Stock Market Tips For Nigerians

I beg, where is FATHERof2 , wetin be ehm wify number make I call am, to release him.
please Sir the bulls don dey wake up, and your boys don dey confuse where to chop first, the leg abi na the Head!!

Hello Fellownlanders,

Us stock brokers are still in the building oh. Sorry some of us were locked in a cage with bears, some of us travelled for training all year long and just got back 

I work in a very efficient stock broking firm, if you are interested in opening a stock account, verifying your certificates and buying/selling shares with timely and accurate financial advice, I ask you to take a look at our website www.citiinvestmentcap.com

Please dont hesitate to post or contact me if you are interested.


Take care.

Volume and all share index closed today on higher notes,slowly but surely,the train is moving

You're correct, thru the daily emails im gettin from Investor Delight, i can see the figures movin from red to green . . . hope it picks up soon oooo

ACCESS BANK PLC
FULL-YEAR AUDITED RESULTS FOR THE YEAR ENDED 31
MARCH 2009

ACCESS BANK PLC REPORTS 43% INCREASE IN NET PROFIT FOR THE YEAR
ENDED 31 MARCH 2009 TO N22.9 BILLION

LAGOS, NIGERIA – 16 June 2009 – Access Bank Plc, (Bloomberg: ACCESS NL)
(“Access Bank” or the “Bank”), the full service commercial bank with headquarters in
Nigeria and with operations across nine African countries and in the United Kingdom
announces its audited results for the year ended 31 March 2009.
Speaking from the Bank’s headquarters in Lagos, Aigboje Aig-Imoukhuede, CEO of
Access Bank, said: “Through this prolonged period of global uncertainty only those
banks which accurately forecast the changing environment and adapt to the realities of
the time will continue to prosper. I am especially proud to report these excellent results
achieved across all of our business lines and in the face of extremely challenging market
conditions. This year as we mark our 20th Anniversary of business operations we will
continue to entrench the spirit of excellence in our businesses across Africa and the
United Kingdom and everything we do will remain rooted in prudent risk management
and our uncompromising commitment to excellent client service.
Commenting on margin loans and the bank’s financial strength Mr Aig-Imoukhuede
added: “since September 2008 we have commenced steps to derisk and deleverage our
balance sheet thereby insulating ourselves from the systemic risks emerging within our domestic market.
 Between December 2008 and March 31st 2009, we have paid down $1.1 Billion of our foreign currency
trade facilities through internally generated liquidityfrom our regular deposit generation activities.
This proactive action has ensured that we are able to record a strong financial performance, whilst still maintaining the conservative
risk management practices associated with first class financial Institutions. Indeed
throughout last year and up till today, we have had no cause to approach the CBN
expanded discount window nor have we resorted to rescheduling our margin loan
exposures without recognising impairments on them as required by prudential
guidelines”.
The Bank’s Group Deputy Managing Director, Mr. Herbert Wigwe added that “as result
of the equity market downturn we discontinued underwriting and receiving bank activities
and this has led to a contraction in the ‘other liabilities’ balance sheet line.”

Financial Highlights
• Gross Earnings of N104.5 billion, an increase of 81%, compared with prior year
(N57.6 billion March 2008)
• Profit Before Tax of N28.1 billion, an increase of 48% (N19.0 billion March 2008)
• Profit After Tax of N22.9 billion, an increase of 43% (N16.1 billion March 2008) and
ahead of N21.6bn forecast
• Total Assets of N675 billion, down 35% (N1,032 billion March 2008)
• Loans & Advances up 60% to N391.7 billion (N244.6 billion March 2008)
• Deposits and other accounts up 15% N405.7 billion (N351.8 billion March 2008) Shareholders’ Funds up 7% to N184.9 billion (N172.0 billion March 2008) amongst top five Nigerian banks
• Strong capital adequacy ratio of 35%
• Cost/income ratio steady at 53.4%, (52.2% March 2008)
• ROA 14.2% (11.0% March 2008)
• ROA 3.2% (1.6% March 2008)
• EPS 141 kobo (131 kobo projected March 2009)
• Proposed DPS of 70 kobo (65 kobo March 2008) subject to shareholder approval at
AGM scheduled on 14 July 2009

Sustained growth levels across all 3 main divisions
• Institutional banking profit before tax N11.9 billion (N8.2 billion March 2008).
Commenting on performance, Okey Nwuke, ED of Institutional Banking, said:
“Institutional banking grew its market share despite the increasingly challenging
operating conditions throughout the year. We achieved a 45% year on year profit
growth through a combination of product depth, understanding of customers’ needs
and good distribution strength hinged on a value chain model that is second to none
in the industry. During the year we executed a number of landmark loan syndications
for clients such as Dangote Group and Mobil Nigeria.”
• Commercial banking profit before tax up 43% to N7.0 billion (N4.9 billion March
2008). “New products and our renowned value-chain model led to vigorous account
sign-on during the year,” said Obeahon Ohiweri, ED Commercial Banking.
“Our Project Five Star 5* Service delivery initiative has significantly improved relationship
management while branches opened last year are now operating at full capacity and
gathering much more momentum in terms of business development. This trend has
continued even in the new financial year. Meanwhile, the division also successfully
harnessed FX opportunities that arose from recent turbulent markets.”
• Investment banking profit before tax up to N6.0 billion (N5.0 billion March 2008)
representing 19% growth. “In October and November last year during the period of
extreme currency volatility, we actively engaged with our customers to fully optimize
their working capital, manage their foreign currency exposures and help mitigate their
risk exposures. Our pro-active approach to FX trading in turbulent markets helped
boost the division’s performance and cushion the slowdown in capital market related
activity. We also maintained our leadership in domestic fixed income trading with a
total of 16,000 transactions valued at N1.6 trillion over the year. We expect trading to
continue to drive core performance in the short-term. From an operational
perspective this year marked the establishment of our new Asset Management
subsidiary and the full integration of our Share Registration and Data Management
Company – United Securities Limited” said Ebenezer Olufowose, ED Investment
Banking.
•Retail banking profit before tax grew by 63% to N1.2 billion (N0.7 billion March 2008).
“Profit growth from the retail banking unit in the past year demonstrates our ability to
match innovative products with profitable customers in the retail space and has
vindicated our investments in cutting edge product management infrastructure.
Moving forward we see growth in the e-payment market space and will continue to
build strong partnerships and alliances in order to optimize emerging opportunities in
this area” said Victor Etoukwu, Division Head Retail Banking.

Operational Highlights
• Commencement of banking operations in 8 countries including the UK
• Increased headcount to over 1,434 (1,067 at March 2008)
• Steady operational efficiency performance as measured by the cost/income ratio
• Reduction of the non-performing loan ratio to 2.1% (3.7% at March 2008)
• Full adoption of the International Financial Reporting Standards (IFRS)
Investor Relations Developments
• First Nigerian Bank with post January 2009 year end to publish audited financial statements
• Notice of AGM and publication of audited financial statements scheduled for release
Wednesday 17 June – just ten weeks following year end
• Financial Statements in line with Nigerian GAAP for 2009 and financial statements in line with
IFRS for 2006, 2007, 2008 now available on the bank’s website (2009 IFRS financial
statements to be published shortly following conclusion of external audit review).

SIGNED
AUSTIN EDOJA-PETERS
HEAD, PUBLIC RELATIONS

http://www.proshareng.com/trainingGallery.php

Stock Market Loses as CBN Audits Margin Loans
By Ayodele Aminu and Goddy Egene, 06.25.2009

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The Nigerian stock market shrunk by 6.9 per cent within three days following pressure by banks to minimise margin loan losses as well as panic sale by other investors who are said to have reacted to the decision of the Central Bank of Nigeria (CBN) to audit the loans.
The market, which witnessed significant recovery from last April till the beginning of this month, had opened trading last Monday with a fall of 0.9 per cent.
By last Tuesday, the decline was 2.5 per cent before a heavy fall of 3.5 per cent yesterday.
The Nigerian Stock Exchange (NSE) All-Share Index, which is the major barometer for the performance of the market, closed at 26,927.65, down from the opening value of 28,910.19.
Also, the NSE capitalisation, which measures the value of equities, closed at N6.141 trillion, indicating a fall of N452 billion in three days.
Indications also emerged yesterday that three of the big banks have withdrawn their funds from the inter-bank market – where banks borrow from one another to cover their positions – for investments in Treasury Bills and government bonds and Open Buy Back, with a view to shoring up their liquidity for the December 31 common year end for all banks in the country.
Market operators said the sudden bearishness of the market resulted from a combination of many factors including selling-down by some banks to reduce losses in their margin loans -  in reaction to three issues raised by the Central Bank of Nigeria (CBN) governor, Sanusi Lamido Sanusi, in an interview with the Financial Times of London.
These issues are: 100 per cent provisioning for margin loans; possibility of another round of consolidation and removal of CEOs that cook their books.
But the governor, who noted that the market had been on the decline before his statements, told THISDAY yesterday that he was undeterred by these developments – because his primary responsibility is to have safe and sound financial institutions.
He said: “If the market marks down bank shares because of reforms, I cannot really help it.
“I am not going to compromise on the altar of the share prices. I think [my] comments should be viewed as positive from the investor perspective because it would institute improved regulation and banking operations in the country.
“It is sad if there are investors who are not happy that the regulator is trying to institute reforms. However, that would not deter me from instituting improved transparency and regulation in the banking system.”
Commenting on these developments, a senior stockbroker said: “Given the fact that the CBN Governor has said banks should disclose their margin loan exposure with the view to making provisions for them, some of the banks are taking advantage of price growth witnessed in the market recently to reduce their losses. That move by the banks at the same time is putting the market under pressure.”
Another broker said that the comments by the World Bank that the Nigerian banking system was under stress, as well as Sanusi’s comments, are sending panic to some investors.
“When the CBN governor makes a statement, it is taken very seriously, considering the relationship between the money and capital markets and given the fact that the banks constitute over 60 per cent of the market capitalisation. Investors are bound to react to such comments by the CBN boss,” another operator said.
The Managing Director of Crane Securities Limited, Mr. Mike Ezeh, said: “Apart from the usual profit-taking, since the market is information driven, any comments that affect listed companies, whether banks or manufacturing firms, are supposed to reflect in the stock market.”
However, the Managing Director of Partnership Investment Company Limited, Mr. Victor Ogiemwonyi, said a bear market was not unexpected given the fact that some banks are preparing for their half year results, while others are trying to align with the December 31 uniform year end stipulated for all banks.
He said: “June 30 is around the corner and companies who have that date as their second quarter or year end are coming together. Apart from the usual month end expenditure pattern that brings in only seller, June is particularly difficult as most institutional investors and banks adjust their books in anticipation of year end.
“The market was not helped by the recent reports that our banks may be weaker than we anticipated. There is also the suggestion that the pent-up sale orders that were held back in the last few days may also have impacted the market yesterday after the limit order was lifted. What investors need to know is that the worst is over for the market. We will need a few more months for the market to stabilise.”
However, a source in the stockbroking arm of one of the banks linked the bearish trend in the past few days to cautious approach by market speculators who are trying to guide against losing the capital appreciation recorded in the past two months.
The source explained that such speculators are not sure of the sustainability of the bull run witnessed recently.
“They want to make sure that what they have gained is not lost. That is why some of them are selling and when there is more supply than demand, prices tend to fall. That is what is happening,” the source said.
About 20 banks recorded price losses yesterday, indicating that banking shares, which constitute more than 60 per cent of the market capitalisation, are being dumped.
Some of the banks had recorded capital appreciation of over 30 per cent since the market began to recover last April.
On the movement of funds from inter-bank market, Sanusi told THISDAY: “This had been on for a while and was not as a result of any statement attributed to me. The CBN has been aware of the decline in  inter-bank lending and will introduce  the necessary measures to restore confidence in the inter-bank market.”


In the words of Alariwo,yawa go gasss,breeze wan blow and we go soon see plety fowl nyash

The prices r already taking a nose-dive, only 7 shares gained on wednesday, only 8 shares gained on thursday. . .  Something is seriously wrong - so wrong that my broker called for a mandate to sell off my access bank shares with immediate effect.

Dy-no-mite PING 


Just wait for the approach of the year end,I'm really chilling and watching very closely so I can make some entries few weeks to a few months after their uniform year-end(once it's implemented,I'm not putting it beyond the egg-heads at the CBN to announce a postponment)

This one pass small small entrance,it's actually going to be an invasion,but the interesting thing is there are profit takers who entered around May and they are smiling all the way to the banks

So whether small small entrance or invasion,there's always a silver lining somewhere,it all boils down to what I'll call opportunity

Interesting times are really ahead with Sanusi holding sway @ CBN

hello my fellow investor i think what we need before investing in stockmarket is 70 percent of phsycology, 20 percent of money management, and 10 percent of system.but how many investor know this and make use of it,because a lot of people leave all their destiny in the and of another person, my own opinion is that if you want to win or lose money inthe  market you have to know who you are,what you want,and what you are willing to give in other to get what you wantand then you need patient, i mean patient before you buy by waiting for better oppourtunity whenfund managers and other investor are selling what they are not suppose to sell for fraction of what they worth,not when you buy and the market is coming down.that is why investor need to equip himor herself by reading aquality books on investin and listen those who know the game not those who are lost so much money in stocks and still continue organise seminar on how to make money short tem in this market when they are still loosing so much moneyyyyyyyyyyy.my one of my mentor use to say if they give you 7years to cut tree then ue 6years to sharp your axe so it will be easier for youto cut the treewithing 1 year witout much stress,let invest in our self before before inves in stocks.

                      A tale of many bank ratings

By Clara Nwachukwu


July 1, 2009 05:08PMT
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Lack of transparency and non-disclosure of exposures to margin loans have subjected the Nigerian banking system to conflicting ratings by some financial rating institutions in the recent times.

The Nigerian public believes that banks' exposures could be more than the estimates of the Central Bank of Nigeria (CBN) which put it at between ₦800 billion and ₦1.2 trillion as at the end of 2008, given that the Capital Market is believed to have lost over 65% of its market value or an estimated ₦8 trillion ($54 billion) since March 2008, according to TheAfrica Report, a Paris-based publication of Groupe Jeune Afrique, reputed as France's third largest press export, which classified only four of 24 banks in Nigeria as strong.

The classification has created panic among Nigerian banks, especially those classified as "shaken" and "stressed," as reports indicate that bank customers are poised to make sudden decisions based on the strength or weakness of their banks.

Reactions to the ratings

Critics of the report say the criteria used in arriving at the ratings were not specified and therefore cannot be relied upon, adding that these should have been specified so that the report would not be seen as biased.

Bismack Rewane, the Managing Director, Financial Derivatives, a Lagos-based economic intelligence outfit, said he could not comment on the strength or otherwise of the report because he did not "know the assumptions used in arriving at the conclusions."

In his opinion, some of the ratings are at variance with other recent industry ratings, such as the one released by Fitch Ratings Ltd, a global rating agency, which says it is committed to providing the world's credit markets with independent and prospective credit opinions, research, and data. Mr. Rewane argues, "The findings should have looked at the exposures relative to the earnings and profit. I don't have a problem with the report in itself, but it is at variance with that of the Fitch rating of Nigerian banks. For me, I will place greater reliance on the Fitch rating because the criteria were specific."

He further notes that The Africa Report failed to distinguish between profitability, illiquidity and insolvency, saying, "These are different issues and in my own opinion, there are no illiquid or insolvent banks in Nigeria, because the CBN has said it would not allow any bank to fail and that their capital base are still strong."

Taking a cue from this line of argument, a top management staff of UBA Plc one of the nine banks classified as "satisfactory" notes, "To rate a bank you must use certain indices such as deposit base, loan portfolio, and profit ration. I have not heard of any bank in any branch, irrespective of the rating where customers cannot cash their cheques, no matter the value. When this starts happening, then you can begin to suspect distress."

The UBA source cautioned rating companies against random ratings without specifying the criteria so as not to cause panic in the financial services sector, adding that the banking industry was very important in economic growth.

A top official of GT Bank, one of the four rated as "strong," who refused to be quoted, also called for caution among rating agents, saying, "There have been so many bank ratings lately. There is the Fitch rating, JP Morgan, Akintola Williams Deloitte and Touché, and there with the others, and the ratings depend on the criteria used so a bank considered as strong in one rating could be judged as distressed in another."

He went further to say that the bank, irrespective of its ratings, has always prided itself on "the quality of our assets, costs to income, return on equity and efficiency ratios, which are usually positive."

Only one of the banks rated by The Africa Report as "shaken" or "stressed", Access Bank, responded to NEXT enquiries. A spokesperson for the bank said that there was no basis for the categorization. "What facts do they have from the CBN to support their claims? Nobody contacted us on any issue as such we have never had any liquidity or capital adequacy issue with the Central Bank."

Mr. Rewane noted that exposures alone could not determine the health of any bank, saying, "Certainly it would affect their profitability, but if the exposures have been provided for, when the capital market recovers, they will recover some of their values."

GT Bank on its part believes "the industry is still strong irrespective of the margin exposures, and there is no need for customers and investors confidence to be shaken."

But First Bank, also one of the four "strong" banks, thinks that such rating only goes to confirm the strength of the bank as a leader. A spokesperson for the bank, Helen Ogboh, said, "Even though we do not know what the criteria they used to arrive at their judgment, it just goes to confirm that we have maintained our lead over the years. We heard about the report yesterday [Monday] and today [Tuesday] we read it in some of the national dailies and we feel excellent that we are rated strong."


The Africa Report

Although the publishers of the report were still working out their response with regard to the criteria for the rating at the time of publication, they say on their web site: "The Africa Report covers issues closest to the hearts of Africans and international investors alike accurately, incisively and comprehensively. The Africa Report goes beyond the headlines to give you in-depth reportage and analysis from writers who know their way around Africa's fast-changing worlds of business and politics."

The report says the performance of the banks follows the fall in the prices of oil and the crash of the capital market, adding, "Some hold the CBN governor, Charles Soludo, responsible for allowing a host of bad banking practices to go unchecked. Fortunately, a growing number of banks are beginning to equate more transparency with better returns."

Below is the report's classification of Nigerian banks

STRONG BANKS

Diamond Bank
First Bank
GT Bank
Skye Bank


SATISFACTORY BANKS

Afribank
Citibank Nigeria
Equatorial Trust Bank
Fidelity Bank
Platinum Habib Bank
Stanbic IBTC
Standard Chartered Bank
United Bank for Africa
Zenith Bank


SHAKY BANKS

Access Bank
Ecobank Nigeria
First City Monument Bank
Intercontinental Bank
Oceanic Bank
Sterling Bank
Union Bank

STRESSED BANKS

First Inland Bank
Spring Bank (pending takeover appeal)
Unity Bank
Wema Bank

 

My BIG question is wherever did TAR get their facts from,admitted,so many of our banks are so exposed as a result margin loans,upstream/downstream petroleum financing,telecom facilities etc,but this whole report to me is a load of crap that I think the French just wrote to stir up panic in our banking and economic system.
Where were they when the Lehman brothers,Northern rock,Iceland bank,Bank of America etc either collapsed or was on the brink of doing so despite their hitherto fantastic ratings by western agencies and journals including TAR???

the post will be 'released' shortly!

rasputinn

na so we see am o-spambot in control, we declare amenesty for spamless post

Market cap dips into the 5 trillion region.We got to brace hard for uniform year end