₦airaland Forum

On 15th April 1912, a ship that was deemed unsinkable sank. She was called the Titanic...

What investing lessons can we learn from her story?

In this article, I take a cursory look at events around the sinking of the titanic and extract some key take-home lessons for investors...

Read, share your thoughts and share with a friend (or two)...

https://stocksng.com/the-illusion-of-competence-lessons-from-the-titanic/

The first episode of our new spin-off, Ask The Professionals, is out...

All thanks to listeners who sent in their questions and, more so, to the Professionals who took their time to provide answers...

Looking forward to many more episodes...

https://open.spotify.com/episode/5Q8BpgUw6HlgAaCTTuCkLf?si=S_MxoLBIR3CtBlvpIu_FOw

To send us a question, use the link below:

https://www.speakpipe.com/valuenigeria

Lutexx:
Good morning everyone,

Please are there any advantages or disadvantages of hold stocks in your Personal name against holding through your Company as a long term investor.

Thank you

I don't have an answer but this sounds like a great question to ask of a verifiable finance/ investment expert and get a reliable answer..

Use the link below to ask your question if you don't mind...

Cheers

https://www.speakpipe.com/valuenigeria

Do you have a burning question you'll love to ask a Finance/ Investment professional?

Use the link below to leave a voice recording of your question and we, Value Nigeria Podcast, would pass it to a finance professional and get you an answer...

It's a brand new spin-off of the podcast called "ASK THE PROFESSIONAL".

Your question and it's answer from a professional would be published on the Value Nigeria Podcast which would help you and countless other listeners...

Please state your name and where you are based before asking your question (My name is Bola Chike Ali from Lagos Nigeria. My question is.........)

Thanks for your support...

https://www.speakpipe.com/valuenigeria

Have you ever wondered what Trading (as as investing approach) feels like?

In this episode of the podcast, we try to answer all your questions about trading such as the differences between trading and investing, resources needed for trading, personality traits of a successful trader etc.

Our guest, Mr Nurudeen Oyetunji (Portfolio Analyst, Comercio Partners LTD), brings his wealth of experience in trading to bear in this conversation.

We hope this episode serves as an eye opening for people interested in Trading.

Thanks for listening.

https://open.spotify.com/episode/3zggVLx6ppagrHCLBvJqq6?si=aIHRrWHKSYeRhhFh76cuoA

For those who have been CHAMified, look well before you leap...

Check the difference between the unaudited and the audited results for 2023...

emmaodet:
waoooooooooooo
Another person that invested the same 5m in bonds would have only gotten back just 10m in total. This is the main reason i am putting more weight in stocks than bonds.
The return is always massive with a fundamentally sound stock

Remember that some people bought fundamentally sound dangote sugar at N80... They are crying today...

Sensible portfolio construction and adequate risk management are key to surviving in this market...

Predictable bonds are still very key in building a healthy portfolio and must not be ignored.

#Selah

KarlTom:
We talk about spread and diversification.
Personally, I feel we are all traders (directly or indirectly) with one aim: make money with minimal risk.

I have always said that I do not do TA or FA (and I am not willing to start learning).
I rely more on getting information before it is released to the market.
Once I have info, I go BIG.
This way, I make more in a short time with minimal risk compared to waiting months for appreciation or DIV.

Regardless of how we put it, NEWS is what moves the market (reports, board changes, acquisitions etc)

What is good for the goose is not entirely good for the gander o (na manage gander go manage am)

Every mallam to his kettle...

Do you realise you can be investigated, arrested or, worse, prosecuted just for admitting this openly

vefexam:
Doc.

I am a fan of your podcast, I really appreciate your work...

Your kind words and encouragement are deeply appreciated... They mean a lot to me.

Thank you very much...

Miss Perpetual Ogbiyoyo (2 time Nigerian female chess champion & founder, Promoting Queens Chess Foundation) graces the podcast in this episode as we discuss investing lessons to be gleaned from chess.

We discuss how she got started in chess, how she went from being a learner to a 2-time national chess champion, how she performs a post-match analysis to learn from her games retrospectively, how she makes decisions on the chess board and how she learns from her mistakes.

Retail investors might be surprised to see how much parallels exist between investing and chess. There is a lot to learn from this episode of the podcast.

Thanks for listening.

https://open.spotify.com/episode/5gnIhMItwalBbwCutYje7J?si=b-PthkliQH25-EzPvwLBSQ

This thread is almost becoming a waste of time these days...
#Selah...

2nd highest dividend yield on the NGX in 2023 (14.31%).

60% year to date returns on the NGX in 2024 (as at 15th September 2024).

Which company achieved all the above? SFS REIT.

In this episode, we chat with Mr. Samuel Oshodipe (Real Estate investment Analyst, SFS REIT) about the real estate market, how COVID in 2020 affected valuations, how SFS REIT navigated that period skilfully, how the company produced stellar returns in 2023 and what the outlook for 2024 is.

This is a really insightful conversation which retail investors will do well to pay attention to.

https://open.spotify.com/episode/4fs4K2jVtDPaIVikTyw4NA?si=wXwC9aqTR_qfCL0jmZDMHA

Willie2015:
Meristem Research and
UCAP Research has a corporate action section..
Even better than the NGX own...
U can make use of this...
Its free.

Can you kindly share a link to either of the pages please?
It'll make life easier for lazy ones like me...
Thanks...

Mankind2024:
When I mention a paper loss, it doesn't mean I've lost my invested capital. Rather, it's a decline in unbooked profits. A 0.5% to 1% decline in the following stocks typically has a noticeable impact on my portfolio: Transcorp, Transpower, Transhotel, UBA, Afriprudential, and Zenith. This is due to my significant holding position in these stocks.

Noted sir...

My reply was just to highlight to you that the fact that Mr Buffett has observed that most people in today's world treat the market like a casino does not mean he agrees with them or is advising people to do the same... He only highlighted a trend he noticed to be rampant in the market.

This was the point of my reply...

The truth is that the Buffett style of investing does not suit everyone as we all have various backgrounds, sources of income, risk tolerance and various experiences with money.

For some people, the casino approach is ideal for them while the Buffett approach is ideal for others and it is perfectly okay. There are multiple roads that lead into every market...

Mankind2024:
I reviewed my portfolio at the close of business today, August 26th and faced a harsh reality, my NGX portfolio had incurred a paper loss of over NGN8M.
"NGX is a gamble 🎰 "
This reminded me of Warren Buffett's recent letter to Berkshire Hathaway shareholders, where he described the modern stock market as a casino. It's time for me to shift from being an investor to a regular trader. I'm following all the traders in this forum closely.
Investing (or 'farming') has become a dangerous profession, while trading (or 'hunting') is more lucrative. I'll be trading with all the resources and tools at my disposal. The good news for traders in NGX is that the market is relatively unsophisticated, with no derivatives, options trading, or leveraging, no shorting.
Additionally, stock prices are capped at a daily fluctuation of ±10%, meaning they cannot appreciate or decline more than 10% in a single day. This is music to my brokers' ears, I'm sure.

https://www.nasdaq.com/articles/warren-buffett-says-stock-market-is-becoming-casino-like-how-to-invest-and-not-gamble

It's amazing how you're enlightened enough to read Warren Buffetts letters but end up following the exact path he preaches against...

God speed in your new foray... May it not lead to even more losses for you...

aj8:
Nope sir, not same stock all the way to 128 sir., rollover stock to stock. Cash out at each bus stop and eye the next entry. The only challenge I have had in the past with this is that once it’s over 50mil, you may need to split into a couple with equal potential. Will always cash out sir. Same principle you have taught here over the years just with some adjustments…..instead of waiting years, I just hit and move to another stock…..honestly sometimes you could cover 3 moves in a year.

When Mike Tyson was asked by a reporter whether he was worried about Evander Holyfield and his fight plan he answered; “Everyone has a plan until they get punched in the mouth.”

Have you ever wondered if all the personal wealth building principles we share here really work?

This week on the podcast, we have a chat with a retail investor, Mr Sam, whose life story embodies all the principles we advocate on the podcast.

He shares how he went from not having shoes to wear to school to being able to comfortably retire today, if he chooses to, in his early 50's.

We hope this episode encourages you to continue your journey to wealth wherever you might have started from.

Thanks for listening and sharing...

https://open.spotify.com/episode/7uUICyNCyBlIGY8tgSaazc?si=QafYuHIoRxW-onUtnxvdzg

narite:
Why are the episodes not being arranged from 1, 2, 3..to 100? They are in descending order.

Anytime I reload my browser I had to start scrolling down again. It irritates me.

I'm sorry you've struggled with the sequence of the episodes. Unfortunately, we do not have control over how the hosts areanges the episodes.

I struggle with it too but that's how it is unfortunately.

Thanks for understanding

Mankind2024:
@yMcy56, how are you doing? I hope your weekend was awesome. Are you emotionally or financially attached to your investments? Lol.
Also, I'd love to hear your thoughts on how to identify a bad management team in Nigeria's listed companies. What red flags or signs do you look out for?

Apologies for butting in... I'm not @Mcy56 but this might help...

https://open.spotify.com/episode/56N6zSjo0SiU5Ct38Hmfee?si=cfgC1HmjRDe5iM2l4I4IdQ

Mankind2024:
My view on International Breweries plc.
I'm borrowing a word from the legendary investor, Peter Lynch, who opined that the best way to make money from the stock market is not to get scared out of it. I'm sitting on a 33% paper loss on my investment in IB since 2017/2018, when I bought 10,000 units at N48 per share. I have been averaging down on this value-trapped stock. Reading Peter Lynch's book titled "Invest in What You Know", I resolved not to get scared out of IB, which I strongly believe will soon trade below N3.50 once the unjustifiable rights issue is completed. This is when I would start averaging down again. I am not getting scared out of IB until the company is delisted. My message to the management of this good company with bad management is that they should be ashamed of themselves and resign en masse.
With the look of things, Wale Tinubu might have repented, while the same cannot be said about the clueless managing team of IB plc.

I respect your opinion and stance. In fact, I salute you..

However, kindly consider and take some time to think about the opposing view to have a good balance of opinions...

I'll end by saying that a man who is head over heels in love with his girlfriend is usually the last person to notice that she is cheating on him...

#Selah...

Ginalex:
Good Afternoon my ogas. Please what study materials/courses would you recommend that can help me improve in the art stock valuation? I believe there's a lot I can achieve in the remaining half of this year and beyond if I'm armed with this skill... Please help a baby in the industry trying to find her footing. Thank you

I love the fact that you're specific in what you want to learn, stock valuation.

Many of the books on this subject are very advanced and for professionals. The best and most simplified reading I've ever done on valuation is from a little known book by Mohnish Pabrai called "Mosaic". The book is out of print but is available for free on his website.

I'll post a link to the chapter on valuation below. I hope it helps give you a foundation you can build on with other materials.

Cheers.

https://www.chaiwithpabrai.com/uploads/5/5/1/3/55139655/intrinsic_value.pdf

It's funny how people focus on the price a company is selling at (watching its every squiggle up or down) without ever thinking about the value they are getting or rejecting when they buy or decide against buying the company...

If all the listed companies were actual persons, would we be proud to call some of them our friends or brothers or family?

Anyway, we all are playing different games and running different races...

Eku investing oh...

nosa2:
Yes oh........... I'm back in the Nigerian market. Make we come rofo rofo the place

Welcome back Oga Nosa...

For newbies who would like to know Oga Nosa better, you can listen to my conversation with him on my podcast...

Solid oga he is indeed...

47. Investing in commodities: A chat with Mr Peter Iyen (Nosa2) https://podcasters.spotify.com/pod/show/value-nigeria/episodes/47--Investing-in-commodities-A-chat-with-Mr-Peter-Iyen-Nosa2-e1dlsgo

xyrexzmanto:
Good evening all , I will like to invest but I don't av idea of how it works @all.... Will be glad if some1 can put me tru thanks.

Check out my podcast, Value Nigeria with Ajibola, on Spotify for Podcasters: https://podcasters.spotify.com/pod/show/value-nigeria

It is a great place to start your journey in financial literacy...

We welcome, as our guest, Mr. Adebayo Adebanjo (Senior Analyst, CardinalStone Securities) on this episode of the Value Nigeria Podcast.

We discuss the cement manufacturers and why they are so crucial to our economy and the Nigerian Stock Market. We look at the bull and bear case for that industry and explore each player in that sector through the lens of what they are doing well at present and how they can do even better going forwards.

I strongly believe that retail investors stand to gain a whole lot from this discussion with our well-versed guest.

Thanks for listening and sharing...

https://podcasters.spotify.com/pod/show/value-nigeria/episodes/95--A-look-at-the-Cement-Manufacturers-A-chat-with-Mr--Adebayo-Adebanjo-e2iltv8

KarlTom:
You just echoed my thoughts.

I've spent a couple of hours perusing the AFS of both Coys and the more I look, the less I seem to understand.

Some differing metrics:
Net interest income GTHC 436.6bn Zenith 736.1bn
PAT GTHC 539.6bn Zenith 676.9bn

Can anyone she'd come light on this?

Thank you

For banks, forget the income statement... Focus on the balance sheet... That's where the real gold is...

Compare the assets and equity of all the banks. Then look at how much profits they are generating from those assets and equity. You'll see one reason why GTCo is priced at a premium to other banks...

Mr Okwudili Egwu (SVP, Cowry Asset management LTD) returns as a guest on this new episode of the podcast for a Masterclass in Fixed Income Investing.

He discusses the inflation rate, factors behind it's meteoric rise and the necessity of the rising interest rates. He also discussed the impact of the high interest rates on fixed income instruments and educated the retail investors on how to take advantage of the attractive yields in the fixed income space.

Retail investors will do well to heed his advise and explore the option of investing in fixed income assets at this crucial time.

https://podcasts.google.com/feed/aHR0cHM6Ly9hbmNob3IuZm0vcy80ZWI5NzRjNC9wb2RjYXN0L3Jzcw/episode/YWVkYjU4NmMtNzY1Zi00MjQ0LTk0OWEtMzBhYjU5YTk5NTcy?ep=14

The return of Aig...

222Martins:
Tony Elumelu is here with his Boju Boju again ............I wonder how many percent stake the parent Transcorp has in this new Transcorp Power PLC. Parent Transcorp has a 40,647,990,293 outstanding shares with market cap of N580.45Billion...........While the new Transcorp power has 7,500,000,000 outstanding shares with listing valuation of N1.8Trillion...............

The Tony Elumelu Boju Boju magic

Transorp owns 51% of transcorp power

MUCH ADO ABOUT TRANSCORP POWER FOR SHAREHOLDERS OF TRANSCORP PLC

To understand the present and predict the future (if this is possible at all), we need to understand the past.

Trancorp Hotels Plc, owned by Transcorp Plc (88% and the FG 12% in 2014). They did an IPO in the same year by selling 800 million shares at N10 per share.

Transcorp Hotels Plc had 7,182,000,000 issued shares. Post offer the shares outstanding was to become 7,982,000,000.

Unfortunately the IPO was 52.3% subscribed. The company was thus able to raise N4,184,039,000 out of the N8billion on offer. A total of 418,403,980 ordinary shares were therefore allotted to the subscribers for a total of 1,293 applicants. This brought total shares outstanding to 7,600,403,980.

In 2020, transcorp power did a RIGHTS ISSUE OF 2,659,574,468 ORDINARY SHARES OF N0.50 EACH AT N3.76 PER SHARE ON THE BASIS OF 7 NEW ORDINARY SHARE FOR EVERY 20 ORDINARY SHARES.

However, only 2,642,124,511 units were taken by shareholders, signifying that the level of subscription was 99.34 per cent. The total issued and fully paid-up shares of Transcorp Hotel increased from 7,600,403,900 units to 10,242,528,411 units after the rights issue.

Following all the above, Transcorps ownership of transcorp hotels dropped from 88% to 76.16%.

Did any shareholder of transcorp get one unit of transcorp hotels as compensation for owning transcorp in all these gymnastics above? No!

Yet someone somewhere that owns transcorp thinks he or she is going to get units of transcorp power allotted to them. I laugh in Spanish...

UBA allotting shares in United capital, Africa Prudential registrars and afriland properties was a different ball game. That was a spin-off and it had a scheme of arrangement between UBA and it's shareholders agreeing to the allotment of shares. Transcorp power is a listing by introduction. Two very different things.

UBA spun off business it was no longer allowed to have under its umbrella. Transcorp plc is still very much interested in keeping transcorp hotel and power under its auspices.

Another case in point, when UACN plc decided to distribute it's direct holdings in UPDC REITs to it's shareholders, there was a scheme of arrangement that was made public before it was concluded.

Have you seen or heard of any scheme of arrangement between transcorp plc and it's shareholders discussing a distribution of shares in Transcorp power to shareholders of transcorp plc?

Transcorp plc may wake up tomorrow and decide to give out shares in its power or hospitality businesses but that's highly unlikely to happen. They are not Father Christmas.

If you are a shareholder of transcorp plc, enjoy the speculative ride that this whole saga will bring and the indirect dividends you will enjoy from all the subsidiaries but it you're expecting to receive share in Transcorp power, you are on a long thing. A very long thing...

(NB: Credits to Nairametrics, proshare, business post newspaper and transcorp power annual reports as the source of all the data above.)

Ajibola Awolowo
Value Nigeria Podcast

Get ready for "Buy one, get one free" in the market once it opens today...
Blood shall flow...

Interesting times ahead...

In our first podcast episode of the year, we chat with Mr Atiku Audu (Head, Investment Management of a leading PFA in Nigeria).

He also shares lessons from his transition into finance from engineering and why ensuring you live to fight another day may the be most essential skill for every investor.

We hope you enjoy the conversation as much as we did.

https://anchor.fm/value-nigeria/episodes/93--Longevity-in-investing-A-chat-with-Mr-Atiku-Audu-e2ftvhi