Investment Sentiment in Nigeria

A family visit took me to Nigeria last week, I still had time to look around and gauge the mood of investors.

One thing that stood out was their dissatifaction with the services of brokers, brokers are now fielding calls from investors who wish to liquidate positions for whatever purpose.

This generally is no fault of the brokers, it's the lack of understanding of financial products including stocks by the man on the street.

It seems that since most investors received shares direct from the registrar which aren't easily bought and sold as those shared held in broker nominee accounts.

I tried explaining this to a friend who was desperately in need of cash and expected his shares to be sold within a week by his broker unfortunately he learnt that this isnt the case the hard way.

On the plus side, there is still retail capacity to accomodate further IPO's or rights issues and I suggest you accumulate for the long term.