By Babajide Komolafe
Since it debuted February this year, Investors Forum has been receiving complaints from investors on a weekly basis. The subjects of these complaints are very revealing in terms of the plight of investors, in the Nigerian capital market, especially the retail investors.
While these complaints reveal that there is huge interest to invest in the capital market among retail investors, they are however usually the victims of fraudulent operators, and weak regulation in the market. It is easy to attribute their plight to the problem of ignorance, it is also obvious that these investors wish to know and learn, but the market seems not interested in educating or enlightening them.
Why? The focus is on the wholesale and institutional investors. Why spend time and commit resources to educate people with shallow pockets when you can make all your money by clinching the patronage of one or two institutional investors. That is why retail investors are treated with contempt, not only by operators but also by regulators.
This attitude is however due to the ignorance of the fact that it is these retail investors that provide stability to the market. Unlike the big investors, they are usually long term investors; they are not traders but investors. They don’t pull out of the market at ever
y sign of crisis. They stay because they are there for the long haul.
It is quite understandable if stockbrokers, registrars ignore and treat retail investors with contempt. Stockbrokers make money from buying and selling hence they are more interested in trader investors. Those who want to buy today and sell tomorrow, which is what the wholesale and institutional investors do. The regulators however are supposed to protect investors, especially the small ones. To make sure that operators don’t take advantage of their ignorance, and vulnerability to defraud them. The regulators of the Nigerian capital market would claim they are doing this, but the several complaints received by Investors Forum reveal the opposite.
For example, it is so glaring that 70 per cent of retail investors don’t even know about the regulators in the market, or any of the institutional framework where they can get redress. Be it the Securities and Exchange Commission (the apex regulatory body), the Nigeria Stock Exchange, or the Institute of Capital Market Registrars (ICMR), very few retail investors know about them.
This is so because the regulators are making little or no efforts to enlighten these investors about their existence, and the help they render to them. The regulators may argue that it is not so, but that is the reality on the ground. Compare this to what is happening in the banking industry. Some time ago, the Nigeria Deposit Insurance Corporation (NDIC), the organisation established to protect depositors’ money in banks, realised that there is low public awareness about it, and its role.
This was because depositors of liquidated banks were not coming to collect their money. To address this, the corporation among other things, introduce a week long, annual awareness programme. It was tagged, Deposit Protection Awareness Week, which involves visitation to major markets across the country, traditional rulers, press conference, fliers/sticker and billboard advertisements. All just to make sure that bank customers know that there is an organisation protecting their bank deposit. This kind of effort is glaring lacking and urgently required from capital market regulators. But that is if and only if, they are indeed sensitive to the plight of investors.
(To be continued next week)
Showing posts with label Investors Forum. Show all posts
Showing posts with label Investors Forum. Show all posts
Monday, 2 September 2013
Telcos, others require more incentives to list on NSE
By William Jimoh and Ediri Ejoh
Boniface Okezie: I think beyond calling on companies to be listed on the exchange, both the Nigerian Stock Exchange (NSE) and the Security and Exchange Commission (SEC) should be able to create an enabling environment for oil companies to list. It is not only about mere pronouncement for them to come and list, and not only about the listing fees that will be paid.
They must also take time to find out the challenges the already listed companies are passing through. We have a lot of oil companies like Oando that are listed today, what is their stake in doing business, their shares are declining on daily basis. We have the Total of this world, Mobil, Conoil, Eterna Oil and others; I think they must be assisted by the regulatory authority to have an environment that is conducive for doing business.
The regulator needs to define the criteria for listing the foreign companies properly. The companies would want to know if listing on the Exchange will not impact them negatively will their equity continue to go up or the reverse will be the case?
You must also declare terms on when they should come and when they can leave. We want them to come and list including the MTN, Etisalat, and Globacom which is an indigenous conglomerate operating in both oil and telecommunication. What I think is stopping those companies from coming to list on the exchange is the fact that the environment is not favorable enough for them. The regulator therefore should join the minority shareholders in our plead to the government to provide a conducive environment both for the already listed companies and for those that are yet to be listed on the exchange most especially those that are doing business in the country.
As stated earlier, those companies will also want to look at what is happening to their competitors that are already listed on the exchange and see whether they are doing well or not.
By listening, at the end of the process, you want the fees to be paid, so there must also be level playing ground, they should be able to see that one particular set of companies are not to be favored at the expense of others operating in the same market. There must also be total transparency, and honesty in the operation of the market, and these are things they should be saying and urged to come into the market. (Mr. Boniface Okezie, President of the Progressive Shareholders Association of Nigeria)
Pastor Williams Adebayo: That is one issue I think now than before, should be given priority in the market, if possible, legislation should be put in place to mandate all the big companies doing business in the country which are not listed on the Nigerian Stock Exchange.
If our legislators can do this for us, we as minority shareholders will be very happy. And beyond our satisfaction with such a step, the presence of this market will also boost the growth we are experiencing in the market today as well as contribute to the growth of the Nigeria economy, thereby making the country a destination for higher attraction to foreign investors to invest.
Like we all know the telecommunication sector is the fastest growing business in the country today, thus if the service providers are listed, it will certainly better the market and the ordinary man can buy their shares and make some profits.
Aside the telecoms, there are some big oil companies among others doing business in the country that are not listed, consideration should also be given to these areas too because they are all areas of potentials that need to be exploit.
A company like Promasidor that is making good strife in the Nigerian market, whose products are virtually in every part of the country should have no excuse for not listing. And when this happen, they will be able to compete well with other companies in the health care division where Nestle is currently dominating. And if the competition (Pastor Williams Adebayo is the President Greenwich Shareholders Association of Nigeria)
Boniface Okezie: I think beyond calling on companies to be listed on the exchange, both the Nigerian Stock Exchange (NSE) and the Security and Exchange Commission (SEC) should be able to create an enabling environment for oil companies to list. It is not only about mere pronouncement for them to come and list, and not only about the listing fees that will be paid.
They must also take time to find out the challenges the already listed companies are passing through. We have a lot of oil companies like Oando that are listed today, what is their stake in doing business, their shares are declining on daily basis. We have the Total of this world, Mobil, Conoil, Eterna Oil and others; I think they must be assisted by the regulatory authority to have an environment that is conducive for doing business.
The regulator needs to define the criteria for listing the foreign companies properly. The companies would want to know if listing on the Exchange will not impact them negatively will their equity continue to go up or the reverse will be the case?
You must also declare terms on when they should come and when they can leave. We want them to come and list including the MTN, Etisalat, and Globacom which is an indigenous conglomerate operating in both oil and telecommunication. What I think is stopping those companies from coming to list on the exchange is the fact that the environment is not favorable enough for them. The regulator therefore should join the minority shareholders in our plead to the government to provide a conducive environment both for the already listed companies and for those that are yet to be listed on the exchange most especially those that are doing business in the country.
As stated earlier, those companies will also want to look at what is happening to their competitors that are already listed on the exchange and see whether they are doing well or not.
By listening, at the end of the process, you want the fees to be paid, so there must also be level playing ground, they should be able to see that one particular set of companies are not to be favored at the expense of others operating in the same market. There must also be total transparency, and honesty in the operation of the market, and these are things they should be saying and urged to come into the market. (Mr. Boniface Okezie, President of the Progressive Shareholders Association of Nigeria)
Pastor Williams Adebayo: That is one issue I think now than before, should be given priority in the market, if possible, legislation should be put in place to mandate all the big companies doing business in the country which are not listed on the Nigerian Stock Exchange.
If our legislators can do this for us, we as minority shareholders will be very happy. And beyond our satisfaction with such a step, the presence of this market will also boost the growth we are experiencing in the market today as well as contribute to the growth of the Nigeria economy, thereby making the country a destination for higher attraction to foreign investors to invest.
Like we all know the telecommunication sector is the fastest growing business in the country today, thus if the service providers are listed, it will certainly better the market and the ordinary man can buy their shares and make some profits.
Aside the telecoms, there are some big oil companies among others doing business in the country that are not listed, consideration should also be given to these areas too because they are all areas of potentials that need to be exploit.
A company like Promasidor that is making good strife in the Nigerian market, whose products are virtually in every part of the country should have no excuse for not listing. And when this happen, they will be able to compete well with other companies in the health care division where Nestle is currently dominating. And if the competition (Pastor Williams Adebayo is the President Greenwich Shareholders Association of Nigeria)
Complaints and Investigations
No dividend from Access Bank
I want to complain of the stock I bought at Access Bank. Till today I have not receive any dividend. Please how do I go about it? (Titilope Odupaye)
Investors Forum
Please contact the registrar of Access Bank. The company is United Securities. The contact is United Securities Limited 10, Ojikutu Street, Victoria Island, Lagos. Telephone: 01-2714566 or 01-2714567)
I want to sell part of my shares and GTBank. But I don’t have a CSCS account, and neither I am able to determine the total bonus. Please how can you help?
(Akinola J.A)
Investors Forum
This implies that you still have the shares certificates. You will need to first dematerialise the certificates, meaning put them in electronic form, and deposited in a CSCS account. This may take some time but without doing so, it would be almost impossible to sell the shares. To achieve this you need the services of a stockbroker. Visit the website of Nigeria Stock Exchange (www.nse.com. ng) for list of registered stockbrokers.
I am yet to get the money invested in Trade Bank IPO
I told you how I bought Trade Bank Shares and it closed down in 2005. Money was refunded to some investors, but mine was not. Please help me.
Investors Forum
Please send a complaint to
Securities and Exchange Commission (SEC) or and copy vanguardinvestorsforum@gmail.com. If there is no response from SEC after three weeks. Send a reminder to us, and we would take up the matter. The address of SECOND is: SEC TOWERS, Plot 272, Samuel Adesujo Ademulegun Street, Central Business District P.M.B:315 Garki Abuja
Email: sec@sec.gov.ng
No dividend from AP & Benue Cement
I am a shareholder of African Petroleum and Benue Cement co. Please how can I receive my dividend through my bank accout. For some years now I have not get any dividend. (Aterezi O. Isaac)
Investors Forum
Visit the registrars of the companies, and tell them you want to register for electronic dividend. African Petroleum is now Forte Oil and its registrar is Zenith Registrars Limited. The contact is Plot 89 Ajose Adeogun Street. Victoria Island Extension, Lagos. Tel: 234-1-2708930-4. E-mail: enquiry@zenithregistrars.com. Also Benue Cement has been acquired by Dangote Cenment. The registrar of the company is Afribank Registrars Limited. The contact is 2A Gbagada Expressway, Anthony Village, Lagos. P.M.B.12021 Lagos. Phone: +234 1 2691867, 2692094, 7735963; Fax: +234 1 2692019
Complaint against Stock Investment Limited
I gave my share certificate to my stock brokers called Stock Investment Limited for dematerialisation since 2008. He gave me CSCS statement in respect of some of the shares but could not give me in respect of my Guiness Nig Ltd, Nigeria breweries, First Bank and Oando. He pays me dividends from his office in respect of these shares. My problem now is that I want CSCS statements in respect of these shares. He trades on these shares without giving me anything. Please advise me. (Bar G A Ukpebor)
Investors Forum
We could not find any stockbroking firm called Stock Investment Limited. But there is one called Century Stock Investment Limited. We hope that is the name of the stockbroking firm otherwise, you might have been relating with a fake stockbroking firm. However, we advise you to visit the Central Securities Clearing System, and search for the account created for you.
This is to ascertain that the broker is even telling the truth. If the search produces negative result, send a formal complaint to Securities and Exchange Commission (SEC). If there is no response from SEC after three weeks, send a reminded and copy vanguardinvestorsforum@gmailcom. The contact of SEC is SEC TOWERS, Plot 272, Samuel Adesujo Ademulegun Street, Central Business District P.M.B:315 Garki Abuja Email: sec@sec.gov.ng. The contact of CSCS is Central Securities Clearing System Plc, 1st floor Stock Exchnage House 2/4 Customs street Lagos or info@cscsnigeriaplc.com or 07025768449
Who are the registrars of Avon Crown Caps?
Who are the registrars of Avon Crown Caps & Containers (Nig) plc? (Barr. Eboh Patrick)
Investors Forum
The registrar is BOI Investment and Trust Company Limited. The contact is 23, Marina PMB 12855 Lagos Tel 01-2715215 Email: info@boitc.com
Is First Bank delisted from the stock exchange?
Please is First Bank shares delisted from stock exchange? Since 2010 I placed order requesting my broker to purchase First Bank shares for me ,and she gave reasons that they have not resume trading and my money is still hanging. I need advice
Investors Forum
First Bank is still listed on the stock exchange. There is possibility that your broker is playing games with your money. Demand that your money should be refunded and that you would report to the Securities and Exchange Commission (SEC) if the money is not refunded. If the situation persist, send a formal complaint to SEC TOWERS, Plot 272, Samuel Adesujo Ademulegun Street, Central Business District P.M.B:315 Garki Abuja Email: sec@sec.gov.ng.
I am confused over my investment
I am confused over my shares and dividends. What do I do ? I am an ignorant person in that aspect of life.
Investors Forum
What specifically is the issue? Is it that you are not receiving dividend or you have unclaimed dividend? We need specifics to decided the kind of advise we give.
Irregular signature on Firstbank IPO form
I bought Firstbank shares during its IPO in 2007 but I made some mistakes in filling-in my names and I cannot remember how I signed on it because I was naive at that time about issue of shares. But my signature is different now. Please help.(Tayo Adetunji)
Investors Forum
Take the share certificate, and other documents showing evidence of payment and purchase, and visit First Registrars at Plot 2 Abebe Village Road, Iganmu Lagos. You may also call 08033018295, 08191410456. Explain your plight to the company, and they would advise you how to correct the mistake.
I want to complain of the stock I bought at Access Bank. Till today I have not receive any dividend. Please how do I go about it? (Titilope Odupaye)
Investors Forum
Please contact the registrar of Access Bank. The company is United Securities. The contact is United Securities Limited 10, Ojikutu Street, Victoria Island, Lagos. Telephone: 01-2714566 or 01-2714567)
I want to sell part of my shares and GTBank. But I don’t have a CSCS account, and neither I am able to determine the total bonus. Please how can you help?
(Akinola J.A)
Investors Forum
This implies that you still have the shares certificates. You will need to first dematerialise the certificates, meaning put them in electronic form, and deposited in a CSCS account. This may take some time but without doing so, it would be almost impossible to sell the shares. To achieve this you need the services of a stockbroker. Visit the website of Nigeria Stock Exchange (www.nse.com. ng) for list of registered stockbrokers.
I am yet to get the money invested in Trade Bank IPO
I told you how I bought Trade Bank Shares and it closed down in 2005. Money was refunded to some investors, but mine was not. Please help me.
Investors Forum
Please send a complaint to
Securities and Exchange Commission (SEC) or and copy vanguardinvestorsforum@gmail.com. If there is no response from SEC after three weeks. Send a reminder to us, and we would take up the matter. The address of SECOND is: SEC TOWERS, Plot 272, Samuel Adesujo Ademulegun Street, Central Business District P.M.B:315 Garki Abuja
Email: sec@sec.gov.ng
No dividend from AP & Benue Cement
I am a shareholder of African Petroleum and Benue Cement co. Please how can I receive my dividend through my bank accout. For some years now I have not get any dividend. (Aterezi O. Isaac)
Investors Forum
Visit the registrars of the companies, and tell them you want to register for electronic dividend. African Petroleum is now Forte Oil and its registrar is Zenith Registrars Limited. The contact is Plot 89 Ajose Adeogun Street. Victoria Island Extension, Lagos. Tel: 234-1-2708930-4. E-mail: enquiry@zenithregistrars.com. Also Benue Cement has been acquired by Dangote Cenment. The registrar of the company is Afribank Registrars Limited. The contact is 2A Gbagada Expressway, Anthony Village, Lagos. P.M.B.12021 Lagos. Phone: +234 1 2691867, 2692094, 7735963; Fax: +234 1 2692019
Complaint against Stock Investment Limited
I gave my share certificate to my stock brokers called Stock Investment Limited for dematerialisation since 2008. He gave me CSCS statement in respect of some of the shares but could not give me in respect of my Guiness Nig Ltd, Nigeria breweries, First Bank and Oando. He pays me dividends from his office in respect of these shares. My problem now is that I want CSCS statements in respect of these shares. He trades on these shares without giving me anything. Please advise me. (Bar G A Ukpebor)
Investors Forum
We could not find any stockbroking firm called Stock Investment Limited. But there is one called Century Stock Investment Limited. We hope that is the name of the stockbroking firm otherwise, you might have been relating with a fake stockbroking firm. However, we advise you to visit the Central Securities Clearing System, and search for the account created for you.
This is to ascertain that the broker is even telling the truth. If the search produces negative result, send a formal complaint to Securities and Exchange Commission (SEC). If there is no response from SEC after three weeks, send a reminded and copy vanguardinvestorsforum@gmailcom. The contact of SEC is SEC TOWERS, Plot 272, Samuel Adesujo Ademulegun Street, Central Business District P.M.B:315 Garki Abuja Email: sec@sec.gov.ng. The contact of CSCS is Central Securities Clearing System Plc, 1st floor Stock Exchnage House 2/4 Customs street Lagos or info@cscsnigeriaplc.com or 07025768449
Who are the registrars of Avon Crown Caps?
Who are the registrars of Avon Crown Caps & Containers (Nig) plc? (Barr. Eboh Patrick)
Investors Forum
The registrar is BOI Investment and Trust Company Limited. The contact is 23, Marina PMB 12855 Lagos Tel 01-2715215 Email: info@boitc.com
Is First Bank delisted from the stock exchange?
Please is First Bank shares delisted from stock exchange? Since 2010 I placed order requesting my broker to purchase First Bank shares for me ,and she gave reasons that they have not resume trading and my money is still hanging. I need advice
Investors Forum
First Bank is still listed on the stock exchange. There is possibility that your broker is playing games with your money. Demand that your money should be refunded and that you would report to the Securities and Exchange Commission (SEC) if the money is not refunded. If the situation persist, send a formal complaint to SEC TOWERS, Plot 272, Samuel Adesujo Ademulegun Street, Central Business District P.M.B:315 Garki Abuja Email: sec@sec.gov.ng.
I am confused over my investment
I am confused over my shares and dividends. What do I do ? I am an ignorant person in that aspect of life.
Investors Forum
What specifically is the issue? Is it that you are not receiving dividend or you have unclaimed dividend? We need specifics to decided the kind of advise we give.
Irregular signature on Firstbank IPO form
I bought Firstbank shares during its IPO in 2007 but I made some mistakes in filling-in my names and I cannot remember how I signed on it because I was naive at that time about issue of shares. But my signature is different now. Please help.(Tayo Adetunji)
Investors Forum
Take the share certificate, and other documents showing evidence of payment and purchase, and visit First Registrars at Plot 2 Abebe Village Road, Iganmu Lagos. You may also call 08033018295, 08191410456. Explain your plight to the company, and they would advise you how to correct the mistake.
Subscribe to:
Posts (Atom)