I don't know if it is possible to adjust the price, but I think it would be executed at the best bid at the time of execution.

Prolificlife:
Sir i need clarification on this. Is it within the current price range for the day trading or on the price the stock is selling at? Because i recall, trying to consolidate my Nahco, I sent a mail and ask for a cross deal at N30+ however my broker said they cannot intervene and did it N33.80

Cross deal can only be done by a broker, it also passes through the trading machine, but it not thrown to the open market. Take for example Mr A give a sale order of 1,000 units of Transcorp and Mr B give a purchase order 5,000 unit of Transcorp to Morgan capital and the stock is on full bid. The broker will internally sell the stocks to Mr B within the current price range.

It also happen in a situation where volume of trade has been agreed BTW two parties at a predetermined rate within the price range.
The main thing to note is that it won't be thrown to the open market for queue.

emmaodet:


Madam Mercy, please how do you identify a cross deal

Now back

KayOn1:
Hello everyone,
Is Morgan Capital down?

NGX price list website is also down

KayOn1:


Even my second broker is down too abi na the exchange issue?

** The second one is back

I intend buying it, but the moment the CFO mentioned that, it is a caution for me. He even said govt need to safe the FX as the main solution because MTN is efficient in their operations.

Emndy:


This !!!! is what most persons buying now don't know. The price will tank further when Q1 reports show. Q1 reporting exchange rate can't be less than 1$/1300 (i.e. another N400 FX drawdown).

The CFO even mentioned during his interview, that Telcos can't easily push down those costs to consumers in the manner they want; because of NCC regulations on pricing.

Why buy now, when you can buy it cheaper. Be ready to average down if you've already bought.

MTN may still have another FX loss in Q1 result, the FY account used 900/$, and now $ is above N1,500.

delvzy:


For this jungle weh we dey na to average down. MTN just getting cheaper till fundamentals says otherwise.

Nah GAMBU play I dey do 🤣🤣

You are referring to ROI not dividend yield.

vacanci:


oga,

assuming i bought UCAP at N2 as my price years ago and you buy it now at N20.

If dividend of N2 is declared. It means that the dividend yield is 2/20 which is 10% as per current price.

But for me my dividend on cost is 2/2 which is 100% because i didn't buy it for N20 but for N2.

With N1,000,000 you should get 50,000 units @N20
with N1,000,000 i got 500,000 units @ N2

if dividend is N2, you should earn 50,000 X 2 which is 100k
I should earn 500,000 X2 which is 1M

na so i see am

That was what streetinvestor2 was trying to make you understand.

Dollar was around N120 or less.

Yomi Obabolujo of Stock watch, Baba dey you mad Benz then.

Alhaji Garuba is the owner of APT securities. The man trade for one of the biggest client in NGX

emmanuelewumi:



Imagine losing 350k at a time when Naira to dollar was roughly N150

If you say Transcorp that has plants of X3 of Geregu is overpriced at N17, what happen to Geregu @ N470 then?

megawealth01:


The TRUTH is transcorp and its hotel at this junction are overpriced and extremely risky for those jumping in... As for OANDO I'll make extreme research about this delisting issue before making informed decision until them... Oando is still what it is until the path is crystal clear

Abeg no quote me oooooo... I always do DD before entering stocks as against what many people think just that I ignore warnings alot...

Thank you very much, it is an healthy discussion among us. I appreciate everyone view the aim of everyone that comment on the topic of discussion is to make more money and protect our investment. I just got pissed off when someone called me a poor man, even if I am, I never begged from the person. Apologies to anyone that might think my views offended him or her.

Regards.

BullBearMkt:

@Phadriz, I appreciate your perspective as a trader, and it's great that your methods work for you.

However, it's crucial to acknowledge that various successful investors, like @emmanuelewumi, have found success through fundamental analysis, even employing loans to boost their investments. If this strategy has consistently worked for Emmanuelewumi over the years, it deserves to be respected.

We can share our views without attacking each other. Everyone's journey in the financial markets is unique, and what works for one may not work for another.

Feel free to share your thoughts, but let's keep the discussion constructive. We're all here to grow and learn from one another.

Cheers!

Substantial holdings in your context is different from having significant holdings to influence decision in the company, someone with 10 million units of Transcorp can not influence decision because the holdings is significant for that.

Even when you believe in a particular stock and one want to hold it till eternity, it is wisdom when you trade the stocks during ups and downs in order to have more units with the same cost invested. I'm sure you will be trading stocks you hold for several years because I know you vast knowledge in analysis.

emmanuelewumi:



I think it is an anomaly after trading and investing consistently for 20 years and above, yet one does not have a substantial holding.

That means the trader or investor is yet to make a good use of the 8th wonder of the world which is compound interest.

N100,000 compounded at 10% for 20 years would have grown to a substantial amount

My brother, Stocks are meant to be traded if you don't have significant holdings to influence decision of the company. What you called trader is also known as short term investors, and the other is long term investor, I prefer the short term focusing on price appreciation because of the antecedents of business owners in Nigeria and government policies.
I welcome divergent opinions in as much it is not misleading or insulting. I have accepted so many people's points here in the past. I come in peace. I don't have any shares to market here neither do I work work for any stockbroking company in Nigeria. If you notice I'm a silent member here, I rarely comment. I really appreciate all those that make this platform lively.
God bless everyone here

BullBearMkt:

@phadriz, could I find out the following from you, if you don't mind:
1. Are you a trader, investor, or even both?
2. Do you welcome divergent opinions, even when you don't agree with them?

You own a 90 million stock A portfolio, but now that you believe stock B could yield a higher return, you believe it would be preferable to borrow 10 million to invest in stock B and profit from it. Since you are greedy, why not sell 10 million shares of stock A to fund your purchase of stock B? Investing in the stock market differs from building up stock in your offline business. You wish to take out a 22–25% interest loan to purchase shares in a nation where getting a loan is like climbing a mountain the lender might demand the head of your grandma as security.

Don’t take a loan to buy shares!

Don’t sell your property to buy shares!

Don’t invest with greed!

The marketers on this platform will offer advise that will improve your success at work, therefore novices should exercise caution when following it. Despite this, their research staff in the office provides sound technical and fundamental analysis to make excellent stock recommendations.
We experienced many of them in 2006, when they were opening small branches in various states and charming people. The market appreciation in 2023 is extremely unusual; the capital market is not MMM, so please don't get carried away. They might even advise you to sell your property to buy DaarComms for them to offload the dead stocks in their portfolio.

A word is enough for the wise.

phadriz:
FYI, I never work for cashcraft, so to you a stock that traded N320 and sold off @ N65 after 11 years after is a good trade? That buttress my point on loan that stocks investment is volatile that you guys should stop this your marketing strategy on loan before the gullible fall victim, since you guys are only after your business.
I repeat everyone that traded stock has burnt their hands one way or the other, you can not always get it right. All analysis are based on assumptions.

Remember below is the genesis of the debate:

Why do people take loans to buy shares?

Just asking experts in the house.

What are the advantages and disadvantages for those who do so?

I gave the guy the disadvantage, it is up to him to take his decision, if he think the benefits outway the cost.

FO never traded 350, but AP does and it was around 2006

Dum20:


Oga, you are still arguing?

Before it got to N350, how much was it? How much did Otedola buy it? I remember that FO was N5 before it got to N350.




You are still not understanding the point Oga Emma is making. As you continue to argue to prove yourself right, you are loosing the opportunity of taking advantage of the wisdom he shared.

FYI, I never work for cashcraft, so to you a stock that traded N320 and sold off @ N65 after 11 years after is a good trade? That buttress my point on loan that stocks investment is volatile that you guys should stop this your marketing strategy on loan before the gullible fall victim, since you guys are only after your business.
I repeat everyone that traded stock has burnt their hands one way or the other, you can not always get it right. All analysis are based on assumptions.

Remember below is the genesis of the debate:

Why do people take loans to buy shares?

Just asking experts in the house.

What are the advantages and disadvantages for those who do so?

I gave the guy the disadvantage, it is up to him to take his decision, if he think the benefits outway the cost.

Streetinvestor2:
Guy na now I sabi you know nothing about stock. I sold my forte oil at 290 which I bought at #30. So forte oil which was ote company traded at #300 plus.And ote latter sold off the business @ #65 means he burnt his finger.Are you for really. At what price was it listed or what price did he buy the company. .What was other benefits he made as the chairman of the company .I hope it was not cashcraft you worked in because those guys na minus when it comes to investment advice.
Oga ote did not get his hands burnt in forte rather him hammer for thr,lol

Comprehension is your problem as well. I said veteran are also vulnerable to mistakes. Nobody knows it all

vacanci:


It appears u have a challenge understanding English language. Does veteran mean one is perfect? It simply means LONG EXPERIENCE

I'm not bragging as well, I just give my kobo advise. On Femi Ote$ finger burnt. In 2006 African Petroleum (AP) was trading 300 - 320 per share, 11 years after how much did he sell FO to Adrova Plc. That is an example of finger burning. Even Elemelu self don chop his fingers in the past. Elon Musk self dey chop. No body can always beat the market, forget all these paper analysis you guys do. A smart investor focus on trading with objective of capital appreciation and not dividend.

Streetinvestor2:
who has time to brag with you.i only told you he is not a novice when it comes to investing via loan.He doesn't invest base on hope as you mentioned oando. He takes calculated risk.I hope the finance company has not closed shop.I see your type every time you meet this so called professionals in investment companies,lol
Pls help in which stock pick did ote burn his finger.
I don't have idea because the ones I know he made a killing in all
And pls don't go the way of insult with me because I don't know how to play cool oh

Real Estate is different from paper investments, ask yourself why do bank accept real estate and reject stocks as loan collateral? You are not sure of exact amount of dividend because you can not influence decision of the company, but you know that your rental income is guaranteed. I repeat taking loan for for buying stocks is a stupid decision and people should not fall for it here.

emmanuelewumi:



Someone with a property worth N90 million getting a rental income of N4 million per annum. He got a loan of N9 million to buy a cheap land that he will pay back in 3 years or less.


Will you advice him to sell his property in order to buy the land because he doesn't want to be foolish.

Second quarter of the year, I borrowed against my Eurobond Fund investment with United Capital when Naira to dollar was less than N900 by the way it is now over N1200 to a dollar.


Bought more of Dangote Sugar at average price of less than N25.

The Eurobond Fund Investment is up, the target Investment is up. I have paid down 80% of the fund using Investment income.


It is very possible to always eat your cake and have it.


By the way Ololo of Falcon Securities was used by the former CEOs of some failed banks to perform miracle on their stock


If the Investment income from the portfolio does not make sense, one needs to be careful.

What is the Investment income from Omatek, Oando and some stocks, that does not mean some gamblers can't make money from them, it is better to create a sustainable system that will continue to generate investment income, before thinking of borrowing against future income that will be produced by the portfolio

They have released you from the WhatsApp group as well abi. You fake guys fronting for Stockbrokers to push people on stocks and loan. It won't work.

jaybee3:


Dude you need to relax!!!!!!

If you understand basic maths and risk strategy he has been trying to school you on, you won’t be yapping on about something you have no clue about

Just let it go already wouldya?

The finance house is still alive and is using one of the most expensive building a stockbroker can have in heart of Ikoyi. Even if it is dead, it is part of business cycle, you may need to dust textbooks on business management to update yourself on that. I never brag here, but it is an insult to call someone poor man in a faceless platform. I have all the necessary certifications and experience both local and international to back my assertions in finance and accounting.

Please don't push people to desperation that will make them curse you in the future. Do you think it makes sense for one use all personal savings to buy shares not to talk of taking loan?

Streetinvestor2:
It is obvious you are one of those wrong guys people meet in so call finance professionals. Who is taking about beating the mkt or guarantee. I only pointed out that the guy understands how to invest using loans and has done it several with positive results. He is not a novice in it.I beg to say he is an authority in this field.
I hope from how you are sounding the finance company has not closed shop.He does not invest based on hope as you mentioned oando. And he only takes calculated risk.
You will be alright last last after showing off.The people who have what it takes don't make noise on this forum.

Just look at your analogy. Someone with portfolio worth 90 million will now be applying for 9 million naira loan to buy stocks? Who does that, it is foolishness and greed. Pennywise pounds foolish such an investor.

emmanuelewumi:
Assuming you have 1 million units of BUA cement valued at over N90 million, but generated a dividend of less than N3 million in 2023. The maximum loan I can take against the Investment based on the previous dividend paid is N9 million.

Whereas another investor with 2.4million units of Zenith Bank shares valued at about N90 million, but generated a dividend of about N7.5 million in 2023. The maximum loan I can take against the Investment based on the previous dividend paid is N22 million.


Same portfolio size but different loan amount, based on the Investment income generated by both portfolios.

I think this is conservative enough.


If you have a business or other streams of income apart from the Investment income generated by the portfolio, some highly motivated invested investor can decide to take 5 times and above of the Investment income as loan.

The problem is the main source of income from our portfolio for most of us is through the capital appreciation of our portfolio. People in this category should avoid taking loans for investment purposes

Veteran?
That is where you guys always miss it, you think he don't burn is fingers as well? People keep their failures secret and disclose their successes. Is your veteran once a council member of the Exchange or SEC? Please read about Ololo and see what loan to buy stock did to him. Ask yourself why banks don't take shares as collateral for loan again after 2008 crisis. I know so many big brokers that made billions in the market, but also burnt their fingers later.

vacanci:


i didn't say insult. i said, sounds like an insult. the person you were responding to is a veteran in this business and so it sounds like an insult to place him among those of us that may make an uncalculated mistake thinking we have done our due diligence.
Oga Emma is a winner in this business. He had always been opened about how he went concerning his dealings and we have followed his success stories and learned from them

The fact that it works for you doesn't mean it is the best, some people may just jump at loan because of little rally on a stock, hence my reason for caution. The other time someone was lamenting that he converted all his money to $ and the exchange rate fall. The Zenith example you cited was during Covid-19 when the market was down which is good example to encourage people to take loan for shares, I also cited an opposite situation for people to be cautious. If you kill greed in investment you will never regret any investment decision, you build wealth, you don't acquire it overnight, unnecessary aggressiveness always lead to tears.

Nigeria Brewery in the past used to be one the best performing stocks on dividend and price appreciation with good fundamentals, what happen sometimes ago? Imagine if one take loan to buy FBN and Femi Ote$ decided to exit today, what do you think will happen? Those that bought Intercontinental and PHB in the past did due diligence as well.

emmanuelewumi:





What I have been for more than 20years, currently have like 4 different loans that are running and performing.


Ask N16.00 did Oando pay dividends, don't take a loan based on the value of your but based on the Investment income that will be generated by your portfolio after considering the previous year's dividend earned.


Don't get a loan trying to use capital appreciation from the portfolio to service the loan.


The koko be say focus on investment income or cash flow and the loan should not exceed 3 times the expected investment income or maximum of 5 times when the market is extremely bearish and the expected dividend yield from the target stock is equivalent to or higher than interest rate.


Zenith Bank in 2020 at N10, gave a dividend yield of 27% while interest rate was about 20%. Between 2020 and now Zenith return 260% as capital appreciation and totally of 90% as total dividend based on the purchase price of N10

May be you read comment again and see where the insult comes from. I said No body can always beat the market, Do not invest the money you can not afford to lose, learn from 2008 meltdown.
Now point to the insult above.

I don't need to follow anyone's post for me to take decision in the market.

vacanci:


I think it is ur initial response that sounds like an insult to one of our biggest assets on this forum. no one is asking you to do a diligence but a DUE DILIGENCE. If you follow his posts for the next 2 years, your investment mentality will transform for the better

Surprisingly, it is an empty vessel that makes the loudest noise. What is your definition of poor?

You guys will just open mouth waaaa to spit stupidity with arrogant.

Harvestock01:


In Nigeria, it is the poor that is always advising the rich on money and financial matters.

FYI, I don't think your portfolio can be up 60% of mine, so you are not in the best position to tell me to think big. My exposure in Trancorp alone is not for the kids. Even if I sell down today and put it in money market, I can never take paid job for life in Nigeria. So am not broke. You are thinking of taking 10m loan which is around £7k, and you feel am a broke guy. Faceless platform na leveller sha

Harvestock01:


A closed mind is a closed destiny. If I have access to funds, I will bet big on Oando. Investment success is not for the lilly livered. Go big or go broke.

Why do you guys find it difficult to post without insult or brag? You are sounding too confident as if you have never burn your fingers in the market. I can tell you categorically nobody can beat the market 100% even the great Femi Ote$ burnt his fingers in the past. There is nothing like guarantee in this market. I have been trading since age 17, I was once head of finance of a stockbroking firm for 5 years, so don't think you are talking to a novice. My point remains that people should trade with caution and not get carried away with bullish trend.

Streetinvestor2:
Oga just relax.The person you are talking to knows this business better than you do.i can say he is vast knowledgeable than you think and has been playing this loan thing for long.If you want to learn that part of trade you calm than and learn from him.Him na oga for stock market

Go ahead and take loan then, you are sounding so confident as if you can always beat the market. Which due diligence are you talking about? A single govt policy will cancel the so called due diligence. My point is don't get carried away with the bullish in the market by taking uncalculated risk. Just imagine someone that took loan to buy Oando @ N16 believing it will rise to N20, it's almost 3 months we know the price of Oando now.

emmanuelewumi:



So if you expecting a total dividend of N5 million in 2024 and you discovered an irresistible investment opportunity after carrying out enough research and due diligence, you can't borrow against your investment to take a loan of N10 million in order to harness the opportunity.


I don't recommend taking a loan to buy shares based on the value of your portfolio but based on the expected dividend of the portfolio, at a maximum of 3 times the value of the expected dividend.



Mind you, if the loan of N10 million was invested on a dividend paying stock at a good dividend yield, the expected dividend from the portfolio will increase from N5 million to about N6 million for 2024

Don't join them in doing that please, it is not good for your mental health, always trade with the money you can afford to lose. Some that traded with loan during 2008 meltdown found themselves in grave, some resulted to stroke.

People need to abstain from greed while investing. It better to sell your existing stock to buy another rather than taking loan from finance houses.

emmanuelewumi:



Why do people take loans to buy cars, pay rent, go on vacation, get married etc

I said this few weeks back, Transcorp now on fire 🔥

phadriz:
Trancorp is the most underpriced stock. I see the stocks going places in the near future couple with the recapitalisation of disco by FG. I see Transcorp acquiring some discos soon.

They end up dropping overpriced stocks on innocent people.

vacanci:


MECURE with their manipulations.

No trade so far. Before market close, you will now see minimum of 100k unit traded and price moved to take position on next day trade.

Sorry about that. I pray similar stuff won't repeat itself soon in NGX because the rate at which some moribund stocks are appreciating these days without fundamentals is worrisome.

essentialone:
I received a pay off from Union Bank yesterday afternoon.I nearly shed tears of sadness ,I obtained a loan of five hundred thousand naira in 2005 as a civil servant, invested same on Union Bank shares, with no appreciable dividends declared since then,I was paid fifty thousand naira yesterday for five hundred thousand naira investment in 2005, this is sad and unfortunate.
A discouragement on investing in shares which I believe now should be for those who wish to trade in shares and not for civil servants who are thinking of life after retirement.
Most of our investment on shares between 2003 and 2008 were wasted by Some Directors of the quoted companies