The Nigeria stock market is gradually returning to the bullish trend in the first two weeks of 2010. It appears good times are back at the Nigeria capital market as the market began on a good note in the New Year with a total of N405b about ($2,700,000,000) realized in the market capitalization within the first seven days of the year.

The good news at the National Security Exchange (NSE) opening on a bright note may be enough to reassure Nigerian investors to return to the market.

Chairman of NSE, Professor (Mrs.) Ndidi Okereke-Onyiuke declared that the ongoing investors’ renewed confidence in the nation’s capital market has been encouraging.


Okereke-Onyiuke confirms that financial commitment of foreign investors in the Nigeria Capital Market in 2009 was worth N214.7b (about $1,431,333,333) against N195.6b about ($1,304,000,000) recorded in 2008. Also, their investment in cheap stock and bond also accounted for 31.32% of the Exchange aggregate turn over, stating further that the planed Asset Management Company (AMC) offers the Nigerian Financial market the opportunity of a life time to strengthen its infrastructures and put the markets in a better position to handle contingencies as experienced by the market in 2008/2009.

Investors according to her are still testing the pulse of the market and may likely increase their stakes on listed equities soon. “…some of our foreign investors are returning while new investors are seeking opportunities, considering the key attributes of high returns, liquidity ad safety of investments.

Hence despite the global recession, our market still remained attractive to foreign investors and portfolio managers seeking cheap equities and high yielding bonds” she guarantees. Assuring further that stock prices having reached bottom prices, are bound to appreciate. She however asks investors to take position against the imminent boom in the market.

Since the beginning of the global economic meltdown, Nigerians in their numbers have continued to count loses through company shares, a development that has scared many away from the capital market. But the President of Nigeria Stock Exchange keeps assuring that “the market has reached bottomless pit, it can go nowhere else but to go up, up and up”. She enthused. This however may not hold water to those who have lost several millions of Naira but re-investing may be a wise decision after all.