₦airaland Forum

unite4real:
Oga Agba, you don ever buy stocks for NGX?

Tell us one stock you are holding abeg.

Why you dey press Agba neck so hard like this na?

unite4real:
what about controlled entering.

you always look at the bottom side of things

There are different ''bottom side of things'' ooo!
Which particular one is Agba guilty of?
I hope it is not what some people are thinking

nairavsdollars:
This FCMB is such a worthless, useless bank 😠

Haba, kilode, madam?

Mpeace:
ZacMany reasons
First, I don't trust the government, they will do what they want to do ie collect huge Capital gains tax.
Secondly I want to concentrate my portfolio in the Oil sector. Particularly Aradel.
Thirdly there is this juicy property that came up in my neighborhood. I need it

Are you in my mind? So many similarities with my sentiments and intentions as well.
No wonder our monikers start with letter ''M''

Wish you best of luck.

Agbalowomeri:
Allow people enjoy the ride o

Na here we dey

Our team and its ''prophet'' are scoring 10% today. But you no go see that one talk!
Awon ota po ju enemy lo

awesomeJ:
Can't you see you're making my point?
what does it matter where i was in 2004?
The point is that if you borrow to invest in stocks without knowing what you're doing, you're being reckless, and that's the exact point you just made.

My reference to 2004-2008 is to remind you of the what happened during that era. 2004-2006 was a period of endless boom in the market
People borrowed to invest in good stocks, and they made good money. The same people borrowed to invest in good stocks in 2007-2009, but things happened and the market crashed with huge losses. The ''experts'' in 2004-2006 became the ''reckless'' in 2008-2009.
There are unforeseen factors outside our control that can turn someone from an ''expert'' to a ''reckless'', and vice versa. That risk element cannot be timed perfectly.
What happened in the last 2-3 weeks could destroy the portfolio of an 'expert'' if the govt had allowed it to continue for another 2 weeks or more. So govt policy (unforeseen) is the cause or problem here, not the ''recklessness'' of the investor.

awesomeJ:
If you borrow to invest in stocks it has to be that you're sure of what you're doing. Otherwise you're just being reckless.

Knowing what you're doing implies being able to to make accurate predictions to guide your decisions.

GTB isn't closing branches, neither are they making losses and because of some "TA" you want to buy it at #20

Nobody is perfect in this market!
Where were you in 2004-2008 when there was a boom in the market followed by a burst?
People borrowed to invest and they made huge gains in millions. The same people borrowed to invest and they ran into huge debts!
There are factors outside our control which affect the performance of the market and its timing.

nosa2:
Stocks are not just symbols on a page. We are buying and selling shares in a company, a company that is out there in the real world offering real people valuable goods and services. If people really understand what that means they will act differently.

You are right.
But you have to consider the source of funds people used for the investment.
If someone borrowed money to invest, he would take steps to minimize his losses when the market is going down, with uncertainty everywhere.
The same people would still re-invest when everything becomes clear and certain.

If the govt had not intervened and they allowed the CGT matter for another week, things would have been worse. So certainty of policy is crucial.

People who borrowed to invest with limited alternative income or cashflows, would take steps to minimize their losses at times of uncertainty.
But those who invested with their own funds can afford to keep their stocks when the market tumbles. It is basic principle in investing.

nosa2:
No its not. People just don't think before they act.

How? Can you clarify?

Let me thank all those who joined hands and supported us to voice our opinions and views against the CGT.
We did not go to Abuja, did not submit a petition to Govt House or NASS but our views got somewhere and made some impact.

The market would have done much better if not for the CGT, but let's thank God there is some reprieve, at least for now.

toyeoye:
Yess!!

Cautious optimism is key!

ogawisdom:
Hmmm

Investors do not like too many uncertainties

CPC designation
Trump's invasion threat

And now CGT all happening same time

This is the result, massive panic selling

It is not Trump's invasion nor CPC designation.
What is happening is solely CGT-induced disaster in the stock market..

awesomeJ:
Even if you're right about what prices will be by year end, it still doesn't change the fact that there's a huge relief for long term investors now.

Imagine someone who bought 1m units of OKOMUOIL for N60m during COVID.

Even if the stock stays at 1k by year end, he's now relieved that his N940m gains are completely tax free.

Yesterday he still had the fear that govt would take 25% from it, today, he can rest assured.

The stock market requires clear policy guidelines and certainty, not the knee-jerk announcements, whims and caprices of people at helm of affairs.
This is clear evidence that they did not do proper stakeholder consultation before they manipulated the NASS to approve the new tax law. which huge tax implications on the people. Executive recklessness!

awesomeJ:
Thanks for sharing.
Guys please go through.

They've decided to do one of the major things people here have been advocating for:

Cost base will be the closing price on December 31st 2025 if your actual cost base is lower.


[b]That's bullish. Cos all we have to do is push GTCO to #150 by December 31s[/b]t.

Whoever doesn't buy this week will likely likely likely buy higher.

Investors have to provide liquidity and bid/buy before it can be bullish in any way.
If Investors pull out their funds due the uncertainty this law has created, prices may go down further or may not rise as expected.
This is how not to run a capital market.

Olaide1295:
https://x.com/taiwoyedele/status/1988304820202078535

Taiwo Oyedele provides some clarity.

That Taiwo Oyedele has nothing reasonable to say. He was the person that dismissed the concerns of international and local investors about the CGT as few days ago. He even published a lengthy write-up to say that the CGT would not have any effect on the market.
He is working for the money he was paid for the tax law job, he does not care about the interest of investors

awesomeJ:
Previously if you have GTCO in your portfolio that you bought for N10 per share, if you sell next year at N100 per share, they wanted to use N10 as your cost base and tax you on N90 profit. That could be N90m if you hold 1m units.

Now Taiwo Oyedele has said that the new cost base will be anyone you prefer between the N10 you purchased at and the closing price on December 31st.

So if we move GTCO to #150 by December 31st, and you sell at N100 next year, then you pay no CGT, infact na the government owe you tax credit.

This CGT has already affected the market such way that stock prices would struggle to peak by Dec31 because many investors are pulling out their money to buy fixed income securities. Therefore the new base for cost price may not be significantly different from what we have now.

SonofElElyonRet:
Pump the price till December 31st then
Let the Oyedele bull market begin[b]

Where would you find Oyedele bull? Someone killing the market with poorly-thought out law just for revenue that will be mismanaged and looted by the people that appointed him.

chimex38:
@awesomeJ was right.
This helps to buttress the interpretation further.

"For example, if an investor acquired shares at N5 and the value appreciates to N20 by December 31, 2025, the tax authority will treat N20 as the cost base going forward.

If the shares are later sold in 2026 for N25, only the N5 gain realised after the reset date will be subject to CGT. The N15 gain earned before the new law takes effect will not be taxed."

https://nairametrics.com/2025/11/12/capital-gains-tax-oyedele-clarifies-past-gains-wont-be-taxed-under-new-law/#google_vignette

They will have to amend the law if it's included.
Anyway, they have the whole 2026 to do that.

You see, this is damage control and an after-thought, after the public made them see the folly and shallow thinking in the law..
This is nothing but a trial and error govt just searching desperately for where/how to extort investors.
Their poorly articulated law has already caused several stock prices to fall drastically below cost price for many investors

K

freeman67:
https://businessday.ng/news/article/nigeria-likely-to-review-capital-gain-tax-edun-says/

Your voices have been heard.

Medicine after death.
This is what happens when a govt picks some jobbers to draft a new tax law just for increasing revenue without proper consultation with key stakeholders in all sectors of the economy.
People have lost money already because of this CGT nonsense.
Trial and error govt.

innovestor:
Oya o! Food don done. make una chop!

The Ellah public offer is on a long thing! They should be prepared for extension and extension

Ginalex:
But seriously, Taxman think say NGX na PwC🤔🤔? Wey you go just put plenty recommendations for management letter and fine slides for sweet presentation with plenty plenty English... Real life no be textbook laslas🚶🚶🚶🚶

They are deluded.
They think it is easy for investors, someone using the NGX to get by, to take all the risks with his/her funds, only for govt that takes no risk at all to chop off 25%-30% for free.

emmanuelewumi:
Straight 2 weeks, make we know those of us wey remain for market

When it reaches 3 months, you sef go shout!
When heaven falls, it is problem for all, not a few.

Agbalowomeri:
A prophet-back stock should not suffer like others

Remember, the prophets were mocked when things became tough and rough; but they still maintained their calm and anointing

Agbalowomeri:
Oando sef collect

Where is the prophet? Come and carry your kaya o

Na only Oando you dey see say rain beat for market?
Wetin my people do you?

dammybrite:
I just need TIP at 5

It may also drop to N1 after you buy at N5

Agbalowomeri:
Even the market makers are exhausted

Investors are selling off in anger and frustrations.
Self-inflicted crash!
The ''best govt'' in action for all to see.

ositadima1:
No loud am ooo, In all the FA and TA discussions, people sometimes forget that it’s people behavior that determines what the market does. If enough people decide to sell, prices will crash, it’s not always about valuation or the company’s value generation.

Correct

i. A govt that wants to take credit for growth in the capital market.
ii. A govt that is asking banks to recapitalize and knows that they would come to the market to raise funds.
iii. At the same time, such govt is implementing a destructive, counter-productive tax policy that would shrink market activity and growth.
iv. A govt that claims to have achieved their revenue target in Sep. But they have over-borrowed more than they budgeted for by 55.6% in Oct


A classic case of a confused govt, governing by trial and error!

Raider76:
I think nothing short of a clear announcement will stem this tide.

Govt. can just say that the exact commencement date has not been decided yet. i.e. it would not start on Jan 1, 2026.

sophy17:
That guy won’t listen to you. He can see what is happening. He and his committee members of about 15 people were paid about 4.8b naira for this tax review job.

The NGX reaction of mass sell off is the loudest message. Even up till now, despite passing the law some months ago they don’t have any tangible framework or structure in place for implementation.

The government will have no choice but to learn the hard way

Wow. N4.8b for 15 people? That means he could have gotten as much as N400-N500m!
So sad a nation!

GeeKudi:
Suspending the CGT will cause an unprecedented uproar that can potentially rubbish the whole NTA 2025. Only a small priviledged fraction of Nigerians are in the Capital Market. The right thing to do is to rescind the retrospective application of the CGT and possibly just retain the existing 10% CGT but with rigorous implementation.

All that is required is for them not to implement that aspect of the law, simple. They don't need to make any announcement of suspension or whatever.
Finance Act 2021 had CGT 10% which was never implemented, and there was no uproar anywhere.