two different people familiar with the matter.
Discussions are ongoing and a listing of Africa’s biggest cement maker may not go ahead, the people said.
But when contacted, Anthony Chiejina, Dangote Group’s spokesman, said in an emailed response to questions, without commenting on the banker talks told Bloomberg: “We have not, to the best of my knowledge, taken such a decision.”

Fresh capital would enable Dangote Cement to fund expansion plans in sub-Saharan Africa and broaden its base of investors. It sees London as a more favorable place to attract about $1 billion than in its home base of Lagos, Nigeria’s commercial capital, where no company has raised more in an initial public offering than Starcomms Plc’s $796 million in 2008.

Dangote Cement has a free float in Lagos of 14.9% and a market valuation of $12.3bn. It mulled raising equity in London in 2010. At the time, Goldman Sachs Group Inc., JPMorgan Chase & Co. and Morgan Stanley helped it prepare a sale that could have raised as much as $5bn, before the move was abandoned.
The revival of the plan comes as Dangote Cement shares climb to near records as the Nigerian economy recovers from a downturn caused by the 2014 slump in oil prices. The economy of Africa’s most populous nation went into recession in 2016 as government revenue plunged. Nigerian stocks are up 11 percent this year in dollar terms, the sixth best performance globally according to data compiled by Bloomberg.

Aliko Dangote has a net worth of $13.5bn, according to the Bloomberg Billionaires Index. His Dangote Industries Ltd. conglomerate has interests in sugar, flour and packaged food as well as controlling the cement company.

The 60-year-old has repeatedly expressed a desire to bid for London’s Arsenal Football Club and is building a 650,000 barrel-a-day oil refinery near Lagos, which will cost more than $10bn.

http://investdata.com.ng/2018/02/dangote-cement-begins-talks-possible-1bn-share-sale-london-listing/#more

Nigerian Equity Investors Upbeat, As Low Money Market Rates Buoy Positioning In Dividend Stocks


Market Update for February 15

Trading on the Nigerian Stock Exchange on Thursday was a consolidation of previous day’s position, amidst continued volatility and recovery mode. This was supported by an increasing demand for relatively low priced stocks as reflected in the volume traded.
From the opening session, the index gapped up till mid-morning and pulled back slightly by the midday before retracing up to hit intraday high of 42,604.40 from lows of 42,171.80 basis points. It backed off with a 3-wave corrective move and held support at the current level, any breakout of 42,735.52 will signal real recovery from the recent seven-day correction.
The market forces-induced pullback is progressively rebounding as economic, market and company fundamentals remain strong ahead of the Q4 earnings reporting season.
Thursday’s market technicals were strong and positive, with buying pressure at 100% and selling position of 0%, volume index was 0.60 with money flow index at 33.13 point.
At the close of trading, the composite All-Share index gained 432.60 points to close at 42,604.40 basis points after opening at 41,171.80bp, representing a growth of 1.03% on a high traded volume that was higher than the previous day’s. Similarly, market capitalisation was up N155.25bn to close at N15.29tr, after opening at N15.13tr, which also represented 1.03% appreciation in investors’ position.
The sustained upturn resulted from value gain in stocks like FBNH, UBA, Dangote Flour, Flour Mills, Access Bank, Lafarge Africa, Stanbic IBTC, Zenith Bank, Dangote Cement, ETI, GTBank and NB.
On Thursday, the board of NB advised investors of its offer of N3.13 per share as dividend to shareholders whose names appear in the register of members on March 6, before it closed between March 7 to 13, 2018. Shareholders are expected to approve the recommended dividend payment slated for April 23, at the Annual General Meeting on April 20 in Lagos. The company has advised, in line with the regulatory directive that the dividend, less withholding tax shall be transferred electronically to bank accounts of beneficiaries to replace the age-long warrants now outlawed.
These impacted positively on the NSE’s Year-To-Date returns, which bounced back to 11.40%, just as market capitalisation gain for the period rose to N1.67r, representing a 12.20% YTD growth.
The Composite and all other sectorial indexes closed green, except for the NSE AseM that stayed flat. Market breadth was positive as advancers outpaced decliners in the ratio of 29:24.
Market activities in volume and value terms were up by 18.13% and 33% respectively to 615.18m shares worth N6.28bn from previous day’s 520.74m units valued at N4.72bn.
Transaction volume for the day was considerably boosted by financial services and Agriculture stocks like Multiverse, Skye Bank, Access Bank, FCMB and FNBH which witnessed increased trading to top the activity chart as most traded.
FBNH and Wapic Insurance topped the advancers table for the day with 8.23% and 6.25% gain to close at N12.50 and N0.68 respectively, due to expectation of full-year earnings, while the decliners log was led by Caverton and Courtville losing 8.77% and 8.70 % to close at N2.60 and N0.42 each, on profit taking and market forces.
TODAY’S OUTLOOK
Being the last trading session of the week, expect short term positioning for Q4 earnings reports and volatility to continue as traders jump back into the market on low price attraction ahead of dividend declaration. The relatively low interest rates in the money market and sell-off in the bond market will boost inflow into stock market as fund managers play earnings season for quick returns in high dividend paying stocks,
However, we would like to reiterate that investors should go for equities with intrinsic value, especially during this season that dividend payment is approaching.
We advise investors to allow numbers guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08028164085.
Get your home study pack on INVEST 2018 Traders & Investors Summit and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable. You can also still access stocks analysed in the home study pack of the INVEST 2018 traders & investors summit, which includes 15 stocks picks for 2018 are available now to guide your positioning as trading for the year just started.
Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available, you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467, 08028164086 or 08111811223.

Chart Summit! Chart Summit!! Chart Summit!!!
Investdata Consulting Ltd is organizing another workshop where experts would simplify market jargons with the aim of increasing understanding and increasing the pool of retail investors.
Theme: ABC of Technical Analysis for the Novices and Advance Traders
Have you traded the stock market before and failed? It is a known fact that about 90% of those who trade without knowledge and understanding of the dynamics will end up losing 90% of their capital most of the time. You don’t have to be one of them.
Therefore, when you attend this Practical ABC Technical Analysis conference, you would learn how to trade such that you become one of the lucky 10%, who manage to consistently play the market profitable by themselves through our SIMPLE trading strategies and buy & sell signal setup.
Consistency is the key to equity trading and investing successfully.
At investdata we have been teaching investors simple and proven strategies which when implemented makes you a successful trader and investor in any market situation, especially when it comes to equipping you well enough to know how to protect their portfolios and profit from market corrections in a recovering economy.
We have also, over time, focused attention on attuning the mindset of investors and traders to managing risk, while eliminating emotions when trading so as to avoid irrational investment decisions.
Attend the Practical Conference on Technical Analysis for the Novices and Advance Traders. We would be taking participants through:
• Understanding the momentum behind current equity movement and when to exit using SIMPLE Technical Indicators and Tools to avoid losing capital and profit.
• Our team of experts and time-tested resource persons will show you how you too can successfully and confidently trade and invest in stocks profitably on your own from your phone, laptop and/or desktop computer.
• Know what the smart money are doing
• Know what they are buying
• How you should buy what they are buying.
The workshop is scheduled as follows:
DATE: February 24. 2018
TIME: 10am – 3.00pm
VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.
This chart summit is designed specifically for those who:
• Jump out of profit position in fear of giving profits back?
• Indecision in pulling the trigger because you fear the prospects of a loss?
• Holding on to losing positions because you fear taking the loss?
• Trading often leads into unplanned trades because you fear leaving money on the table?
• Small trade size or investing small amount because you’ve just had a large loss?
• Increasing you position size to try and make up for past losses?
This practical workshop is for novice traders, investors, professionals and fund managers who want to overcome fear and improve their trading performance. The workshop is basically on technical analysis and practical charting teaching on evidence-based techniques that is working in today market. Also the power of focused trading and investing strategies that will help participants build mental skills to turn fear into profits and protect capital.
Registration is ongoing
There will be sales of stock trading and investing materials at the end of the conference, Fundamental and Technical Analysis materials, including home study packs you can play and viewed on your phone, laptop and television set. All at 20% discount for attending. You need to prepare yourself and profit from the market and the recovery economy to truly achieve your financial independence and freedom in 2018. Also come with your laptop.
For more enquiries about the programme, please call 08032055467, 08179547605, and 08111811223.

Ambrose Omordion
CRO|Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
http://investdata.com.ng/2018/02/nigerian-equity-investors-upbeat-low-money-market-rates-buoy-positioning-dividend-stocks/#more

Amidst Earnings Inflow, Investors Expect Surprises, Juicier Dividends To Reduce Selloffs


Market Update for Week Ended February 16 and Outlook for Feb 19-23

The Nigerian Stock market last week moved lower to continue the correction wave and panic selloffs that hit the market on January 26, which was an extension of the pullback in the global markets of 10.2% within a space of two weeks. This triggered concerns among emerging and frontier markets investors, besides revealing that global market and economic performance are becoming a function of crude oil price movements, thereby changing and influencing the real fundamentals and factors for, or against the market.

The mixed performance witnessed within the period under review followed recovery by stocks from the recent market declines as the earnings reporting season kicks off with early filers like Nigerian Breweries reporting a 21% increase in dividend payout. This may be giving, perhaps, insights into what investors should expect from consumer goods stocks that have established up trending earnings before now, as more early filers release their full year numbers this week.

Another positive economic indicator that hit the market last week was the Consumer Price Index that maintained a downtrend as the National Bureau of Statistics (NBS) reported that January inflation rate slowed down to 15.13% from 15.37% in December to further confirm the nation’s recovery that had reflected in other positive economic data.

The All-Share Index resisted moves to breakdown its 42,000 psychological line, which is becoming a new strong support level, such that any breakout could have dragged it to 41,000 basis points. But as the 2017 dividend declaration season kicked off with the early filer, expect the prices of dividend paying stocks to reverse up as revealed already by the NSE Pension index which closed higher for the period.
The market technicals were weak but mixed last week as traded volume was lower amidst negative breadth to continue the previous week’s down market.

The NSE’s composite index shed all of 489.09 points to close at 42,638.83 points, from an opening figure of 43,127.92points, representing a 1.13% decline on a low volume, which was lower than previous week’s. Similarly, market capitalisation closed lower at N15.3tr from its opening value of N15.45tr, representing a 1.13% value loss by investors.
It was mixed sentiments with the market’s loss momentum subsiding on the strength of increasing buying positions, one factor that has slowed down profit booking by traders and investors. The NSE ASI’s year-to-date returns dropped to 11.49%, even as market capitalisation growth for the period stood at N1.7tr representing a 12.43% gain from the year’s opening value.

During the period, medium and high cap stocks dominated the best performing stocks’ table, especially those that are dividend paying with possibility of growing their payout as market expect their full year numbers any moment from now.
The current pullback has impacted their yield as decline in prices makes the stocks attractive for traders and income investors.
Transactions were driven by activities in the financial services and conglomerate sectors.
Market breadth for the week was negative with decliners outnumbering advancers in the ratio of 48:30 on a lower volume of trades to continue two week bearish run.

International markets over the past week closed higher as U.S indices sharply moved higher, despite concerns over economic indicators like the census Bureau report that show 0.3% drop in January retail sales, along with a sharp downward revision in the December figure. The consumer price index also rose an unexpected 0.5% month-on-month and 2.1% year-on-year, which sparked concerns that Fed could hike rates sooner than previously envisaged. In Europe, industrial production rose more than expected in December, helping to power the fastest economic growth rate in a decade. In Asia, investors have been expressing increasing concerns over growing corporate and household debt levels that could derail the region’s growth, if not addressed early.

Back home, the NSE All-Share Index opened the week 0.90% down, moving further south on the second day when it fell 2.41%, a situation that was however short-lived when the index recovered 1.11% at the end of midweek’s trading. This was sustained in the final two trading sessions of the week, when the index gained 1.03% and 0.08% on Thursday and Friday respectively; bring the week’s total loss to 1.13%.
The composite index and all sectoral indices closed lower for the period, except for the NSE Pension that was flat at 0.08%, while the NSE AseM remained unchanged for the week.

Market activities were mixed as volume was down by 33.48% to 2.94bn shares from the previous week’s 4.43bn units, while value climbed by 15.1% to N27.96bn from N24.24bn.
Berger Paints and Beta Glass topped the advancers’ table with a 15% and 10.16% gain respectively to close at N10.35 and N72.10 per share, due to market forces and their possibility of juicier dividend payments; while Consolidated Hallmark Insurance and First Aluminum led the decliners table, losing 22.86% and 19.57% to close at N0.27 and N0.37 respectively, on the back of market forces and impact of the new pricing rules.

Market Outlook
As more early filers hit the market this week with their numbers, expect volatility and repositioning to continue, while profit taking will reduce on the strength of expected payout and earnings surprises.
However, we would like to reiterate that investors should not panic but go for equities with intrinsic value, especially during this season when dividend payment is approaching.

We advise investors to allow numbers guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.

Get your home study pack on INVEST 2018 Traders & Investors Summit and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable. You can also still access stocks analysed in the home study pack of the INVEST 2018 traders & investors summit, which includes 15 stocks pick for 2018 are available now to guide your positioning as trading for the year just started.

Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available, you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467, 08028164086 or 08111811223.

Chart Summit! Chart Summit!! Chart Summit!!!
Investdata Consulting Ltd is organizing another workshop where experts would simplify market jargons with the aim of increasing understanding and increasing the pool of retail investors.

Theme: ABC of Technical Analysis for the Novices and Advance Traders
Have you traded the stock market before and failed? It is a known fact that about 90% of those who trade without knowledge and understanding of the dynamics will end up losing 90% of their capital most of the time. You don’t have to be one of them.
Therefore, when you attend this Practical ABC Technical Analysis conference, you would learn how to trade such that you become one of the lucky 10%, who manage to consistently play the market profitable by themselves through our SIMPLE trading strategies and buy & sell signal setup.

Consistency is the key to equity trading and investing successfully.
At investdata we have been teaching investors simple and proven strategies which when implemented makes you a successful trader and investor in any market situation, especially when it comes to equipping you well enough to know how to protect their portfolios and profit from market corrections in a recovering economy.
We have also, over time, focused attention on attuning the mindset of investors and traders to managing risk, while eliminating emotions when trading so as to avoid irrational investment decisions.

Attend the Practical Conference on Technical Analysis for the Novices and Advance Traders. We would be taking participants through:
• Understanding the momentum behind current equity movement and when to exit using SIMPLE Technical Indicators and Tools to avoid losing capital and profit.
• Our team of experts and time-tested resource persons will show you how you too can successfully and confidently trade and invest in stocks profitably on your own from your phone, laptop and/or desktop computer.
• Know what smart money is doing
• Know what they are buying
• How to buy what they are buying.

The workshop is scheduled as follows:
DATE: February 24. 2018
TIME: 10am – 3.00pm
VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.

This chart summit is designed specifically for those who:
• Jump out of profit position in fear of loss.
• Undecided when pulling the trigger for fear of a loss.
• Hold on to loss positions because of such fears.
• Fall into unplanned trades for fear of leaving money on the table.
• Invest small amounts after just suffering a large loss
• Wish to increase their portfolio size to make up for past losses.

This practical workshop is for novice traders, investors, professionals and fund managers who want to overcome fear and improve their trading performance. The workshop is basically on technical analysis and practical charting teaching on evidence-based techniques that is working in today market. Also the power of focused trading and investing strategies that will help participants build mental skills to turn fear into profits and protect capital.

Registration is ongoing
There will be sales of stock trading and investing materials at the end of the conference, Fundamental and Technical Analysis materials, including home study packs you can play and viewed on your phone, laptop and television set. All at 20% discount for attending. You need to prepare yourself and profit from the market and the recovery economy to truly achieve your financial independence and freedom in 2018. Also come with your laptop.

For more enquiries about the programme, please call 08032055467, 08179547605, and 08111811223.

Ambrose Omordion
CRO|Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
http://investdata.com.ng/2018/02/amidst-earnings-inflow-investors-expect-earnings-surprises-juicier-dividends-reduce-selloffs/#more

UBA Premieres ‘A Night In Wakanda’


Pan African Financial Institution, United Bank for Africa Plc, once again at the weekend, in Lagos, showcased its footprint in the world of entertainment when it premiered the most anticipated movie of the year #BlackPanther, A Night in Wakanda hosted by TV personality Ebuka Obi-Uchendu.

The premiere at Imax Cinemas in Lekki saw a gathering of top personalities in the world of entertainment and finance led by Tony Elumelu, the Chairman UBA Group, who was accompanied by his wife, Awele, and children; Kennedy Uzoka, the Group Managing Director, and his wife Lotanna; as well as Victor Osadolor, the Deputy Managing Director, among other top executives of the bank.

Also at the event were A – list artists and media giants like Mo Abudu, Omoni Oboli, Eyinnaya Osigwe, Lala Akindoju, Noble Igwe; female African footballer of the year Asisat Oshoala and a host of others were also on ground to showcase Africa’s excellence dressed in their African finery as Kings and Queens.

Uzoka who arrived early to welcome guests at the premiere assured that as Africa’s global bank, UBA Plc will continue to support events that promote the culture and heritage of the African continent.

He noted that Leo, UBA’s flagship chat personality, had given out a number of free tickets to enable ordinary Nigerians participate in the epoch-making event.

The entire Imax cinemas was acquired for the night by UBA to allow for the crowd of movie lovers who had thronged the venue.

http://investdata.com.ng/2018/02/uba-premieres-movie-night-wakanda/#more

SEC, CBN, Pencom, NAICOM Partner For Increased Financial Inclusion In Nigeria


Caption: Head Awareness Unit, Micro Pensions Department National Pensions Commission (Pencom), Mrs Obiageli Okosi; Head, Research Department, Pencom, Lasbery Lot; Representative of the Acting Director General Securities and Exchange Commission (SEC), Mr. Abdul Bello; and Data Analyst at the Central Bank of Nigeria, Dr. Gazali Mohammed; during the Financial Inclusion Sensitisation Programme held in Abuja at the weekend.

Ahead of the 2020 target to reduce the number of Nigerians who are still outside its formal financial system, regulators of the nation’s financial services industry at the weekend, again went on a sensitization campaign to selected Abuja neighbourhoods.

Speaking at the event in Karshi, Abuja, Acting Director General of the Securities and Exchange Commission (SEC), Dr. Abdul Zubair said the regulators aim to achieve increased level of financial inclusion of Nigerians by the year 2020.

The latest move, he continued, followed the huge success recorded in previous outings in Bwari, Kuje Area Councils and University of Abuja, which made it pertinent that the programme be extended to other communities to reach more Nigerians.

According to Zubair, who was represented by commission’s Director, Market Development Department, Abdul Bello, said: “Financial Inclusion as we all know is to ensure that various products at affordable costs are made available to the excluded.

“This is why we have carried this enlightenment campaign to karshi so that the excluded will have an understanding of the available products in the Nigeria Capital Market. Our target is to have increased number of citizens financially included by the year 2020.

“Because of the importance SEC and indeed stakeholders of financial inclusion attach to reaching out to the excluded, our sister organizations are here to equally give us briefs on products that are available in other (arms of the) financial services sector.

“Specifically, we have CBN, NDIC (Nigeria Deposit Insurance Corporation), to talk to you about money market. NAICOM (National Insurance Commission) to talk about insurance; and PENCOM to give advice to the working class and general public on the benefits of investing in Pension Products,” he stressed.

The e-dividend registration is a measure through which the commission is working to reduce the mountain of dividend paid by companies and have over the years remained unclaimed by the beneficiaries for one reason or the other.

Unclaimed dividend had remained a sore point in the history of the Nigerian capital market, rising to an estimated N90bn in September, 2015, before it was reduced by N29.3bn within 11 months, as the commission embarked on a road show for the purpose.

Bello urged those yet to take advantage of the ongoing free e-dividend registration exercise to do so by approaching their bankers or registrars before the February 28, 2018, so that their accrued dividends is paid to their bank accounts electronically.

In a goodwill message, CBN representative, George Ogudu told participants that financial inclusion enables them manage their money more efficiently, besides offering opportunities for accessing various loans to sustain and grow their businesses.

He however emphasized that such loans are not free money, but to assist small businesses thrive.

Such loans, he stressed, are “different from the one you have to go through cumbersome processes in the banks. Now government is giving out loans with little interest and you do not need a collateral. All you need to do is to form small market women groups or cooperatives. But you need to have an account to access the money.

“Now with your mobile phone number and passport photograph you can open an account. No need for utility bills and other (means of) identification. Open an account and be saving money in it gradually then you can qualify to apply for a loan through your co-operative society,” he added.

Also, Lasbery Lot of PenCom stressed the importance for Nigerians to set some money aside, while they still young and have the strength to work so that at old age, or they become too weak to ply their trade, such pension savings can serve as a fall back.

http://investdata.com.ng/2018/02/sec-cbn-pencom-naicom-partner-increased-financial-inclusion/#more

NB: Full Year Earnings Fall Below Market Expectation, Despite 21% Dividend Growth


The management of Nigerian Breweries, the Nigerian Stock Exchange’s biggest company by market capitalization behind Dangote Cement, on Thursday released earnings report for the its full-year ended December 31, 2017 earlier than the released date for the 2016 numbers, making it the first early filler for December 2017 year-end accounts.

Its performance in the period under review stagnated, as earnings trend was in line with the last quarter of the financial year as a result of seasonality impact of the festivities associated with the yuletide, which boosted sales irrespective of the high cost of sale at 58.34%. Finance cost fell, just as foreign exchange losses, due to the relatively stable exchange rate, thanks to the sustained intervention in the currency market by the Central Bank of Nigeria (CBN). This resulted in turnaround for operators in the nation’s manufacturing sector, unlike the situation in the preceding year. The company’s sales revenue and earnings growth reflected little improvements in the disposable income of Nigerians as economic activities continued looking up to propel the nation’s exit from recession during same period.

However, the increasingly stiff competition and saturation in its industry may threaten sustainability of this little improvement in the quarterly numbers and full year of this current 2018 and beyond.

Specifically, the 2017 numbers revealed a marginal rise in turnover to N344.56bn, representing an increase of 9.82%, compared to N313.74bn in 2016, while profit level for the period was slightly better at 16.17% to N33.05bn from N28.42bn in the preceding year.

Shareholders’ funds inched up marginally by 7% from N166.83bn in 2016 to N178.3bn, just as Earnings Per Share for the period increased to N4.13 as against the N3.58 in the comparative period of 2016,.

Consequently, investors’ waiting period decreased slightly to 31.80x from 33.43x as a result of little improvement in earnings, despite the increase in price, translating to 3.95% of the market price as at released date, which is above the 2.99% yield estimated in 2016.

The high cost of sales was diluted by the decline in financing cost and increase in other incomes, against the backdrop of relatively stable exchange rates which has marginally reduced production cost, thereby boosting profit line for the period.

The company’s mild performance was attributed to the fact that this financial year saw Nigeria’s economy recovering from recession, which reflected positively on macro-economic indices, like the continued decline in inflation rate throughout the period to disposable income among enhance consumers and consequently boost demand as shown on the marginal increase in sales.



Strengths and Pitfalls

The ongoing economic recovery in Nigeria as well as the fundamentals and nature of NB’s products remain its strength, further enhanced by the recent acquisition and addition of a new array of products to its bouquet ensures that it is has something to offer everyone, especially at a time consumer confidence and spending ability are looking up. This industry leadership and multiple product lines with different target markets has given NB an edge and the confidence to penetrate new markets, a factor that would help it overcome challenges and sustain operation for future growth.

The nation’s economic recovery must however be supported to enter into the growth phase, leading to a plethora of high economic activities that will further enhance purchasing power among the people.

Its Current Ratio (current Assets/current liabilities) of less than one (0.56), is an indication that the company may experience difficulty meeting short-term financial obligations, a situation that is unhealthy, especially given the dividend pay-out ratio of 100%, which means there is no retained earnings to support expansion. No wonder NB’s debt profile is reflecting interest coverage of 5.33, given that all of its earnings are distributed as dividend, resulting in dividend coverage for the period of 1.16.

As we have observed and also as a manufacturing company, more than half of its current assets are stored in the inventory, while the Debt/Equity ratio reveals that the company is operating on borrowed funds. This calls for more retained earnings by the foremost brewer, rather than the current practise of using almost all its entire earnings to reward shareholders, particularly in a highly competitive sector renown for price war.

Management should rethink this decision going forward, knowing that continuity is very important, no matter the amount of money the core investors want to repatriate back home.

Technical View



NB is a tradable stock that has sustained an up and down trend to enable traders buy low and sell high. The stock has formed a rising channel that is trending within the channel to create entry and exit points as it recently pulled back from a resistance level of N193.00 per share on August 18, 2017 to a strong support level of N125 as the market and analyst continue to interpret its latest financials released recently. The year’s dividend growth is yet to affect price, due to the seeming correction wave in the market. However, traders and investors should watch trend as reversal is imminent.

Analyst Opinion

Using Price to Earnings Ratio (PER) method, and based on the company’s full-year Earnings Per Share of 413 kobo, its price to earnings ratio of 31.80x is high despite the recovery in the economy.

That noted, Investdata arrived at a fair value of N60 per share, which means the stock is currently overpriced and selling at a high premium.

Short-term players should keep their gaze on this stock, while growth investors should look away from it. The positive operating cashflow indicates the possibility of stronger earnings in future, considering the nature of its products and increasing market share.

We recommend hold to investors, while traders take advantage of its pullback to position.



Management

NB’s management has demonstrated commitment to creating value for its customers and shareholders by consistently building capacity to support its profit level through increased product lines to meet different market segments and cut cost so as to benefit from economic recovery and gradual improvement in purchasing power of Nigerians.

The profit margin of 9.39% is very poor meaning, as it translates to the fact that for every N1 received as sales revenue, only just 9 kobo is converted to profit and Return on Asset is just 9%.

Five–Year Performance

Taking a critical look at the company, its five-year performance shows mixed progress with very unstable sales revenue, bottom line and share price performance to reveal the level of confidence of the investing public on the company.

The company’s robust bouquet of products and aggressive marketing drive have not impacted much on sales level as a result of the stiff competition. The continued repositioning, repackaging and the nature of NB’s products are expected to propel its performance higher in the future. Turnover growth of 28.28% in the period under view is an indication of where the company is going with its investment in expansion and introduction of new products.

However, the current earnings level seems saturated but looked up from 2016 figure of N28.42bn to N33.05bn which is below its five-year high of N43.08bn attained in 2013. The liquidity of the company’s equity on the exchange is a great potential for trading and remains a factor that has attracted market players and income investors to this stock.

The company’s earnings and dividend yield for five years have been below 10%, a number that is not good, even as the company has prospect to enlarge market share through sales promotions and advertisement, which may subsequently impact its profit. Profit margin for the same period was below 15%, which is low by all standards, whether internationally or locally, but more needs to be done.

The company’s net assets currently valued at N178.3bn, up from N112.36bn in 2013, representing a 58.69% growth. This is a reflection of its investment in assets to grow earnings power that would drive other profitability ratios.



Estimated Ratios

The company earnings power for the period is a reflection of the unstable business environment as Earnings Per Share oscillates to N4.13 in 2017 from N5.70 in 2013. The scorecard revealed least performance in the last five years. The said EPS is same as 31.80x of the market price at release date and yielded 3.95% of market price.

The Book Value at N22.30 indicates that the stock is grossly overpriced, because it had created value for its stakeholders that supported its earnings growth and dividend through the observed periods to re-establish confidence and assurance for further growth. The company profitability ratios for the period have been mixed.

http://investdata.com.ng/2018/02/nb-full-year-earnings-fall-market-expectation-despite-21-dividend-growth/#more

Why Some Nigerian Banks May Not Pay Dividend This Year


Apparently worried by the mounting pile of non-performing loans in the books of the nation’s banks, even as the system is still struggling under the weight of the 2009/2011 debacle, the Central Bank of Nigeria (CBN) has set certain yardsticks for banks planning to pay dividend from their profit after tax.
According to the letter to all banks, referenced: REF: BSD/DIR/GEN/LAB/11/002, titled “Re: Internal Capital Generation and Dividend Payout Ratio,” the banks are to facilitate sufficient and adequate capital build up in line with their risk appetite.
The CBN, in the letter signed by Ahmad Abdullahi, director, Banking Supervision Department, barred with immediate effect, deposit money banks and discount houses from paying dividend from their reserves.

Banks and Discount Houses that do not meet the minimum capital adequacy ratio from paying dividend; just as those with “a Composite Risk Rating (CRR) of “High” or a Non-Performing-Loan (NPL) ratio of above 10% shall not be allowed to pay dividend.”
Meanwhile, those that meet the minimum capital adequacy ratio but have a CRR of
“Above Average” or an NPL ratio of more than 5% but less than 10% are allowed a 30% dividend payout ratio, meaning that they cannot pay more than 30% of net profit.

A capital adequacy ratio of at least 3% above the minimum requirement, CRR of “Low” and NPL ratio of more than 5% but less than 10%, allows a bank or discount house the luxury of 75% dividend pay-out ratio.
The circular further directed that “all ratios shall be based on financial year averages.”
“There shall be no regulatory restriction on dividend pay-out for DMBs and DHs that meet the minimum capital adequacy ratio, have a CRR of “low” or “moderate” and an NPL ratio of not more than 5%. However, it is expected that the Board of such institutions will recommend payouts based on effective risk assessment and economic realities.

All banks are to submit their “board approved dividend payout policy to the CBN before the payment of dividend shall be permitted.
The circular noted that the move is in line with global standards where “retained earnings have been identified as an important source of growing an institution’s capital,” with such advantages such as serving as a source of long term finance; besides being easier and cheaper to raise than external finance. It also curtails financial risks; improves liquidity and profitability.

Despite this, it observed that rather than take advantage of this beneficial means of capital generation, some Nigerian “institutions pay out a greater proportion of their profits, irrespective of their risk profile and the need to build resilience through adequate capital buffers.
“Prior to now, dividend payout policy for banks has been as stipulated in Section 16(1) of BOFIA 2004 (as amended) and Prudential Guidelines for DMBs of 2010, which state that: “Every Bank shall maintain a reserve fund and shall, out of its net profits for each year (after due provision for taxation) and before any dividend is declared, where the amount of the reserve fund is:

a. Less than the paid-up share capital, transfer to the reserve fund a sum equal to, but less than thirty per cent of net profits; or
b. Equal to or in excess of the paid-up share capital, transfer to the reserve fund a sum equal to but not less than fifteen per cent of the net profit; provided that no transfer under this subsection shall be made until all identifiable losses have been made good.
“Section 16 (3) also states that: Notwithstanding (a) and (b) of subsection (1), the Bank may, from time to time specify a different proportion of the net profits of each year, being lesser or greater than the proportion specified in paragraph (a) and (b) to be transferred to the reserve fund of a bank for the purpose of ensuring that the amount of the reserve fund of such bank is sufficient for the purpose of its business and adequate in relation to its liabilities.

“Subsequently, Section (17) (1) stipulates that no bank shall pay dividend on its shares its preliminary expenses, organisational expenses, share selling commission, brokerage, amount of losses incurred and other capitalised expenses not represented by tangible assets have been completely written off; and adequate provisions have been made to the satisfaction of the bank for actual and contingency losses on the risk assets, liabilities, off balance sheet commitments and such unearned incomes as are derivable therefrom.
“While these regulations are aimed at building the statutory reserves of supervised banks, in view of the dynamism, rapid changes and emerging risks on the horizon, there is a need to proactively address these risks,” the CBN added.

http://investdata.com.ng/2018/02/why-nigerian-banks-pay-dividend-this-year/#more

Implications Of CBN Directive On Dividend Payment By Banks- Cardinal Stone Research


Implications for our coverage banks:

The CBN dividend policy assesses banks on their eligibility to pay dividends based on the capital adequacy ratio (CAR) and their non-performing loans (NPL). Below, we have analysed our coverage banks based on these metrics and highlighted how this policy will impact dividend payment for FY’17.

From the graph above, DIAMONDBNK as at 9M’17 is currently below the minimum capital adequacy ratio required for systemically important banks. If the trend persists into full year, DIAMONDBNK will not be eligible to pay any dividend. We highlight that ETI and FBNH are also close to the regulatory minimum but it is highly unlikely that these banks will breach this by FY’17 given that they are expected to capitalize their earnings after the full year audit – this is expected to strengthen CAR.




As at 9M’17, STANBIC, FIDELITYBK, DIAMONDBNK, ETI and FBNH are all above the minimum 5% threshold hence, if they are eligible to pay dividend it will be capped between 30% and 75% according to the rule stipulated above.

For DIAMONDBNK, the capital adequacy rule will prevent it from paying any dividends at all. FBNH is currently breaching the 10% NPL rule hence will not be able to pay dividend from its commercial banking business. However, the bank may pay dividends from the earnings of its other subsidiaries as it did in FY’16. FIDELITYBK and ETI fall within the threshold of 30% and 70% dividend payout band. The final probable payout will, however, depend on the level of their capital adequacy ratio when their full-year result is released. Nevertheless, FIDELITYBK three-year average dividend payout ratio is c.33% which is not materially different from the lower band of 30% should its CAR come in below the 300bps premium required to the regulatory minimum.


Figure 3: Verdict based on 9M’17 Earnings.

Cardinalstone Researc

hhttp://investdata.com.ng/2018/02/implications-cbn-directive-dividend-payment-banks-cardinal-stone-research/#more

FG Deal With N’Delta Stakeholders Fetching Nigeria N43.9bn Extra Daily- Oando GMD


Wale Tinubu, Group Chief Executive, Oando Plc, on Monday said Nigeria is currently earning over N43.9bn (about $122m) daily, following the Federal Government’s decision to constructively engage key stakeholders and communities in the nation’s once troubled Niger-Delta region.
Tinubu noted that the repeated interface by Vice President, Professor Yemi Osinbajo, which led to an agreement to establish modular refineries co-owned by the oil bearing communities in the region has enabled Nigeria meet its 1.8m per day production quota set by the Organisation of Petroleum Exporting Country (OPEC).

In a piece titled “The Role of Indigenous Players in Supporting the Successful Execution of the ‘7 Big Wins,” to coincide with the Nigeria International Petroleum Summit (NIPS) which opened on Monday, he said the development is a welcome relief to both the sector and the country.
To further this cause, he said Oando Plc and its “Joint Venture (JV) partners have and continue to partner host communities to improve the livelihoods of indigenes of the Niger-Delta through a variety of sustainable empowerment projects.

He listed these to “include skills acquisition schemes aimed at developing youths and transitioning them from a cycle of unemployment and poverty to one of entrepreneurship, under the Access to Energy Initiative, electrification projects which have impacted over one million indigenes and the building of infrastructure for long term enhancement of lives, in addition creating employment within these communities by using local hands for these infrastructure builds.”
Tinubu also noted the “Green Rivers Project (GRP) an initiative developed to revolutionise agriculture in, and diversify the economies of Niger-Delta states through the creation of an enabling environment for farmers to thrive, motivating and highlighting the importance and dignity of farming.
“With an annual spend of over N1.08bn ($3m), the project has to date created and improved the livelihood of over 35,000 farmers in 120 communities, via the provision of innovative agricultural methods, equipment and microcredit schemes.
“By increasing the percentage of work done locally, we are all creating a win/win situation, with GDP growth and job creation benefiting the Nigerian public and private markets whilst international companies operating in Nigeria benefit from drastically lower costs.”
Monday’s event, he noted, is well timed to kick-start conversations around the success of the government’s “endeavours to maintain the viability of the Oil reforms, and the implementation of effective policies with the passage of the Petroleum Industry Governance Bill (PIGB) and National Gas Policy.

“We should not take these successes for granted and applaud the Government for their efforts to date.
The nation’s economic downturn experienced in the last quarter of 2014 through to the second quarter of 2017, he noted, though painful, good judging by the fact that it “forced the Government to look inwards to create policies that would ensure a diversified economy, and create a buffer for future shocks.
“The reality is that in navigating the downturn of our oil dependent economy, we must focus on growing revenue from the sector to aid diversification of the economy. In other words, we need oil, to exit oil dependency.”

On its part, Tinubu said Oando has played its role over the years, becoming “the first private company to enter gas distribution in Nigeria and pioneered gas distribution in the Greater Lagos area with the aim of spurring industrialization. Our notable gas projects include the development of circa 260km gas pipeline grid across Nigeria, Alausa and Akute Independent Power Plants and a Compressed Natural Gas Plant. These infrastructures offer clean and affordable energy solutions which equate to significant cost advantages for industries across the country.
“We also conceived and launched the Lagos Midstream Jetty (LMJ) in 2017, the first of its kind in sub-Saharan Africa. The N54 billion ($150 million) jetty will save marketers approximately N43.2bn ($120m) annually; increase receipt capacity, efficiency in product discharge and reduce vessel waiting time; ultimately eliminating demurrage and lightering requirements.”

He equally noted the giant strides being made by industry peers to ensure the realisation of the ‘7 Big Wins,’ including the NNPC and Total Upstream Nigeria Limited (TUPN) in collaboration with the China National Offshore Oil Corporation (CNOOC), South Atlantic Petroleum Limited (SAPETRO) and Petróleo Brasileiro S.A. (Petrobras), which “recorded a significant milestone with the arrival of the Egina Floating, Production, Storage and Offloading (FPSO) at the start of the year.

“The vessel has come at a time when the country needs to maximise the opportunities created by her exemption in the OPEC production cut. The Egina FPSO is expected to ramp up the country’s daily oil production by up to 200,000 barrels of oil per day (bopd). It is the largest FPSO ever installed in Nigeria and the largest investment project currently on-going in the Nigerian Oil & Gas sector. The project is being developed locally to accelerate the pace of knowledge and technology transfer; it will also generate significant opportunities for local contractors in non-Oil & Gas sectors, an additional stimulant to local content development in Nigeria.”

http://investdata.com.ng/2018/02/fg-deal-ndelta-stakeholders-fetching-nigeria-n43-9bn-extra-daily-oando-gmd/#more

Nigeria May Sue Multinationals For Tax Frauds In Home Countries


Photo Caption: Nigeria’s Minister of Finance, Mrs. Kemi Adeosun; Head of OECD Global Forum on Exchange of Information, Ms. Monica Bhatia; and Executive Chairman of the Federal Inland Revenue Service, William Babatunde Fowler, during the PCT Conference organised by the the Organisation for Economic Cooperation and Development (OECD), World Bank Group, International Monetary Fund and United Nations in New York on Thursday, 15th February, 2018.

Against the backdrop of complicity by Multinational Corporations (MNCs) in tax frauds, at a time Nigeria desperately seeks to grow its ratio of tax revenue to Gross Domestic Products from the abysmal 6%, Minister of Finance, Mrs. Kemi Adeosun says the Federal Government is weighing the option of suing such companies in their home countries.

Speaking at the just concluded Platform for Collaboration on Tax (PCT) conference in New York, she urged the World Bank, International Monetary Fund and the Organisation for Economic Cooperation and Development (OECD), to see the tax avoidance actions of multinational companies as corrupt practices and designate as such.

A statement by Oluyinka Akintunde, the Minister’s Special Adviser Media & Communications, described the PCT as an initiative of the Organisation for Economic Cooperation and Development (OECD), World Bank Group, International Monetary Fund (IMF) and United Nations.
Designating tax crimes as foreign corrupt practices, she believes would support such efforts, lamenting a situation where defaulting MNCs hide behind slow legislative processes to avoid doing what is right in Nigeria, a nations from which they derived significant income.
“There is absolute need for a complete understanding of how these Multinational Corporations (MNCs) behave in Nigeria and developing countries, many operate a completely different standard in Africa to what obtains globally,” Adeosun said.
Nigeria, according to Adeosun, is taking a number of measures internally and also taking full advantage of international initiatives to tackle the problem.

Such internal measures, she said, “include tightening financial controls and surveillance, adoption of the National Tax Policy with its commitment to regular revisions of tax laws and the ongoing tax amnesty programme, the Voluntary Assets and Income Declaration Scheme (VAIDS).”
The Minister stated further that the Nigerian Government would use every available avenue to improve its revenue generation and tax collection and credited the United Nations with putting the issue of Illicit Financial Flows at the forefront of the fight against IFF.
She noted that that it was ‘entirely appropriate that we are discussing this issue in the United Nations Headquarters, as this is a United Nations sized problem’.

On the issue of Illicit Financial Flows, she emphasised that Nigeria, under President Muhammadu Buhari, was ‘taking strong action and was determined to reverse their impact’.
The Minister explained that Nigeria was doubly affected by illicit financial flows as a result of corruption and tax evasion, recalling the Thabo Mbeki report, which found that IFFs from Africa exceeded the volume of foreign aid into Africa, adding that Nigeria was found to be the most adversely affected.

“The Nigerian Government is taking responsibility for preventing illicit flows but the range of measures used and the sheer volumes are such that the recipient nations must also take measures to discourage the flows into their countries by asking more questions,” Adeosun remarked.
She lauded the recent initiative by the United Kingdom Government with Unexplained Wealth Orders (UWOs) and requested that more countries adopt such measures.
She added that Nigeria was studying the options for introducing similar measures in the country.

FacebookTwitterGoogle+Share

http://investdata.com.ng/2018/02/nigeria-may-sue-multinationals-tax-frauds-home-countries/#more

Short-Term Positioning for Q4 Earnings Reports Continue On Low Price Attraction


Market Update for February 19


Nigerian stock market took a breather on Monday to start off the week on weak note, after an early gap up in the opening session, but pulled back as the investing public reacted apparently to news that many banks will not pay dividend in 2018 due to their exposure to bad loans as the Central Bank of Nigeria (CBN) seeks to enforce its rules. Going by the rule which has been in force since 2014, many discerning investors already know that banks or companies with negative retained earnings will not pay dividend. This, we have drawn attention to in the past as we reveal banks with negative retained earnings, most of which are still struggling, while one or two have shown improvements, moving out of the categories.

Monday’s emotional sell down as reflected in the volume traded, indicated that knowledgeable investors have repositioned in value companies, especially dividend paying stocks as earnings season kicked off. Market volatility continued as the benchmark index hit intraday high of 42,712.65 from the opening figure of 42,638.83, and then came down in 6-wave declines to successfully breakdown the psychological line of 42,000 that had been the recent strong support level. It was a session wherein highly capitalized stocks shed value to close the day lower, after the market had started another motive wave, with the recovery mode as fund managers continued last minutes reshuffling of their portfolio. With the long awaited earnings reporting season finally here, investors and traders should play the market with less emotion to profit from the season.

Market technicals for the day were weak, with high selling pressure on low volume traded and weak buying position of 0%, volume index was 0.32 with money flow index at 25.84 point.
Meanwhile, the All-Share index shed 650.65 points to close at 41,988.18 basis points after opening at 42,638.83, representing a decline of 1.53% on a low traded volume that was lower than the previous day’s. Similarly, market capitalisation fell by N233.49bn to close at N15.07tr, after opening at N15.3tr which also represented 1.53% value loss in investors’ portfolios.

The downturn resulted from losses suffered by medium and high cap stocks like Nestle Nigeria, Dangote Cement, Nigerian Breweries, Zenith Bank, UBA, FBNH, UACN, Dangote Flour, PZ and Guinness Nigeria. Also on Monday, the share price of Vitafoam was adjusted for 15 kobo dividend recommended by its directors. The loss impacted negatively on the NSE’s Year-To-Date returns, which drop to 9.79%, just as market capitalisation gain for the period dropped to N1.46tr, representing a 10.72% YTD growth.
The Composite and all other sectorial indexes were mixed, whereas market breadth was negative as decliners outpaced advancers in the ratio of 32:16. Market activities in volume and value terms were down to 287.18m shares worth N2.29bn from previous day’s 520.74m units valued at N4.32bn.

Transaction volume for the day was considerably boosted by financial services stocks like Skye Bank, Diamond Bank, FCMB, Jaiz Bank and Zenith Bank which witnessed increased trading to top the activity chart as most traded.

Linkage Assurance and Livestock topped the advancers table for the day with 9.09% and 5.00% gain to close at N0.96 and N1.05 respectively, due to their expected full-year earnings, while the decliners log was led by PZ Cussons, which fell 8.00% on news that the company’s 2018 full-year robust second half performance may be hampered by a more than expected challenging operating environment. Also, the shares of Lasaco Assurance dropped by 6.06% to N0.31 each on profit taking and market forces.

TODAY’S OUTLOOK
Expect short term positioning for Q4 earnings reports and volatility to continue as traders jump into the market on low price attraction ahead of dividend declaration. The relatively low interest rates in the money market and sell-off in the bond market will boost inflow into stock market as fund managers play earnings season for quick returns target high dividend yield stocks,
However, we would like to reiterate that investors should go for equities with intrinsic value, especially during this season that dividend payment is approaching.

We advise investors to allow numbers guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08028164085.

Get your home study pack on INVEST 2018 Traders & Investors Summit and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable. You can also still access stocks analysed in the home study pack of the INVEST 2018 traders & investors summit, which includes 15 stocks picks for 2018 are available now to guide your positioning as trading for the year just started.

Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available, you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467, 08028164086 or 08111811223.

Chart Summit! Chart Summit!! Chart Summit!!!
Investdata Consulting Ltd is organizing another workshop where experts would simplify market jargons with the aim of increasing understanding and increasing the pool of retail investors.

Theme: ABC of Technical Analysis for the Novices and Advance Traders
Have you traded the stock market before and failed? It is a known fact that about 90% of those who trade without knowledge and understanding of the dynamics will end up losing 90% of their capital most of the time. You don’t have to be one of them.
Therefore, when you attend this Practical ABC Technical Analysis conference, you would learn how to trade such that you become one of the lucky 10%, who manage to consistently play the market profitable by themselves through our SIMPLE trading strategies and buy & sell signal setup.

Consistency is the key to equity trading and investing successfully.
At investdata we have been teaching investors simple and proven strategies which when implemented makes you a successful trader and investor in any market situation, especially when it comes to equipping you well enough to know how to protect their portfolios and profit from market corrections in a recovering economy.

We have also, over time, focused attention on attuning the mindset of investors and traders to managing risk, while eliminating emotions when trading so as to avoid irrational investment decisions.

Attend the Practical Conference on Technical Analysis for the Novices and Advance Traders. We would be taking participants through:
• Understanding the momentum behind current equity movement and when to exit using SIMPLE Technical Indicators and Tools to avoid losing capital and profit.
• Our team of experts and time-tested resource persons will show you how you too can successfully and confidently trade and invest in stocks profitably on your own from your phone, laptop and/or desktop computer.
• Know what the smart money are doing
• Know what they are buying
• How you should buy what they are buying.

The workshop is scheduled as follows:
DATE: February 24. 2018
TIME: 10am – 3.00pm
VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.

This chart summit is designed specifically for those who:
• Jump out of profit position in fear of giving profits back?
• Indecision in pulling the trigger because you fear the prospects of a loss?
• Holding on to losing positions because you fear taking the loss?
• Trading often leads into unplanned trades because you fear leaving money on the table?
• Small trade size or investing small amount because you’ve just had a large loss?
• Increasing you position size to try and make up for past losses?

This practical workshop is for novice traders, investors, professionals and fund managers who want to overcome fear and improve their trading performance. The workshop is basically on technical analysis and practical charting teaching on evidence-based techniques that is working in today market. Also the power of focused trading and investing strategies that will help participants build mental skills to turn fear into profits and protect capital.

Registration is ongoing
There will be sales of stock trading and investing materials at the end of the conference, Fundamental and Technical Analysis materials, including home study packs you can play and viewed on your phone, laptop and television set. All at 20% discount for attending. You need to prepare yourself and profit from the market and the recovery economy to truly achieve your financial independence and freedom in 2018. Also come with your laptop.

For more enquiries about the programme, please call 08032055467, 08179547605, and 08111811223.
Ambrose Omordion
CRO|Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
http://investdata.com.ng/2018/02/short-term-positioning-q4-earnings-reports-continue-low-price-attraction/#more

Africa’s Food Import Bill May Surpass $110bn by 2025, Unless… Says AfDB


Pix: Dr. Akinwunmi Adesina, AfDB Group President

The African Development Bank Group (AfDB), on Tuesday, warned that going by projected increased food demand and changing consumption habits, the net food imports on the continent could soar from US$35bn in 2015 to over US$110bn by 2025.
This, the AfDB said in a statement on its website, could be avoided where African countries utilize the enormous food production capacity of the continent, especially the vast used arable land which accounts for 60% of the world’s total.
Consequently, the bank said it has developed a long-term agricultural transformation strategy in Africa to unlock Africa’s agric potential and boost job creation as a way of diversifying economies on the continent.

This is in addition to supporting the realization of key Sustainable Development Goals through the development of an inclusive and competitive African agribusiness sector with specific goals such as helping to end poverty; hunger and malnutrition; making Africa a net food exporter; while moving Africa to the top of export-orientated value chains where it has comparative advantage.
The goal of making Africa a net food exporter by 2025, it says, would involve mobilizing resources and capital, with the task of transforming an initial set of agricultural value chains expected to gulp as much as US$340bn over the next decade.

“Such an investment would likely create new markets worth US$55-65 billion per year by 2025,” it said, adding that the AfDB Group’s investments in agriculture (both public and private) could quadruple from a current annual average of US $612m to about US$2.4bn.
To catalyze agricultural transformation on the continent, AfDB plans to collaborate with its partners, through orchestrating activities to create impact-oriented borrowing plans and an evidence-based implementation plan for transformation, in the form of an ‘Agricultural Transformation Partnership for Africa’ (ATPA).

It also hopes to design and lead the operation of areas that are both critical to drive transformation and for which the Bank is able to leverage its comparative advantages; while scaling and replicating activities and programmes of partners that have demonstrable success and the potential to play a key role in country and commodity specific transformation.
“Unlocking agricultural potential and tackling food insecurity will require sustained multi-sectoral interventions (e.g. infrastructure development, intensive use of agro inputs and mechanization, enhanced access to credit and improved land tenure systems), appropriate policy reforms, promoting employment of the youth and women, and adopting an integrated value-chain approach that emphasizes access to markets and climate-smart agriculture.”

AfDB also announced plans to collaborate in promoting, “where appropriate, the development of agro-allied industrial zones that can produce value-added products. The Bank will also invest in regional infrastructure and enhanced policy dialogue to remove trade barriers, thereby assisting in reducing food price volatility and food insecurity. Finally, the Bank will prioritize agricultural projects that target gender inequality and enable women to have equal access to opportunities throughout agricultural value chains.”

http://investdata.com.ng/2018/02/africas-food-import-bill-may-surpass-110bn-2025-unless-says-afdb/#more

Low Money Market Rates, Bond Sell-Offs May Boost Inflow Into Stock Market Ahead Earnings Season


Market Update for February 20

Nigeria’s stock market on Tuesday had a very volatile session but closed on a positive note, thereby halting the previous day’s down market, after opening sharp down in the early morning which continue in the mid-morning till midday before retracing up in the afternoon to wipe out some of previous day’s loss on the strength of value appreciation in the shares of Nestle Nigeria, Dangote Cement and PZ Cussons Nigeria.
As we have seen in recent correction that followed the January rally, the market has been struggling to find direction as foreign and institutional inflow slowed down ahead of actual full-year numbers from the December year-end companies.

As it is today, it is still unclear where the market could be at the close of the second month of the year, even as the NSE index over the past two weeks have been struggling to recover on pre-earnings season positioning after suffering huge losses resulting from the market correction.
What is however clear is that the current changed pattern in the market is posing a lot of challenges to investors, because the market had not experienced this pattern in the past decade. This is becoming worrisome to investors because of their conventional way of trading the market. The changing market at this point calls for new strategies, even as the combination of fundamentals and technical analysis will help trade profitably and protect capital.

Tuesday’s market volatility was strong as the NSE’s composite All-Share index dropped on top of its 50 day moving average after touch intraday low of 41,497.82 basis points, before retracing higher to 42,265.53bp. It was a session where highly capitalized stocks appreciated in value to close the day higher, after an earlier emotional selling.
Market technicals for the day were strong but mixed, with high buying pressure of 85% on huge volume traded, while selling position stood at 15%. Volume index was 0.57 with money flow index at 26.33 point.

The All-Share index gained 160.66 points to close at 42,148.40 basis points after opening at 41,987.74bp, representing a growth of 0.38% on high traded volume higher than the previous day’s. Similarly, market capitalisation for the day was up by N57.49bn to close at N15.13tr, after opening at N15.07tr which also represented 0.38% value gain in investors’ position.
The upturn in the share value of the medium and high cap stocks like Dangote Cement, UBA, FBNH, Dangote Flour, PZ and Guinness Nigeria impacted positively on the NSE’s Year-To-Date returns, which bounced to 10.12%, just as market capitalisation gain for the period dropped to N1.46tr, representing 11.05% YTD growth.

The benchmark index and all other sectorial indexes were mixed, as market breadth remained negative with decliners outnumbering advancers in the ratio of 37:18. Market activities in volume and value terms were up by 77.69% and 102.59% to 510.28m shares worth N4.63bn from previous day’s 287.18m units valued at N2.29bn.
Transaction volume for the day was considerably boosted by financial services and others stocks like FBNH, Diamond Bank, Jaiz Bank Transcorp and FCMB which witnessed increased trading to top the activity chart as most traded.

The best performing stocks for the day were PZ and Cadbury with 5.00% and 4.97% gain to close at N24.5 and N15.85 respectively, on expectation of full-year earnings, while Conoil and Unity Bank topped the worst performing stock with 9.69% and 9.20% respectively to close at N35.5 and N1.48, on serious profit booking.

TODAY’S OUTLOOK
The changing pattern in the market calls for changes in investors/traders strategies to play the earnings season, also expect short term positioning for Q4 earnings reports and volatility to continue as traders jump into the market on low price attraction ahead of dividend declaration. The relatively low interest rates in the money market and sell-off in the bond market will boost inflow into stock market as fund managers play earnings season for quick returns target high dividend yield stocks,
However, we would like to reiterate that investors should go for equities with intrinsic value, especially during this season that dividend payment is approaching.

We advise investors to allow numbers guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08028164085.

Get your home study pack on INVEST 2018 Traders & Investors Summit and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable. You can also still access stocks analysed in the home study pack of the INVEST 2018 traders & investors summit, which includes 15 stocks picks for 2018 are available now to guide your positioning as trading for the year just started.

Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available, you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467, 08028164086 or 08111811223.

http://investdata.com.ng/2018/02/low-money-market-rates-bond-sell-offs-may-boost-inflow-stock-market-ahead-earnings-season/#more

CBN Reviews Guidelines For N200bn Commercial Agric Scheme, Includes Non-Interest Banks


The Central Bank of Nigeria (CBN), on Tuesday, February 20, 2018, announced a review of its Commercial Agriculture Credit Scheme (CACS) guidelines to include Non Interest Financial Institutions (NIFIs).
In a circular signed by Kevin N Amugo, the director, Financial Policy and Regulation Department, the CBN said the review is “to deepen access to finance and reduce exclusion rate.”

The CACS was established by the CBN and the Federal Government of Nigeria, represented by the Federal Ministry of Agriculture and Rural Development (FMARD), as part of its developmental role to promote commercial agric enterprises in the country, being a sub–component of government’s Commercial Agriculture Development Programme (CADP).
The scheme is being financed from the proceeds of the N200bn three-year bond raised by the Debt Management Office (DMO) to be made available through participating banks to finance commercial agric enterprises.

Specifically to the non-interest financial institutions, financing are to be long-term for projects under the target activities, agricultural commodities and value chains and the tenor “for the Restricted Profit Sharing Investment between the CBN and the NIFI shall be for the maximum term specified for financing of projects under the original scheme, which is seven years (but should not exceed the exit date of the scheme).”

According to the guidelines, the scheme is expected to “terminate on September 30, 2025.”
Also, “maximum tenor for financing of projects by NIFIs under the window is to run concurrently with the period described above,” while working capital facility shall have a one-year tenor with a provision of roll over not more than twice or a maximum of three years.
Furthermore, the guidelines specify a moratorium commensurate with the gestation period of the project, just as non-interest window shall be a two-tiered structure between the CBN and the NIFI on one side, with a restricted Profit-Sharing Agreement (Restricted Mudaraba) executed between both institutions.

“The CBN, as Capital Provider disburses the funds for investment by the NIFI as the Implementing Party, based on a Business Plan commitment to be signed by the NIFI committing itself” to such terms as that the investment shall only be for financing of projects under the target activities, commodities and value chains; have an overall target profit rate of 9%, with sharing ratio of 2:7, with the CBN taking 22%, and the NIFI, 78%.

The NIFI shall also commit itself to achieving a target profit rate of 2% accruing to CBN, while the “NIFI finances the customer (Client) using CBN approved non-interest financial contracts appropriate with the type of financing requested, like Murabahah, Salam, Istisna’, Ijara, Wakalah, etc.”
Repayments under the facility are to be amortized; even as the NIFI would bear the credit risk of repayment by investor, and the collaterals pledged by the borrowers are to mitigate that risk.
The guideline lists eligible collateral under the window to include FGN Sukuk; CBN Non-Interest Liquidity Management Instruments (such as CBN Safe Custody Account (CSCA), CBN Non-Interest Note (CNIN) and CBN Asset-Backed Securities (CABS); Sukuk backed by the guarantee of the Federal Government; Sukuk given regulatory treatment by the CBN; and any other securities acceptable to the CBN.

To become eligible for the funds which has been set up to complement the apex bank’s other special initiatives in providing concessionary funding for agriculture such as the Agricultural Credit Guarantee Scheme (ACGS) mostly targeted at small scale farmers, Interest Draw-back Programme, Agricultural Credit Support Scheme and other similar development initiatives, NIFIs are to sign Participation Agreement with the CBN.

http://investdata.com.ng/2018/02/cbn-reviews-guidelines-n200bn-commercial-agric-scheme-includes-non-interest-banks/#more

The most anticipated financial investment workshop and training session organized by Investdata Consulting Ltd will be live this weekend. Attendees are treating to the "ABC of Technical Analysis for the Novices and Advance Traders".

Therefore, when you attend this Practical ABC Technical Analysis conference, you would learn how to trade such that you become one of the lucky 10%, who manage to consistently play the market profitable by themselves through our SIMPLE trading strategies and buy & sell signal setup.

This chart summit is designed specifically for those who:
• Jump out of profit position in fear of giving profits back?
• Indecision in pulling the trigger because you fear the prospects of a loss?
• Holding on to losing positions because you fear taking the loss?
• Trading often leads into unplanned trades because you fear leaving money on the table?
• Small trade size or investing small amount because you’ve just had a large loss?
• Increasing you position size to try and make up for past losses?

Do not be left out

The workshop is scheduled as follows:
DATE: February 24. 2018
TIME: 10am – 3.00pm
VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.


For more enquiries about the programme, please call 08032055467, 08179547605, and 08111811223.
Ambrose Omordion
CRO|Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467

Investors On Nigerian Bourse Await More Earnings To Confirm Market Sentiments, Next Moves


Market Update for February 21

Trading on the floor of the Nigerian Stock Exchange on Wednesday was volatile once more, closing flat, following through the previous session, just as it proof very resilient to remain above the 42,000 level, despite the mixed sentiments during the trading session.
The NSE composite index was up pre-market, but opened higher, sustaining the momentum within the mid-morning to midday at 42,241.04 which was the day’s high, before rallying to resistance, pulled back and consolidated. It broke out in the morning and ran up into the last couple of hours when it consolidated, but held, and closed in the green column on improved volume traded but negative market breadth.

The NSE All Share index was up 9.92 at 42,158.32, which was 96.34 points off its intraday high, even as the market struggled for direction with the changing pattern as observed so far.

Investors and traders should therefore combine fundamentals of the market/companies and index/price action to manage their risk at this time, while protecting their funds.
It does seem the composite NSE index, as at close of mid-week’s trading, is forming a double bottom chart pattern that supports uptrend which would be confirmed by the outcome of Thursday’s trading. The unstable market trends after a major correction in a pre-earnings season mode reveals that news and analysis of the implications of the Central Bank of Nigeria (CBN) dividend payout policy for banks in the country, among other factors like the expected numbers may have been discounted by traders, who are now waiting for the actual figures for the next line of action. This suggests that investors should stay with value inherent stocks and companies with high possibility of growing their dividend payout. Already, the news has made Dividend Yield of some of the banks higher than periodic returns in the money and bond markets.

For example, return on the 90-day savings bond is 3.25%, while Dividend Yields of some stocks are above 4% in less than a month, despite the risk associated with equity investing. The expected actual numbers and dividend payout will determine how fund managers will play this earnings season since the period is a declaration season for December year accounts. It means that it is only this earnings reporting season and crude oil prices that can save the market from further nose-diving at this time of the year.

Market technicals for the day were mixed, with high buying pressure of 54% on high volume traded, while selling position stood at 46%. Volume index was 0.65 with money flow index at 25.60 points.
The benchmark All-Share index could only gain 9.92 points to close at 42,158.32 basis points after opening at 42,148.40bp, representing a slight growth of 0.02% on high traded volume higher than the previous day’s. Similarly, market capitalisation for the day was up by N3.57bn to close at N15.13tr, representing 0.02% value gain.

The marginal upturn in the share value of the low, medium and high cap stocks like FBNH, UBA, Dangote Flour, Flourmills, Access Bank, Guaranty Trust Bank, Zennth Bank, ETI, Dangote Sugar and Unilever impacted positively on the NSE’s Year-To-Date returns, which bounced to 10.24%, just as market capitalisation gain for the period dropped to N1.52tr, representing 11.17% YTD growth.

The All Share index and other sectorial indexes were mixed, as NSE Banking, NSE Insurance and NSE Pension closed 1.06%, 0.70% and 0.21% higher for the day respectively, while the NSE AseM remained flat. Market breadth remained negative with decliners outweighing advancers in the ratio of 30:21, volume and value for the day were up 11.75% and 15% to 570.26m shares worth N5.33bn, from previous day’s 510.28m units valued at N2.29bn.

Transaction volume for the day was considerably boosted by financial services and conglomerates stocks like Custodian Allied, FBNH, Fidelity Bank, FCMB and Transcorp which witnessed increased trading to top the activity chart as most traded.
Japual Oil and Champion Brewery topped the day’s advancers log with 5.71% and 4.81% gain to close at N0.37 and N2.83 respectively, on market forces, while Conoil and Unic Insurance topped the decliners log with 9.58% and 6.25% respectively to close at N32.10 and N0.30, on profit taking and market forces. Specifically, demand for the shares of Japaul remains in high demand arising from news of a planned buy-in by a new foreign investor and its possible entry into the mining sector, situations that could significantly change the company’s dynamics.

TODAY’S OUTLOOK
Arising from the forgoing, investors/traders are expected to change their strategies in line with the changing market pattern and reality. With the submission of audited financials by NB and Transcorp Hotels (READ) already, other early filers like Nestle, FO, Africa Prudential and Ucap are expected to hit the market in the remaining trading session of the week or early next week. We also expect short term positioning for Q4 earnings reports and volatility to continue as traders goes in and out of position at any time especially as market pattern is changing and prices are relatively low ahead of dividend season.

The relatively low interest rates in the money market and sell-off in the bond market will boost inflow into stock market as fund managers play earnings season for quick returns target high dividend yield stocks,
However, we would like to reiterate that investors should go for equities with intrinsic value, especially during this season that dividend payment is approaching.
We advise investors to allow numbers guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.

It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08028164085.
Get your home study pack on INVEST 2018 Traders & Investors Summit and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable. You can also still access stocks analysed in the home study pack of the INVEST 2018 traders & investors summit, which includes 15 stocks picks for 2018 are available now to guide your positioning as trading for the year just started.

Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available, you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467, 08028164086 or 08111811223.

http://investdata.com.ng/2018/02/investors-nigerian-bourse-await-earnings-confirm-market-sentiments-next-moves/#more

Delay Sub-Regional Currency Integration Beyond 2020, Buhari Urges ECOWAS

Citing the lack of preparedness by some member countries and clear disparities in their macro-economic conditions, Nigeria’s President Muhammadu Buhari, wants the Economic Community of West African States (ECOWAS) to slow down the sub-region’s planned currency integration earlier scheduled for 2020.

He called for a review of the fast-track approach to monetary integration and the harmonization of plans by ECOWAS members with that of the African Union Programme of monetary convergence that had recommended a convergence deadline of 2034 for the establishment of Regional Central Banks in all sub-regions of the continent.

Buhari also drew attention to the issue of credibility of the union if anchored on watered down criteria and other major issues of concern that members must examine in order to make progress.
Speaking at the 5th meeting of the Presidential Task Force on ECOWAS Currency Programme in Accra, Ghana, on Tuesday, Buhari, who was represented by Godwin Emefiele, governor of the Central Bank of Nigeria (CBN), noted that ECOWAS Heads of Government had not been adequately briefed on the full implications of forcing through the integration by 2020, particularly where some countries were not individually ready domestically.

Also important, he noted, is the fact that Heads of Government had not properly articulated and analysed a comprehensive picture of the state of preparedness of individual countries for monetary integration by 2020.
While pointing out that there were still outstanding issues in the roadmap to an integrated currency union, he noted that the macro-economic fundamentals of many countries in ECOWAS were diverse and uncertain. He also noted that the inflation targeting regime recommended as framework was not feasible as it was based on adoption of a flexible exchange rate regime. He equally noted that real convergence was nowhere near achievable despite efforts made so far.

President Buhari therefore called for a push towards ratification and domestication of legal instruments and related protocols, and the harmonization of all fiscal, trade and monetary policies and statistical systems, with a view to limiting the extent of current policy divergences.
He also advised that the West African Economic and Monetary Union (UEMOA) countries to make a presentation on a clear roadmap towards delinking from the French Treasury.

President Buhari also used the occasion of the meeting to call for the establishment of an Ombudsman with powers to invoke sanctions when member countries are in breach of agreed standards, protocols and convergence criteria.
The Nigerian President also called for the transformation of the West African Monetary Institute (WAMI) into a West African Monetary Zone Commission, equivalent to the UEMOA Commission, stressing that his proposal of merging WAMI and WAMA, by the ECOWAS Commission into the ECOWAS Monetary Institute would be very critical in achieving monetary union in the West African sub-region.

http://investdata.com.ng/2018/02/delay-sub-regional-currency-integration-beyond-2020-buhari-urges-ecowas/#more

Mixed Performance As Profit Taking May Resurface, Amidst Repositioning Ahead Expected Numbers


Market Update for February 22

Nigeria’s stock market had a very positive Thursday to continue its volatility and followed up previous day’s recovery as more 2017 full year earnings reports are expected to roll in with dividend declaration that will support the seeming retracement in the market. It appears that the bears are gradually losing grip of the market to usher in an uptrend. The NSE index retraced up after touching its 50-Day Moving Average to trade above the 50 and 100-Day moving averages, price support, and trendlines. The rest of the day’s trading session was basking in positive sentiment as reflected in the market breadth, despite the low traded volume that signaled market expectation of these numbers.
During the session also the index hit intraday highs of 42.292.85 from lows of 42,158.32 points and at the same time forming a symmetrical triangle chart pattern that supports continuation or trend reversal. The day ended near the session highs, which is a good close to keep the bull transition.

Oil was among the biggest movers of the day, helped by the U.S. inventory numbers reported yesterday, at a time the market was expecting an inventory build-up, but instead got a large drawdown in supply. This is expected to further boost oil prices and impact Nigeria’s market positively to support the expected full-year numbers. Crude oil oscillated around $50 just a few months ago and today, is above $60. Even so, this bullish wave has not subsided at all, as the Organisation of Petroleum Exporting Countries (OPEC) continues to stick with its deal on production cuts as part of efforts to stabilize price. Over the past 11 months, 142m barrels have been taken out of the U.S. market, representing about 11% of the inventory.

Remember, last year, one of the best research-driven commodities funds on the planet, led by the star commodities investor Leigh Goehring and his long-time research head Adam Rozencwajg. They do some of the most thorough supply/demand work on oil and broader commodities. They have been pounding the table on the fundamental case for $100 per barrel oil. And they think we will see it this year.

They say demand is raging, as supply is faltering while the world has overestimated what the shale industry is capable of producing. In all of this, they believe the market is leaning heavily the wrong way (i.e. “maximum bearishness”). They think we’ve hit the tipping point for prices–where we will see the price of oil accelerate.
Recently, they noted: “We remain firmly convinced that oil-related investments will offer phenomenal investment returns. It’s the buying opportunity of a lifetime.”
However, if we do indeed see oil prices start to accelerate, we will likely see the inflation data accelerate with it.
Back home, Nigeria’s equity market technicals for Thursday were strong but mixed, with high buying pressure of 75% on low volume traded, while selling position stood at 25%. Volume index was 0.40 with money flow index at 23.85 point.

Meanwhile, the composite NSE All-Share index gained 100.46 points to close at 42,158.32 basis points, representing a growth of 0.24% on lower traded volume than the previous day’s. Similarly, market capitalisation for the day went up by N36.05bn to close at N15.17tr, afteropening at N15.13 trillion which also represented 0.24% value gain in investors’ positions.

The upturn was sustained by price appreciation recorded by Total, UBA, Dangote Flour, Flour Mills, Access Bank, UBN, Nestle, Lafarge Africa, Zennth Bank, ETI and FBNH, all of which impacted positively on the NSE’s Year-To-Date returns, as it bounced to 10.50%, just as market capitalisation gain for the period stood at N1.56tr, representing 11.43% YTD growth.

The All Share index and other sectorial indexes closed higher, except for the NSE Consumer Goods that slipped 0.34% lower, while the NSE AseM remained unchanged. Market breadth turned positive as advancers outnumbering decliners in the ratio of 24:17. Market activities in volume and value terms were down by 40.01% and 41.89% to 342.1m shares worth N3.09bn from previous day’s 570.26m units valued at N5.33bn.

Transaction volume for the day was boosted by financial services stocks like Fidelity Bank, Skye Bank, FBNH, FCMB and UBA, which witnessed increased trading to top the activity chart.
At the end of the trading session, Japual Oil and Wapic Insurance topped the advancers table with 5.41% and 4.92% gain to close at N0.39 and N0.64 respectively, on market forces, while Unic Insurance and Courtville Business Solution topped the decliners table after shedding 6.67% and 4.56 % respectively to close at N0.28 and N0.34, on market forces and impact of the new pricing rule.

TODAY’S OUTLOOK
Being the last trading day of the week, expect mixed performance as profit taking may resurface while repositioning ahead of Q4 numbers continue, especially as these early filers Nestle, FO, Africa Prudential and Ucap are expected to hit the market today or early next week. We also expect oil price oscillation and market volatility to continue as traders goes in and out of position, especially with the market pattern changing and prices are relatively low.

The relatively low interest rates in the money market and sell-off in the bond market will boost inflow into stock market as fund managers play earnings season for quick returns target high dividend yield stocks,
However, we would like to reiterate that investors should go for equities with intrinsic value, especially during this season that dividend payment is approaching.
We advise investors to allow numbers guide their decisions while repositioning for the rest of the year’s trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.

It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08028164085.

Get your home study pack on INVEST 2018 Traders & Investors Summit and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable. You can also still access stocks analysed in the home study pack of the INVEST 2018 traders & investors summit, which includes 15 stocks picks for 2018 are available now to guide your positioning as trading for the year just started.
Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available, you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467, 08028164086 or 08111811223.

http://investdata.com.ng/2018/02/mixed-performance-profit-taking-may-resurface-amidst-repositioning-ahead-expected-numbers/#more

CSR: UBA Foundation Commissions Usman Danfodiyo University Pedestrian Bridge


Photo Caption: UBA’s Executive Director, North, Ibrahim Puri; Vice Chancellor, Usmanu Danfodiyo University, Sokoto (UDUS), Prof Abdullahi Abdu Zuru; the bank’s GMD/CEO, Kennedy Uzoka; Secretary to the State Government, Prof Bashir Garba; and representative of the Sultan of Sokoto, Sarkin Yaki Biaji, Alhaji Kabiru Usman, at the commissioning of the pedestrian bridge built and donated to the university by UBA Foundation, on Monday.

The United Bank for Africa Plc on Monday commissioned and handed over a pedestrian bridge constructed by UBA Foundation, its Corporate Social Responsibility Arm for the use of students of the Usman Danfodiyo University, Sokoto State.

The N13m bridge was commissioned by Governor Aminu Waziri Tambuwal, is coming over four decades after students of the institution, especially those living off-campus had experienced difficulty connecting the campus as the area was impassable, especially during rainy season.
The bridge is in fulfillment of a promise made by the bank’s chairman, Tony Elumelu in August 2017, at the National Dialogue Series organised by the Students’ Union Government (SUG) of the school, when he acceded to a request by the students to come to their aid.

At the opening ceremony of the newly constructed bridge, the UBA GMD, Kennedy Uzoka expressed delight at the prompt completion of the project and reminded the students that UBA remained committed to easing the daily challenges of the citizens, and especially students living within and beyond its areas of operations.

The bank’s core values of excellence, enterprise and execution – is aimed at putting the customers and society first, a situation he said prompted the intervention, adding that customer satisfaction and giving back to the people were focal points for the bank and the UBA Foundation.
According to Uzoka, “as an institution, we are passionate about giving back to society through UBA’s Foundations’ components: Empowerment, Education and Environment. This construction falls under the area of education and environment. We want to be a role model with uniqueness not by coincidence but by physical commitment ‎and strengthening of our good will in advancing the course of humanity through our foundation. We have been doing this over the years by sponsoring essay competitions and indigent students to institutions across African countries where we operate.

“We believe in meritocracy, industry, entrepreneurship and mentorship of young students to become good ambassadors of the country in their endeavours,” he added.
Also speaking, Governor Tambuwal, who was represented by Secretary to the State Government, Prof Bashir Garba commended Elumelu, the bank and the UBA Foundation for the gesture that adds value to the institution.
He urge other stakeholders to emulate the gesture, noting that education in itself is capital intensive and requires the participation and support of corporate stakeholders to succeed.

Vice Chancellor of the University, Prof Abdullahi Zuru said the philanthropic gesture as built hope and strengthened the value-adding relationship between the institution and the youths.
He assured that the project is vital to the day-to-day movement of students for their daily academic and other extracurricular activities, thanking God that “UBA heeded our call and came through for us in a big way. It is now the shortest way for our students particularly now. We deeply appreciate Elumelu and the UBA family. The edifice which has side lights will serve us in no small way.”

A statement by the banks aid UBA Foundation has in recent past intervened in the infrastructure development of universities across Africa, donating ICT centres, hostels, recreational parks among many others. Beneficiaries of such interventions include Universities of Ilorin, Benin, Lagos, Ekpoma and many others.

http://investdata.com.ng/2018/02/csr-uba-foundation-commissions-usman-danfodiyo-university-pedestrian-bridge/#more

Photo News: Emefiele Receives 2017 THE SUN Public Service Award


Caption: Governor of the Central Bank of Nigeria (CBN) Godwin Emefiele receiving the 2017 Sun Public Service Award from Gombe State Governor, Alhaji Ibrahim Dankwambo, while Chief Uzor Orji Kalu, former Abia State Governor in Lagos on

Saturday.http://investdata.com.ng/2018/02/photo-news-emefiele-receives-2017-sun-public-service-award/#more

Best Performing Stocks On Earnings Reaction


Looking closer at the market’s reaction to earnings reports released in Q1 2017 will give an insight into what to expect of the 2018 full year season when presented to the Nigerian Stock Exchange (NSE), all things being equal, as Economists would say, considering the ongoing economic recovery as the monetary and fiscal authorities try to complement each other at this point.
It must however be noted that the market situation today and performance of 2016 are different, given that the factors on ground in the market are very much positive because the Nigerian economy has finally come out of recession and is continuing on the path of recovery and growth. These factors have equally reflected on the market and company fundamentals.
The Nigerian stock market is truly becoming a barometer to measure actually activities in the economy, as some analysts have argued, judging from the fact that it was the first to go into recession long before the Nigerian economy began to exhibit the traits, as it closed negative for three consecutive years. The market’s indicators also turned green month-on-month long before the National Bureau of Statistics (NBS) confirmed Nigeria’s positive GDP growth in the second quarter of 2017.
It would therefore not be out of place to postulate that the NBS GDP data for the 2017 full year would show impressive growth, as has been confirmed by the robust growth recorded by the NSE composite index last year, helped by domestic and foreign capital inflows seeking for best returns.
Investdata Research believes that price movement of equities at the time earnings reports were released to the market should guide investors and traders on what to expect when the full-year numbers eventually come, seeing how the market responded in Q1.
What you discover as market reaction when the full year earnings reports start pouring in beginning from first quarter of 2017 (between January and March) may by surprising.
The table above shows how the market reacted to positive numbers and negative reaction days as the stock’s price declined when the companies presented their 2016 full-year score-cards. The best performing stocks are those that gained the most on their earnings reaction days.
As revealed in the table above, Fidelity Bank ranked first with a huge gain of 25.6% on its earnings reaction for five trading sessions, which means it gained over 5% daily on the average within its first five days; followed by Mobil Oil with a gain of 22.03%, and ahead of National Salt’s 21.41%. Other top gainers within the period under review were: Nestle, Dangote Flour and CAP. Notice also that on the list, Consumer Goods manufacturing stocks occupied the top five positions, except for Fidelity Bank and Mobil. This should give the investing community an insight into where to look for best numbers in the coming earnings season, even as the banking industry remains a honey-pot for discerning investors, especially helped by improved liquidity in the system, powered by the recovery mode of the economy.


The worst performed in earnings reaction days for the period was Forte Oil that topped the table with 18,96 percent, next was Diamond Bank with 13.19 percent followed by May & Baker, Livestock Feed and Dangote Cement.
Let the tables above guide you at this time that prices are relatively high on the strength of liquidity and confidence as you position for expected earnings to know how to set your target if the reports are positive or negative when the market react to it. It is important to set target as every investment is against expectation, if not met exit on time to cut loss and protect your capital.
Big thanks to all the facilitators and participants that made the weekend Chart Summit a huge success, as participants eyes were opened the three tents of technical analysis and how it can enhance traders income, simple trading indicators/tools for successful traders were equally revealed to the participants. Charting of the NSE Index on long term direction movement and short term was carried out to guide investors and traders using technical indicators to know the energy behind funds that are entering the market or individual stocks and when funds are exiting the market.

Here are some of the great feedbacks we got at the end of the summit:
I have not seen a more lucid, concise, organized & insightful trading and investing educational presentations than the chart summit, all the speakers opened my eyes to how to manage risk using TA, despite I have been playing the market since 21 years. Mr Ambrose thank you. Please keep this good work you are doing for Nigerians.
Ikechukwu Olisa.

Ambrose and Tunde presentations were the simplest clearest and best understood of the many that I have heard in my trading lifetime, nearly 25 years, please keep it up. Thanks for your time.
Oyebola Ademola

Invest 2018 home study pack content was what attracted me to attend this chart summit today, it was so good that I just couldn’t stop watching. Today chart summit was the best class I have attended in over 10 years. It’s going to make a big difference in my trading.
Patrick Udo

Thanks Mike for opening my eyes to risk management and portfolio selection using Technical Analysis tools. Thanks to investdata for putting chart summit together for novice and advance traders. It was well presented and right to the point. Again thanks so much for the beautiful presentation. It’s superb.
Musa Ahmed

Chart Summit on technical analysis for novice and advance traders home study pack will be available on Friday for those that have booked for the USB, you can play on your phone, TV and laptop. If you are interested in the pack please send Yes or call 08032055467, 08028164086 or 08111811223.

http://investdata.com.ng/2018/02/best-performing-stocks-earnings-reaction/#more

Volatility, Repositioning To Continue, As All Eyes On Dividend Stocks, Nigeria’s 2017 GDP Data


Market Update for February 26

Trading activities for the week comprising the dying days of the month of February and the first two days of March opened very volatile yet again Monday on the Nigerian Stock Exchange (NSE), with the day closing slightly green to consolidate the five trading sessions of seemingly weak bull charge on improving volume which signaled buying sentiment awaiting the release of more earnings reports that would give the market a definite direction- whether north or south.
So far, the numbers released remain mixed, even as they are yet to beat market expectations, apart from few of companies that grew their dividend payouts. It is important to note that this is why although all the early filer have proposed dividend for their shareholders, the market remains unimpressed and silent as the stimuli so far is no enough to warrant any significant push that it has been waiting for.
The day started out with marginal gap up at the opening, rallying in the mid-morning to key resistance, before forming a symmetrical triangle chart pattern that supports continuation or reversal of trend. At the point of reaching intraday highs of 42,671.04 by the midday, following which profit taking in mainly oil stocks and others that were just rebounding ensued among intraday traders.
The market is still trading above its 50-Day Moving Average and heading to cross over it 20-DMA which will confirm a strong recovery if it happened, especially as earnings reporting season kicked off in earnestly. The three-wave motive that ensued took the NSE Index to 42,671.04 basis points, which was 156.87 points better than the session lows. Only in the last minutes did a slight pullback happen to close marginally up at 42,579.48.
The changing pattern we mentioned an our earlier write ups is lingering as revealed by the market on Monday as it did not react to Africa Prudential’s numbers and 40 kobo dividend, for a company that grew earnings and dividend by 86% and 33% respectively. Meanwhile, the same market reacted almost immediately to United Capital’s dividend payout cut to 35 kobo, resulting in high volume movement by traders.
Market technicals for the day were mixed and weak, with buying pressure of 42% on low volume traded, while selling position stood at 58%. Volume index was 0.48 with money flow index at 33.43 point.
Meanwhile, the composite NSE All-Share index gained 8.59 points to close at 42,579.48 basis points, representing a marginal growth of 0.02% on low traded volume but higher than the previous day’s. Similarly, market capitalisation for the day was up by N3.08bn to close at N15.3tr, which also represented 0.02% value gain.
The recovery trend was sustained by value gain in Zenith Bank, Guaranty Trust Bank, International Breweries, PZ, UACN, NASCON and ETI that impacted positively on the NSE’s Year-To-Date returns, as it bounced to 11.34%, just with market capitalisation gain for the period at N1.68tr, representing 12.14% YTD growth.
The composite index and other sectorial indexes closed higher, except for the NSE Oil/Gas and NSE Industrial Goods that closed 2.25% and 0.17% lower respectively, while the NSE AseM remained flat. Market breadth was negative as decliners outnumbered advancers in the ratio of 26:21. Market activities in volume and value terms were mixed as volume was up by 24.78% to 384.86m shares from previous day’s 308.43m units while value declined by 14.50% to N5.47bn from previous day’s N6.4bn.
Transaction volume for the day was boosted by financial services, Industrial and conglomerate stocks like CCNN, Transcorp, FBNH, Access Bank and Fidelity Bank, which witnessed increased trading to top the activity chart.
Japual Oil and Unity Bank were the best performing stocks for the day by topping the advancers table with 9.52% and 9.40% gain to close at N0.46 and N1,63 respectively on market forces, while Courtville Business Solutions and Caverton emerged as worst performers after topping the decliners table, losing 6.25% and 5.00%% to close at N0.30 and N2.28 respectively, owing to the impact of the new pricing rule and profit taking.
Market Outlook
With February coming to a close and ushering in the peak period of earnings reporting season, expect volatility and strong recovery moves to continue which will be driven by end of the month trading account balancing and more numbers that will hit the market. All eyes are however on dividend stocks and Q4 2017 GDP that will be release by NBS today.
Also, expect volatility and repositioning to continue, while profit taking will reduce on the strength of expected payout and earnings surprises.
However, we would like to reiterate that investors should not panic but go for equities with intrinsic value, especially during this season when dividend payment is ongoing.
We advise investors to allow numbers guide their decisions while repositioning for the year trading activities, especially now that stock prices remain volatile amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. A stock market is in cycles. You must know the cycle it, or particular stocks therein are to successfully manage your trading and investment risk. For stocks that should be on your shopping list to buy in these seasonal changes as the year unfolds, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
Get your home study pack of the INVEST 2018 Traders & Investors Summit and ride with the current recovery on Nigeria’s stock market and economy, thereby ensuring that you invest and trade with knowledge. You can also access stocks analysed in the home study pack of the INVEST 2018 traders and the investors’ summit held on February 24, 2018, including the 15 stock-picks for 2018 are available now to guide your positioning as trading for the year.
Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available, you can play and watch on your mobile phone, laptop, desktop and TV set. Kindly call or send yes to 08032055467, 08028164086 or 08111811223.
Meanwhile, a big THANK YOU to facilitators and participants that made the Chart Summit over the weekend a huge success. The eyes of participants were opened to the three tents of technical analysis and how it can enhance traders income, as well as simple trading indicators and tools for successful traders were revealed. Charting of the NSE Index on short and long term direction movements were carried out to guide investors and traders using technical indicators to know the energy behind funds entering the market, or individual stocks and when such funds begin to exit.

Here are some of the great feedbacks from the just concluded Chart Summit:
I have not seen a more lucid, concise, organized & insightful trading and investing educational presentations than the chart summit. All the speakers opened my eyes to how to manage risk using TA, despite the fact that I have been playing the market for 21 years. Mr Ambrose thank you. Please keep this good work you are doing for Nigerians.
Ikechukuw Olisa, an investor

Ambrose and Tunde’s presentations were the simplest, clearest and best understood of the many that I have heard in my trading lifetime of nearly 25 years, please keep it up. Thanks for your time.
Oyebola Ademola.

The Invest 2018 home study pack content was what attracted me to attend this chart summit today, it was so good that I just couldn’t stop watching. Today’s chart summit was the best class I have attended in over 10 years. It’s going to make a big difference in my trading.
Patrick Udo

Thanks Mike for opening my eyes to risk management and portfolio selection using Technical Analysis tools. Thanks to investdata for putting chart summit together for novice and advance traders. It was well presented and right to the point. Again thanks so much for the beautiful presentation. It’s superb.
Musa Ahmed

Chart Summit on technical analysis for novice and advance traders home study pack will be available on Friday, March 2, 2018, for those who have booked for the USB, you can play it on your phone, TV and laptop. Those interested in the pack should send ‘Yes’ or call any of: 08032055467, 08028164086 or 08111811223.

Ambrose Omordion
CRO|Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 0803205546
http://investdata.com.ng/2018/02/volatility-repositioning-continue-eyes-dividend-stocks-nigerias-2017-gdp-data/

Non-oil Continues To Under-perform, As Oil Lifts Nigeria’s 2017 GDP To 0.83%


In what shows the compelling need to fast-track the diversification of Nigeria’s economy and free it from the vagaries of the oil sector, the 2017Q4 data for the Gross Domestic Product (GDP) revealed that the economy grew by 1.92%, from -1.73% and 1.4% in the 2017Q3, still driven by the sector, which contributes up to 75% of federally collected revenue.

According to data released by the National Bureau of Statistics (NBS) on Tuesday, the Q4 numbers helped 2017 full-year GDP to a 0.83% growth, 2.42% better when compared to the 1.58% contraction in 2016. Real non-oil GDP growth for the year stood at 0.47%, as Q4 recorded 1.45%, up from 0.76% in the 2017Q3; while oil GDP for the period climbed by 4.79%, after soaring by 8.48% in 2017Q4, which was slower than the 25.89% achieved in the prior quarter.
Reacting to the numbers, analysts at Cordros Capital noted that “the growth estimate came in 8 basis points and 34 bps lower than Bloomberg’s compiled average estimate of 2.0% and Cordros forecast of 2.26%. For the full year, real GDP was 0.83% in 2017, compared to -1.58% in 2016.”

The Q4 non-oil sector growth was driven mainly by agriculture (crop), trade and transportation and storage.
Real Q4 year-on-year growth in oil GDP stood at 8.38%, representing 26.08% relative to rate recorded in the corresponding period of 2016, just as growth reduced by -17.5%, as against -25.89% in Q3.
The annual growth of the oil sector stood at 4.79%, up from previous year’s -14.45%; just as it contributed 8.17% of total real GDP in 2017Q4.
On an annual basis, the oil sector grew by 4.79%, compared to the previous -14.45%, just as it contributed 7.17% of total real GDP in 2017Q4, as against the 6.75% and 10.04% contributed in the corresponding period of 2016 and preceding quarter of 2017.

Quarter-on-quarter, real GDP growth was 4.29%, with an aggregate N31.58tr in nominal terms higher when compared to N29.169tr in Q4 2016, resulting in a Nominal GDP growth of 6.99%. Real GDP in 2017Q4 stood at N18.79tr
“This growth is lower relative to growth recorded in Q4 2016 at 12.49%. Nominally, 2017 recorded an annual growth rate of 12.05% higher by 4.25% compared to 2016 annual growth of 7.80%. The broad classification into the oil and non-oil sectors will give a clearer depiction of the Nigerian economy,” the NBS noted.

Meanwhile, oil production averaged 1.91 million barrels per day, down from 2.03mbpd in Q3; which was lower than the 2.05mbpd achieved in 2016Q1.
A breakdown of the real sector contribution to 2017Q4 GDP showed that services contributed the lion’s share of 53.45%; followed by the agriculture sector with 26.18%; while industries recorded 20.38%.

http://investdata.com.ng/2018/02/non-oil-continues-perform-oil-lifts-nigerias-2017-gdp-0-83/#more

Our 3.5% GDP Growth Forecast For 2018 Still Possible- FG


Buoyed by Tuesday’s release of data showing that Nigeria’s 2017 full-year Gross Domestic Products (GDP) grew by 0.83% from the previous year’s 1.58% contraction, the Federal Government says it remains upbeat that the nation’s economy will still achieve its 3.5%.
A statement by the Presidency quoted Dr. Adeyemi Dipeolu, Special Adviser to the President on Economic Matters, in response to the latest GDP figures announced by the National Bureau of Statistics (NBS) as noting the 1.92% Q4 economic growth, faster than 1.4% in the preceding quarter.

The latest figure, he noted marks the third consecutive growth since Nigeria’s emergence from recession in the second quarter of 2017, just as it shows the economy is improving in all major sectors, including especially the non-oil sector which had contracted for quite a while.
Dipeolu, in the statement released by Laolu Akande, Senior Special Assistant to the President on Media & Publicity in the office of the Vice President, expressed satisfaction that while agriculture, industry and services, major economic sectors are now experiencing positive growth.
For instance, he said: “Agriculture, which accounted for 25% of GDP in 2017, grew by 4.23% in Q4 2017; while Industry grew by 3.92%. The Services sector, which is about 53% of GDP, returned to positive growth in Q4 2017. Although the increase was marginal at 0.10, it represented a positive swing of 2.76% points from the level in Q3 2017.

“The other notable element of the data is that the non-oil sector experienced a strong growth of 1.45% in Q4 2017 as compared to a contraction in the previous quarter and the whole of 2016.”
This, he continued, shows steady improvements across the economy, just as there “were strong quarterly growth in crop production, crude oil production, metal ores, construction, transportation, trade, electricity and gas production.

“The positive trajectory for the economy should begin to gain momentum as the multiplier effects of investments in infrastructure, including power, roads, and rail, alongside improvements in the business environment begin to manifest. The agricultural sector is expected to continue its strong showing, while manufacturing should also show sustained growth based on improved availability of foreign exchange and greater backward integration in several of its sub-sectors. Taking all these factors into consideration, the Federal Government estimate of 3.5% growth in 2018 is quite achievable.”

http://investdata.com.ng/2018/02/3-5-gdp-growth-forecast-2018-still-possible-fg/#more