pumping777:

Anything you can make out of Unity Bank while it is gyrating, take. I can't figure out how this bank can make any serious move until they come out with their results. The expectation is that this will have to come out before their planned PO.

Mr. Risky:

The only way the price of Unity Bank will shoot up is if they release a VERY BAD result, if their result happens to be IMPRESSIVE, their share price will nosedive to even N7 That has been in the trend in the banking sector. Investors there are afraid of GOOD or IMPRESSIVE result

Mr. Risky:

Bear, Fear, Rear, Tear, Dear, Gear, Near (All of them have EAR). So draw your ears, in other words be CAUTIOUS. Fear the Bear as it is Near Tearing its way from the Rear

wanaj0:

Rule number one, don't panic.

Now for those holding stocks that they know nothing about, beware!!!!

For stocks still gaining, it is because they are not liquid hence not reacting to the laws of demand and supply. It is basically the major holders pumping the share price up!!

Make una cool temper. Na part of life. Prices must always come down!!!!

For those that are using school fees to do CICO, wetin una go do now. If you sell, money no go reach to pay school fees. If you no sell, no money to pay so wetin man pickin go do?

mecatchcha:

@All,

Una don see say TransCorp closed on Net Bid today. Ebi like say we go hop unto that train. Na stocks without fundamentals dey represent now.

eniyanman:

@RoughCut,

1. It is conceivable that the portfolio could fall by more than 20%. Assume it has fallen by 19% and it falls another 5% and still no buyer, it could potentially lose more,

I made a specific reference to 20% because that is one of the requirements   for UBA Shareplus scheme. If your portfolio falls below 20% its not UBA's problem all they need to do is ask the borrower to return the loan so that way they recoup their capital. UBA charges 17% interest and i think 1 or 2%  management fee. If your portfolio falls by more than 20% it means their profit is disappearing fast and that's the reason they make sure the value of the portfolio in which their investment is does not fall below a certain threshold. If there's no buyer for the stocks in the portfolio UBA will not sell it all they are going to do is ask for the money they lent the borrower back so its the borrower's headache on how to liquidate the stock to recoup his money back

2. In the case highlighted above, the equity contribution only minimises the banks exposure. It doesn't eliminate it. Consider vis-a-vis negative equity.

Negative equity is not the bank's problem it is the borrower/investor's once the lender is not making the returns they expect because the value of the portfolio is such that it cannot pay the interest they are charging they will just recall their loan facility at least that way they preserve their capital which they have loaned in the first place and they continue to manage the portfolio for you so whether it drops 20 or 50% you can see it is the borrower's problem and not the lender

3. If it represents a large part of their profits, then I want to avoid investing in those banks. But as wanaj0 talk am, it's a small part of their profit.

Individual investors on the NSE who use margin facilty  are miniscule compared to other categories of investors. Let's face it the big players on the NSE are the Institutional investors, Hedge funds, Private equity outfits etc etc and of course the pension funds. Trust me the margin facilities by the banks represent an insignificant proportion of the banks' loan portfolio .

4. My reference to sub-prime is more with respect to the losses they (banks) could suffer and not regarding credit classification. Credit score no dey Nigeria now.

Losses arising from margin facilities will not dent the banks' profits and that cannot even happen because as i said earlier they will recall or recoup the facility as soon as the value of the  portfolio is below the threshold that can pay the interest on the loan

yodiyokun:
The bulls will soon return - hopefully in April.

Also this is why its always good to buy in a safe price zone - even if bears come , your capital will be intact.

Roughcut! Roughcut!! Roughcut!!! Na ow many tines I call you so? Cheesy

Make you no siddon look this one o. If you miss out on this one, na me go yab you pass for this forum o. I don talk my own finish be that. Make your own no come be like that of grabdaloot wey talk of ag leventis so-tay im forget to buy (grabdaloot no vex o Cheesy). Abi you wan become like the proverbial sign post wey dey show everi one the way without going anywhere imself? God forbid bad thing! Grin Grin

teto:

hello all. thanks for educating those of us that  still find this site informative. please can anyone explain to me how to know if a stock closes on net bid or offer. since you only see the number of trades .so how do one differentiate if it is for demand or supply. thanks for your anwer

wanaj0:

Fof2 but you know say this na usual occurence so nothing BIG here. Fundamentally sound stocks go weather the storm and more buying opportunities

Those that bought out of panic will SELL out of panic also. No two way about that.

Why you no warn the disciples not to BUY BUY. This time is a HOLD!!!!! put your moeny under pillow.

If you get OandO, SELL quick!!!

wanaj0:

Rule number one, don't panic.

Now for those holding stocks that they know nothing about, beware!!!!

For stocks still gaining, it is because they are not liquid hence not reacting to the laws of demand and supply. It is basically the major holders pumping the share price up!!

Make una cool temper. Na part of life. Prices must always come down!!!!

For those that are using school fees to do CICO, wetin una go do now. If you sell, money no go reach to pay school fees. If you no sell, no money to pay so wetin man pickin go do?

wanaj0:

Rule number one, don't panic.

Now for those holding stocks that they know nothing about, beware!!!!

For stocks still gaining, it is because they are not liquid hence not reacting to the laws of demand and supply. It is basically the major holders pumping the share price up!!

Make una cool temper. Na part of life. Prices must always come down!!!!

For those that are using school fees to do CICO, wetin una go do now. If you sell, money no go reach to pay school fees. If you no sell, no money to pay so wetin man pickin go do?

wanaj0:

Candle no go show anything for that one.

BTW, I never BUY my own so no one should place order until I don BUY finish OOOO or else, na me go scatter this thread!!!!! Make person no mention one stock na so all the hawks go dey surround am.

FatherOF2:


That na true, my money no dey enter company when no get YANSH .

Na only person when no hiar word no go heed greediness warning.

Na operation FIRE for FIRE when this falls don dey round up.


[/quote

FoF2, but you no put caveat emptress all this while. folks no know say na to gather money to laubch attack one suppose dey do now. Most will be selling so both capital and spreadsheet money go disappear. So abeg, organise more sermon for your disciples before Aktopgun and co go et many visitors.

That said, buying opportunities just dey show up. If Diamond just go down small I know say na with full force you go use attack am.

As per your Okomu, softly softly I beg OOOO. Those stocks need a weather forecaster to use them do CICO.

eniyanman link=topic=31554.msg2049503#msg2049503 date=1205337107:

e be like say patron-saint Fo2 don convert. Caveat emptor

Lai lai. Problem be sey him disciples no get the full gist. Him dey use coded language and dem no fit decipher am. With all the CICO wey him dey do, there are boundaries. Added to that is the fact that his portfolio is structured in a defensive manner. Additionally, him fit keep money under pillow unlike peeps who must always buy once dem go market. Don't know why people can't just window shop!!!!

K2:

Could you please explain the PAR Value term, especially using IAA as an example. Thanks.

Most stocks on the NSE if not all are N0.50 share. That's why you hear of 50k ordinary shares selling @ XX Naira!!!

For IAA, the PP was for N2.00 ordinary share (that's the par value). So to get listed, they will do a 4 for 1 stock split to convert to N0.50 (50k) shares!!!

RoughCut:

Marshall he be like say this Thomas Wyatt no get volume o! I dey fear say this na another TransExpress and Redstar all rolled into one. Make he no be like say man dey hold on to straws.

I sold John Holt and the yeye  thing still dey rise. Na wa o!

rasputinn:

@ Wanaj0,

I beg to disagree with you that the upside is limited(the exact same thing a broker told me @ the onset of 2007,he was proved wrong eventually
The NSE is a such a unique place;universal parameters and fundamentals that work in other climes don't always work here.Here more often than not,fundamentals go out the window.Whether a company declares a slim dividend(like oasis' 2k i not the issue. In months to come we will notice very unusual price appreciation in most of the stocks,BUT BY THEN WE WILL ALL BE TOO BUSY ENJOYING THE LOOT THAT NO ONE WOULD COMPLAIN)

That reminds me;how many stocks on the NSE are trading @ up to $1?

wanaj0:

Just came off technical suspension so no volumes. Some agbero brokers warehoused the rights so them fit sell. Such stocks will not make you a billionaire. But for those with small portfolio value, they can double their holdings within a short time.

Sure you made money on your John Holt. Though I suggested it, I did not BUY because it does not fit into my investment plan.

samstone4:


Mr Rewane, who is a major shareholder in one of the banks specifically said that many of the banks are over-exposed in their loans for shares purchase. I believe that the figure that has been mentioned is as high as 40%. Don't know if this figure is correct but factor it into your consideration.

wanaj0:

Got offered Food Concept @ 4.40 today!!!!