Total transactions at the nation’s bourse for the month of February, increased by 54.06 per cent from N122.08 billion recorded in January 2019 to N188.08 billion (about $613.9 million).
The NSE said the performance of the current month when compared to the performance of the same period in the prior year revealed that total transactions reduced by 11.30 per cent. These total trading according to the Nigerian Stock Exchange were executed by domestic and foreign investors, as investors are further categorized into retail and institutional investors.
The available data showed that In February 2019, the total value of transactions executed by foreign investors outperformed those traded by domestic investors by 6.00 per cent
A further analysis of the transactions between the current and previous month revealed that total foreign transactions increased by 48.00 per cent from N66.85 billion in January 2019 to N98.94 billion in February 2019.
There was a significant increase in foreign outflows which increased by 97.80 per cent from N27.81 billion to N55.01 billion and foreign inflows which increased by 91.24 per cent from N22.97 billion to N43.93 billion between January and February 2019.
An analysis of domestic transactions indicated the value of the total transactions executed in the domestic market by institutional investors’ outperformed retail investors by 8.00 per cent
.A comparison of the trading in the current month and that of January showed that the total retail transactions increased by 38.26 per cent from N29.66 billion in January 2019 to N41.01 billion in February 2019.
The institutional composition of the domestic market also increased significantly by 88.15 per cent from N25.58 billion in January 2019 to N48.13 billion in February 2019.
This indicates a higher participation by institutional investors’ over their retail counterparts in February 2019.
The trading result showed that between 2011 and 2015, foreign transactions consistently outperformed domestic transactions. However, domestic transactions marginally outperformed foreign transactions in 2016 and 2017, and remained almost at par in 2018.
Foreign transactions which stood at N1.539 trilliin in 2014 declined to N1.219 trilliin in 2018. Over the 12 year period, domestic transactions decreased by 66.68 per cent from N3.556 trilliin in 2007 to N1.185 trillion in 2018.
Total foreign transactions accounted for about 51 per cent of the total transactions carried out in 2018, whilst domestic transactions accounted for about 49 per cent of the total transactions in the same period.
