@ACL, let the stockbroker hold on to the AIICO, it will rise immediately after TS is lifted on the stock, as for Lasaco, it is not looking too bad now.

You still have two months to wait from the tone of your post, so hang on there, AIICO may do a 50% after TS is off.

Insurance stocks TS

Hi all,
Pls what do you think of NEM, Guinea Ins and UNIC in terms of TS? Is any of them inclusive on the TS list soon? Abeg I no wan receive anoda Wema treatment o! Thanks.

wanaj0:



Foor me UBN na SELL for short, medium and LONG. I mean the mangement is totally BEREFT of ideas. Out of all the old generation banks, it is only UBN that is still stuck in the OLD ways of oing things. Old bank being run by old men with old ideas and old systems. When FBN was doing the V-mobile deal, why can't UBN do MTN or even Glo? They were just there doing like a cash office.

Ecobank/Sterling merger will be a difficult one . Just stay clear.

Wanajo thanksooo. Pls can you talk about First Alluminium and Dunlop? Any correct future for them? Turn around de for dunlop ooooo. or so I hear.

Yes, you are right about UBN. To withdraw N100k the other day, I almost went to take a Casual Leave from work. I hear some people de carry mattrass go now just to pay in not even to withdraw. Its not just a case of old men, the women on the counter there are great grand mothers - some breaking egusi Any hope? Its like money is safe there, so said some peeps. Especially those that new generation banks, like All States BANK, have taught pepper during the hay days of bank madness, where some banks had only just one branch and were allowed to be collecting money from people like business centre! Anyway that era is gone now. New foreign partner wan join UBN now and their PE is very sweet

aNYWAY, Pls tell us something about Dunlop, First Alluminium and Tripple GEE. Penny stocks they are!

Can I please get opinions on GUINNESS and CUTIX which am now considering for SELL instructions? I have held this two since last year September, and have lost considerably with CUTIX, and GUINNESS has been stagnant. I will appreciate candid advice in the house.

@Kpineo

You still fully dey onboard PHB, aba na greed be that; you knew first turbulence was at N29 and N32 be max altitude for initial run. Anyway, the thing go take off again as Oga pilot Pumping mention - But when the time come, i go dey onboard this one. I no go look dey do analysis, from tower.

SavvyLanre:

@Kpineo

You still fully dey onboard PHB, aba na greed be that; you knew first turbulence was at N29 and N32 be max altitude for initial run. Anyway, the thing go take off again as Oga pilot Pumping mention - But when the time come, i go dey onboard this one. I no go look dey do analysis, from tower.

Hmmm, that flight still dey? Pumping777, you still dey fly am? Anyway, from my own perspective, the next thing that can make this stock move up will be the 9month result, which should be out sometime in May. But the thing is that before then, the PO shares will be listed (March 3, according to prospectus) and PO sellers will work their usual deal on the share price and create further buy opportunities for those of us that exited at 30 something  . But then again, wonders may happen and things could very well turn out differently . . . So make  your decisions.

what is happening with the ipo done by international breweries guys!

what is happening with the ipo done by international breweries guys!

I cannot wait 4 another IPO,Nairaland open my eyes no be small.

ALWAYS PREFER IPO,NOT LOOKING TO SELL SOON. 18-24mths.


Thanks very much guys,it had been a pleasure reading this forum 24/7.

I've been telling friends here in canada,US and Europe about the information on this site.

abocana:

I cannot wait 4 another IPO,Nairaland open my eyes no be small.

ALWAYS PREFER IPO,NOT LOOKING TO SELL SOON. 18-24mths.


Thanks very much guys,it had been a pleasure reading this forum 24/7.

I've been telling friends here in canada,US and Europe about the information on this site.

@Abocana,
Problem I have with the IPOs & POs lately is that they get to return a great chunk of your monies due to the new phase that's been used around all offers - "OVERSUBSCRIPTION."

@All Nairalanders,

Sorry, I never really get to contribute to this discussion cause of my location. I am mostly unavailable when you guys are on.

Investor Information


National Insurance Commission (NAICOM), the regulatory body for insurance practice has stated that has commenced the liquidation of seven insurance companies.

The companies were said to have failed to raise their respective capital base in tune with their capitalisation mandate handed the operators by the Federal Government in 2005.

The companies are
* Metropolitan General Insurance Company Limited;
* Sun Insurance Nigeria Plc;
* Mutual Assurance Limited;
* Presidential Insurance Plc;
* Trustworld Insurance Company Limited;
* The Lion of Africa Insurance Company Limited; and
* Energy & Special Risks Insurance Company Limited.

Mr. Mike Umeh, Head of the commission’s Corporate Affairs Department advised the general public not to enter into any insurance transaction with these companies.

In the release titled “Takeover of Insurance Companies that Failed to Meet up With the Recently Concluded Insurance Industry Recapitalisation Exercise”, Umeh confirmed that these companies could not meet the recapitalisation deadline and as such, the commission has appointed takeover managers to oversee their liquidation.

“Following the successful completion of the recent recapitalisation exercise in the nation’s insurance industry in which 49 companies were recertified, the National Insurance Commission has appointed takeover managers to the underlisted companies which failed to meet up with the exercise,” he stated

“By this takeover, the companies have seized to exist as registered insurance companies. Consequent upon this development, the public is hereby advised to desist from dealing with these companies forthwith,” he added.

He also reassured all the stakeholders in these companies that the commission has taken necessarysteps to protect their interests in accord with theprovisions of both the 2003 Insurance Act and the 1997 National Insurance Commission Act.


WE MUST WAIT AS USUAL FOR CLARIFICATIONS ON HOW INVESTORS WILL GET THE MONIES BACK.

WE HAVE NO FURTHER INFORMATION ON THE SUBJECT TO SHARE AT THIS TIME.

WE DO HOWEVER KNOW THAT A FEW OTHER FIRMS REMAIN THAT HAVE NOT BEEN APPROVED AND FOR WHICH WE ARE STILL EXPECTING PRONOUNCEMENTS FROM NAICOM ON THEIR STATUS. WE MUST ASSUME THAT IN KEEPING QUIET, NAICOM IS SAYING THAT BUSINESS CAN GO ON WITH THESE FIRMS WHICH IS A BIT CONFUSING REALLY.



Copyright 2008 Proshare Limited. All Rights Reserved



Please what implication has this got on the shares of the general insurance sector??

and this one from Money wise, thread with caution



Sectors that will make money for Investors in 2008


====================================
Generally, things are likely to look up for the Stock market for most of fiscal 2008, but the uncertain prospects for subdued primary market operations represent a signal for caution. The presence of huge cash in the system (strong market liquidity) will expectedly, sustain investing enthusiasm and drive turnover and share prices to new highs. But the strong support that has come from the primary market in the past three years may be cut off this year. This is something to be on the watch out for.



MW soft comment

There is every reason to believe that investors in the Stock market will continue to make good money either with their own money or with other people's money.

How active the primary market will be depends on the final outcome of the proposition of the House of Representatives' Committee to suspend further public offers by banks pending the outcome of an investigative committee being set up. The development could be expected to slow down the growth of the overall market and cause the secondary market arm to overheat. In other words, money will be chasing fewer stocks.

New issues have provided a major push for the high growth the Stock market has recorded in the past two years. In 2006, the Nigerian Stock Exchange approved new issues valued at N1.65 trillion. In 2007, new issues, merger and acquisition deals amounted to N2.4 trillion or 22.4 per cent of the Gross Domestic Product (GDP).



MW soft comment

Head or tail, banks will continue to win in the Stock market and so will the investors. This may not be good for the economy, but can the investors complain?

The Nigerian Banking sector accounts for the bulk of the new issues, as consolidation in the industry has induced a second round of recapitalisation by banks. In 2007, banks accounted for N1.6 trillion or 66 per cent of the funds raised through initial public offers (IPOs). Banking sector's dominance of the market reflects the fact that minimum capitalisation of banks is subject to regulation and regular increase.



MW Soft comment

Those who have money to invest should brace up as government policies will make more millionaires out of the Stock market investors even from where they had not made money before. Are you ready?

Government's spending will be strong enough to keep the economy on the path of expansion and corporate performance outlook for 2008 is quite promising. It can be expected that the prosperity will extend to more sectors and industries with significant multiplier effects on the rest of the economy.

With strong liquidity in the system and growing awareness, investors will most likely get the secondary market overcrowded as long as the primary market window remains shut or significantly restricted. In competition to enter available instruments, there is a high chance of overpricing of equities in the secondary market, which will work back on returns.



MW Soft Comment

For investors looking for good returns in the Banking sector, a wise approach may be to look in the direction of banking stocks whose prices are relatively cheap. The sky is their limit in terms of growth.

The Banking sector can be expected to remain active in the secondary arm of the market and triple digit growth in revenue and profit will sustain strong share price advances in the sector generally. The relatively low-priced Banking stocks are more promising in terms of capital growth prospects.

Capital growth is likely to be cautious among the big banks in reflection of both their already higher equity prices and recapitalisation-induced slow down in earnings and dividend per share prospects. Banking shares, however, remain the main instruments in the market to provide depth for high volume deals and suck huge liquidity expected to compete for investment instruments this year.



Mw Soft Comment

This, definitely, is the year of the Insurance stocks most of which are still penny stocks (selling below two digit figures). So, if you want to make more money, the sector to train your focus is the Insurance sector.

This looks like a year for Insurance stocks for two reasons. The first is that the companies will put to use for the first time the over N80billion raised in the last recapitalisation and consolidation project. The new money will raise underwriting capacity and finance diversification projects.

The second is that the likely slow down in banks' primary offers will shift a lot of attention to insurance, which now provides depth for high volume trading and quite promising on earnings growth and share price advances. Expect another round of recapitalisation by Insurance companies in the New Year.



MW Soft comment

This is the year of value investors. Because of the availability of cash, previously inactive companies will bounce back to life. Good news for bargain hunters.

With strong economic growth, earnings growth is expected to step up across sectors and industries and that will prop up some recovery candidates. Value investors and bottom fishers can expect to find good candidates, as some weak stocks swing back into action. Strong consumer spending will enable industries to improve sales revenue and profit margins can as well be expected to stretch out. Favourable regulatory policy environment will most likely reinforce the expected general improvement in corporate results.

In 2007, Capital market operations recorded rapid growth in both the primary and secondary arms. Consolidation in the Banking sector and further competitive positioning in the sector provided the main drive for growth in activities during the year. Competitive equity building by banks targeting strategic market positioning in the post-consolidated environment, led to another round of high volume capital raising projects in 2007. The consolidation-induced high growth in earnings also led to a major rally of banking stocks in the secondary market.

At the end of December 2007, the value of trading in securities rose from N470.3 billion in 2006 to N2.1 trillion, a jump of 343.7 per cent. The market's turnover ratio doubled from 14.7 per cent to 28.2 per cent over the period. Market capitalisation advanced by 159.6 per cent to N13.3 trillion and the All-Share Index of the Nigerian Stock Exchange (NSE) rose by 74.7 per cent above its year's opening level to close at 57,990.22.



Sustaining high growth



Soft Comment

Take it or leave it: the Nigerian market is likely to continue to be the most profitable market in Africa. Since money launderers cannot take their loot abroad any longer, it would remain here. So, everybody come inside!

Despite a likely slow down in primary market activity this year, the Nigerian market is very likely to maintain the record of Africa's fastest growing Stock market and one of the fastest growing markets in the emerging markets group. Two major regulatory developments have increased the attractiveness of the Capital market in terms of capital flow.

The first is government's effort against money laundering, which has recorded an appreciable success in stemming capital flight. This has made a significantly increased volume of financial capital available for investment in the domestic financial markets. For the first time in about three decades, the Nigerian economy is retaining estimated 80 per cent of domestic investment capital that used to reside across the borders.

The second regulatory development that increased the availability of investment capital in the domestic financial markets is the attainment of exchange rate stability. That has reduced the attractiveness of foreign currency denominated assets and by closing the opportunity of reconverting same to the Naira at a depreciated exchange rate. The developments have helped to achieve a high level of stability in financial markets and made available large sums of capital for investment in the Stock market. As much as 70 per cent of funds available for investment is now headed to the Capital market.

Banks on high growth path



MW soft comment

You'd believe us; you cannot catch up with the banks in their ability to be creative. They will continue to make money for all of use. We are happy with the banks. Are you, too?

The reforms in the Banking sector have set the entire financial services industry on a high growth path. Banks are on a mission to increase market share in the domestic market and also position for presence and press for increased role in the international market. In pursuit of these objectives, they have built strong equity footings, and thus, equipped themselves to expand core banking operations and extend tentacles to the entire financial services industry through subsidiaries.

With sustained high volume capital-raising, the Banking sector has increased dominance of the equity market. Banks now dominate the list of most actively traded stocks and membership of the 20 top highest capitalised equities. With a lot of public offers still in process, the 20 top listing is likely to become an all-bank affair over the next one year.



MW soft comment

Banks, all the banks, will make more money this year and what that means is that they will make more money for the Capital market investors. Prices of banking stocks will rise rapidly. More will declare jumbo dividend. There can't be better tidings for investors!

There has been a spectacular performance in share price advances for Banking stocks, as the operators have generally maintained rapid recovery in earnings per share and rate of returns. A strong growth in earnings is happening industry wide; and with that, the capacity for improved investor compensation has improved as well. The strong growth in bank earnings is an indication of declining investing risk in the sector and this can be expected to increase further the popularity of Banking shares among investors.

Equity investors are currently reaping good rewards of consolidation with the high growth momentum sustaining into the third year of post-consolidation. General industry prospects remain quite promising and Banking shares carry a low-risk rating for both short- and medium-term engagements. To find equities capable of building higher prices in the short-term, Banking stocks remain highly promising.

The domestic economy also carries an improved rating in terms of investment attractiveness. This reflects a marked decline in the risk of political uncertainty, sustained rapid economic growth, and greater stability of financial markets with benign behaviour of interest and inflation rates. High crude oil prices have sustained high growth in government revenue and robust spending votes have had a stimulating impact on the level of business activity generally. This is amid growing awareness of Stock market investing.



Short-term returns from long-term market



MW Soft comment

There are good tidings for speculators and those who know how to use borrowed money this year. With wisdom, they will make more money and faster than long-term investors

The increasing attractiveness of the Stock market reflects the prospects for high short-term returns from an otherwise long-term market. The rapid growth in the market itself has provided an excellent opportunity for high returns in the short-term. The high returns prospects explain the ability of the market to defy political uncertainty and achieve a leap of 74.7 per cent in the NSE's All-Share Index in a year of election-induced political uncertainty.

The Stock market challenged the risk of political uncertainty and much worry over the nation's general elections that hitherto were widely expected to be turbulent. Politically sensitive financial capital didn't flee even when the economic and political climate became quite unpredictable. The impact of political uncertainty on the Stock market was significantly tempered by the rare opportunity the market provides to double and triple investment values in the short-term.



Attracting foreign investors



MW soft comment

We can predict firmly that the banquet of prosperity that will be available in the Stock market will not be enjoyed by Nigerians alone. Foreign investors, including Nigerians living abroad, will demand their share of the wealth. And who will stop them. Nobody because the wealth can take care of all of us!

The Stock market is getting a good attention of foreign investors and fund managers with its exceptionally good returns becoming too good to ignore. The market is seen as a sure evidence of a gradual return to flight capital and repatriation of funds by Nigerians in the Diaspora. Strong improvements in the external sector of the economy have also placed Nigeria among major destinations for investment capital within the emerging markets.

In 2007, foreign portfolio investment was in excess of N256 billion, soaring from N35 billion in 2006. This accounted for 12.3 per cent of aggregate market turnover.

The trend of growing inflow of foreign originated investment capital is expected to be sustained and improved in the post-election environment. Domestic financial markets are again, expected to remain liquid with a number of government stimulatory spending votes coming on this year.

With inflation rate still high relative to money market rates, equities remain one of the most attractive investment vehicles for the current year. Again, with public infrastructure still are in a state of disrepair, prospects for real sector investments are still less promising. The financial sector is, therefore, likely to remain the main attraction of foreign direct and portfolio investors in the short-term.



Watch out for insurance stocks



MW soft comment

There is no need for a soothsayer to know that the Insurance stocks will make money for investors this year. Just go in there and invest!

Insurance is another high growth industry that is likely to give investors a big leap in 2008. Like in the Banking sector, recapitalisation has spurred high growth in the Insurance sector, as the operators are building much bigger underwriting capacity and diversifying operations into other arms of the financial services market.

The process of recapitalisation in the Insurance sector has been rescued from a controversy that unduly delayed the conclusion and release of more than N80billion funds raised by various companies during recapitalisation. The funds, which were held in the Central Bank's Escrow Account for almost two years, have since been released to so as to drive the expansion and diversification projects of the companies.

Insurance stocks have resumed their bullish drive in the year in response to the resolution of the stalemate in the industry and the upsurge in share prices can be expected to be sustained this year. Insurance and Banking stocks are the two sectors where investors can hope for the biggest returns in the Stock market in 2008. The relatively low-priced Insurance stocks appear to have an edge over banking equities in terms of capital growth prospects for the current year.



Increasing long-term capital



MW soft comment

Close your eyes, and let's pray for the pension fund administrators. As long as they keep on pumping money into the Stock market, investors will continue to make more money. And you know what, there is no reason the financial tap will stop running as long as more employers patrnonise them.

The operations of the Pension Scheme have provided a growing support for the Capital market, as long-term funds become increasingly available. An increasing number of employees are registering with the National Pension Commission (PENCOM) for retirement accounts. This is increasing business for pension funds administrators (PFAs), which have become key actors in the Stock market.

The availability of long-term investment capital has raised the market's capacity to absorb high volume public offers. There is now a greater impact of institutional investing and trading in securities in the market. Pension contributions are estimated at between N8 and N10 billion monthly and contributions by public and private sectors are estimated to be in excess of N400 billion at the end of 2007.

The sustaining inflow of pension funds has, however, raised new challenges in terms of absorptive capacity of the Capital market. The market is rather slow in developing the depth and investment options needed in response to the demand for financial assets under the pension reform. How much of pension funds the Capital market can attract depends on the availability of a variety of instruments with different investment characteristics and options.



Banks take the stage



MW soft comment

You don't have more money of your own to invest? Not to worry. Banks will dangle more credit (margin) for those who care to ask them. But talk to Moneywise for wisdom on how to make money using other people's money.

With significantly improved operating capacity, banks are providing a driving force in the development of major arms of the Capital market. These include pension funds management and mutual funds operations. The expansion of mutual funds is continuing, as banks position to plug into yet another big opportunity being opened up by Capital market reforms now underway.

Capital market operations have been boosted by easier availability of bank financing and credit from other financial institutions. Margin facilities are now readily available from banks and these will enable investors increase investing and trading volumes in equities. This is one of the main channels through which banks are expressing their bigger operating capacities in the post-consolidation environment. Banks remain highly liquid and this has empowered them to step up competition on the asset side of the balance sheet.

Margin financing presents an escape route for banks from the rising incidence of bad debts in an economy with a faltering real sector. Under worsening infrastructure, the operating difficulties facing the industrial sector are persisting and banks are expectedly stringent with new lending for real sector businesses. Short-term lending and investing within the financial markets are, therefore, expected to remain the main concentration of banks in 2008. The stock market-based investments will most likely be a major destination of bank financing in the year.

The low-interest rate environment against a bullish Stock market provides a favourable environment for margin trading. With a high level of liquidity in the system, there has been no real pressure for money market rates to rise. The low-interest rates environment has lifted Stock market activities from two angles. The first is the opportunity to borrow short-term funds to play for higher returns in the Stock market. The second is the exit of higher returns-seeking capital from low-yield money market instruments into equities.



Market developments



MW soft comment

The market will come out with innovations that will make money making in the Stock market a piece of cake. Just be vigilant, but open your mind.

The market is shifting gradually towards electronic-based operations. Electronic processing of shares of fresh and bonus issues is becoming a standard for the market. This represents a major development that has given the Stock market a big leap forward. A directive to finally end the issuance of share certificates by the end of this year has been given.

By January 2009, all shareholders and intending shareholders will be expected to have stock accounts at the central depository to enable direct crediting of scrip and primary market issues. The developments can be expected to improve corporate governance standards and take the Nigerian market one step higher in the international ranking of stock exchanges.

The market has also recorded an important step in the area of respect for time value of money. First Bank of Nigeria has opened the chapter by making the first ever interest payment on over-subscription funds it is returning to subscribers. This can now be expected to become a standard for the market.

PHEW!!!!!!!!!!!! THAT WAS QUITE LONG

nice information though.

windywendy:

Hmmm, that flight still dey? Pumping777, you still dey fly am? Anyway, from my own perspective, the next thing that can make this stock move up will be the 9month result, which should be out sometime in May. But the thing is that before then, the PO shares will be listed (March 3, according to prospectus) and PO sellers will work their usual deal on the share price and create further buy opportunities for those of us that exited at 30 something  . But then again, wonders may happen and things could very well turn out differently . . . So make  your decisions.

No o. The flight don crash land since last week. I dey hang on to the fuselage. As a captain sha I no fit abandon my ship(abi na plane sef). If you get spare aircraft wing make you throw one or two down to me here, I must get what is left to the terminal building 

And just watch that things will indeed turn out differently

@ All,

I hail you oh. Its good to be back from the presumed vacation.

Had to take care of some business and I am still on it oh.

I greet everyone and thankss for the concern shown although e no too last oh.

I say humbly today, The sky is the limit for a bountiful harvest year for us all.

About the N40 million

The money is small when the NSE is concerned.
Please make una no criticise fatherof2 or I go come fight una.

If the guy took the facility and invested in Oceanic around December and Sold at N39. Sold everything and plunged into the seesaw insurance sector, he for dey smile now and for dey close to write off that loan with interest. He will now trade that off and move into FCMB or Oceanic, The guy for just resign from work later this year.

Abi,

Ride on Fatherof2. I dey your back solidly.

My N40 million guy, believe and keep faith and you shall achieve.

@ All,

I hail you oh. Its good to be back from the presumed vacation.

Had to take care of some business and I am still on it oh.

I greet everyone and thankss for the concern shown although e no too last oh.

I say humbly today, The sky is the limit for a bountiful harvest year for us all.

About the N40 million

The money is small when the NSE is concerned.
Please make una no criticise fatherof2 or I go come fight una.

If the guy took the facility and invested in  Oceanic around December and Sold at N39. Sold everything and plunged into the seesaw insurance sector, he for dey smile now and for dey close to write off that loan with interest. He will now trade that off and move into FCMB or Oceanic, The guy for just resign from work later this year.

Abi,

Ride on Fatherof2.  I dey your back solidly.

My N40 million guy, believe and keep faith and you shall achieve.

ah ololufemi, how now, howz Oga Ovia doing?
abeg anyone else riding shotgun on the Costain ride? Nice to see its still on bid, I actually think it might get to N26 or so before engine quench post TS but since end of year is March, might even reach N30-N35 by say March/April once FY results reach based on market sentiments.

What's up Nairalander!!! Newbie in town! Please does anyone have suggestions on the best stock to buy within the week. Much luv to all yall in this forum. Glad to see naija's are willing to invest in naija!!!

wanaj0:

na small small, 10k today, 5k tomorrow. Note that most of the shareholders cannot even locate their certificates. Some rats don chop am. So it is not easy. If you enter eraly and stay long enough, na X 10 be those kind of stocks.


big time brokers no dey get those kind of shares to BUY. na hustlers dey buy am. So if you dey use the psychadelic brokers, no show. Get someone wey go dey hustle for floor ringing bell for the stock. Some PP's were done like that. Guinea insurance was one. universe Re was another. Even the issuing houses no go get name.


You msut look forsuch stocks when everybody dey avoid am!!!! That's why it is for long term. Once you however get in, na enjoyment you dey.

that's the problem with timing the market. You cannot!!!

Now when you talk of short term, it also depend on your starting point. That's what people miss when they do analysis. They all don't have the same cycle (that will change with uniform end year and it will make the market dull because peaks and troughs will occur at the same time and no more CICO).

Apart from banking stocks, many few sectors have the amount of units to amke you a 'billionaire'. That's why people get stuck with the banking stocks. If you are trading with small funds, you can be doing the otehr sectors but for the big tickets, na banking. just stay in and cool temper. you go enjoy later.

I still believe that you can make the billionaire's list faster today with other stocks apart from banking and there are very good candidates and I'm not talking about penny stocks without good fundamentals.

A friend traded around N55M on the following stocks between November last year and this January. AGLeventis, Beta Glass, CILeasing, Lawunion, Japaul, Unic and Crusader. To be fair he also carried a lot of Japaul over from TS. No banking stock. I never agreed with his portfolio but he insisted he was not touching any high cap company. Net profit to the bank was about N26M. These are the little drops that make the ocean.

Agreed, maybe his luck will not always hold but the point is this. Nothing in banking could have given such returns in those same 2 months as it were, CICO or otherwise. I also traded on all the stocks above but together with banking and some other stocks that drove down my average.

He has his eyes on N500M and the plan is definitely not to hit the target in a year but in a few years it is still possible to make all the money he wants looking at other sectors. On the NSE, nominal price matters so much.

pumping777:

I still believe that you can make the billionaire's list faster today with other stocks apart from banking and there are very good candidates and I'm not talking about penny stocks without good fundamentals.

A friend traded around N55M on the following stocks between November last year and this January. AGLeventis, Beta Glass, CILeasing, Lawunion, Japaul, Unic and Crusader. To be fair he also carried a lot of Japaul over from TS. No banking stock. I never agreed with his portfolio but he insisted he was not touching any high cap company. Net profit to the bank was about N26M. These are the little drops that make the ocean.

Agreed, maybe his luck will not always hold but the point is this. Nothing in banking could have given such returns in those same 2 months as it were, CICO or otherwise. I also traded on all the stocks above but together with banking and some other stocks that drove down my average.

He has his eyes on N500M and the plan is definitely not to hit the target in a year but in a few years it is still possible to make all the money he wants looking at other sectors. On the NSE, nominal price matters so much.

Pumping, If I have 10m units of Chellarams how long do you think it will take for me to sell them? same for Beta Glass, C & I Leasing etc. Look at Nigerian German and the total number of oustanding shares. So while in terms of %age gain you make money, when it comes to volume, you are disadvantaged. What I tell people is that when you are young and agressive with small portfolio, go for this high risk, illiquid but potentially growth stock. As your portfolio size increases, you will find out that you will need to move towards the large cap stocks.

With N1bn war chest, you will likely buy 25m units of first bank. That order can be filled in like a month. For C & I, Trans Express, Chellarams, it will take till thy kingdom come. Some did not have that quantity traded over the whole year!!!!! That is the difference.

The insurance sector is liquid now because of the just concluded consolidation programme which led to a rash of offers. Prior to that, check the volume traded.

@ Pumping777,

Oga pumping, I dey greet you oh. How was the PHB flight. I hope sey you know sey that flight na new york e dey go but just dey in transit for heathrow airport.

Hope sey na the full flight you buy and you dey ready when it will take off.

I still dey kampe.

@ Wanaj0,

I dey hail you oh.

There is no better sector than the banking sector, CICO or RORO or chop and clean mouth or etc does well in this sector. It takes strategic thinking and decisions to achieve the goal but I strongly believe it can be achieved

@wanaj0

I understand when the portfolio grows to a particular level, it will not be possible to concentrate on such stocks again but for the growing period, these are still valid candidates.

I don see some big timer one dis forum. Abeg make una help me. I de think about banking sector and contruction stocks. Any suggestions?

ololufemi:

@ Wanaj0,

I dey hail you oh.

There is no better sector than the banking sector, CICO or RORO or chop and clean mouth or etc does well in this sector. It takes strategic thinking and decisions to achieve the goal but I strongly believe it can be achieved

Where you waka go since Longest time OOOO. Na the offer kept you busy? Tell Jim that the quantity sold was damn too small. I pity those applying for more than 10k units. 5k unit is more like it. Please help look for Frankiri also. He too don disappear since. Though you were in the vault counting your loot from CICO and RORO. Was wondering maybe it was taking the bank a whole month to finish counting the LOOT.

pumping777:

@wanaj0

I understand when the portfolio grows to a particular level, it will not be possible to concentrate on such stocks again but for the growing period, these are still valid candidates.

You got it now.

Aside, while penny stocks seems to offer the highest return, note also that they can be very STAGNANT!!!!!! Sometimes no trade on them at all for a week!!!!! So, the strategy is not foolproof especially for short term. Nothing as bad as carrying your good to the market with no buyer. It's like a beautiful lady dancing naked just to attract suitors and still no one dey look her side.

Liquidity is key in developing a strategy for stock market investing.

@ Pumping,

Are you sure that most of those stocks can all be sold in a day. Buying stocks you can easily dispose off is necessary with funds like that.

There is a big difference between spreadsheet money and real cash Oga Pumping oh.

Not trying to ursurp your authority on stocks but just my view.

I am sur most of your stocks are still being held.

@ Wanaj0,

My brother, we thank GOD oh for his mercies. I sure sey Frankiri dey hibernate somewhere.

About the Zenith offer or any PO offer, more than 5000 units and the person go get returned money.

I bought about some units of PHB on PO but did max of 5000 on each form.

That is the way forward on the bank POs now.

It might even reduce to 3000 sef.

Say International breweries and one of my guy wey dey rejoice don wan sing new song oh. I even warn the guy. How you go carry 650,000 buy international breweries when PO are now being underwritten 80% by the issuing houses and the volume of receipts is even astronomical.

That obalende suya wey people even talk about on this forum go get over subscription.

@ Fatherof2,

Baba e ku orire oh. More blessing to you. I don land back for nairaland. Hope you enjoyed the PHB flight. The flight dey in transit oh. na new york e still dey go oh.

Theonly baba ibeji and father of double portions.

I dey your back. Show me your enemies and I go deal with them

Thanks for your concern while away on the thread.

Your advice is highly valued and appreciated.

@ololufemi

you are wellcome, it realy nice to have u back on board,
how is jim, and hope you realy enjoy all your loot, hope you are still in phb jet abi you don jump out

@ tommy t,

jump ke, when na transit stop we do for heathrow. I just commot use some profit go shopping for harrods and jermyn street. As the flight dey depart for the next destination, i dey on board kampe.

Can somebody explain the effects of the insurance companies consolidation, especially for thos who have a huge holding in their shares?

Ololufemi! (My lover? )

Just having you back today has fulfilled my daily dose of comedy. I can now face work for the rest of the day!

Genuine:

Can somebody explain the effects of the insurance companies consolidation, especially for thos who have a huge holding in their shares?

More money to make by investors

Peace.