June 7, 2018
By Peter OBIORA InvestAdvocate
Lagos (INVESTADVOCATE)- The Nigerian Stock Exchange (NSE) said a total of 179 claimants out of a total of 885 investors claims it referred to the Investors’ Protection Fund (IPF) as at December 31, 2017 were compensated.
This is contained in the NSE’s 2017 annual report and coming on the heels of its 57th Annual General Meeting (AGM) held Thursday at the Stock Exchange House in Lagos, Nigeria.
According to the report, out of the 885 claims referred to the IPF, 659 claims were successfully verified while 226 claims are yet to be verified. ” A total of 250 claims were designated as abandoned by the board of trustees of the IPF,” the report added.
The NSE says a fewer number of claimants were compensated in 2017 (17 investors with a value of N6.4 million when compared to 2016 were 59 investors had a value of N18.9 million. “This is due to certain factors outside the control of the IPF,” the NSE disclosed.
In terms of complaints management, the Exchange confirmed a total of 300 complaints were received in 2017 out which 230 representing 77 percent were successfully resolved. While, 70 complaints are yet to be resolved; out of which 48 were against active dealing member firms, 21 against inactive dealing member firms and one (1) complaint against a non-member firm.
The NSE disclosed that of the 204 unresolved complaints brought forward from 2016, a total of 129 representing 63 percent were resolved with an outstanding 75 unresolved, bringing the total unresolved complaints as at December 31, 2017 to 154. “It is important to note that the unresolved complaints brought forward from 2017 reduced 29 percent when compared to the number brought forward from 2016,” the Exchange affirmed.
According to the report, 64 percent of the unresolved complaints were those against inactive dealing member firms which are still undergoing disciplinary actions at various stages of the Exchange’s disciplinary process.
The NSE says it posted a group total income of N8.30 billion, indicating 86 percent Year-on-Year growth and declared a surplus before tax of N3.8 billion compared to N66.6 million in 2016 up 5,629 percent.
“This represents an 86 percent increase in gross earnings when compared to the N4.46 billion achieved in 2016. Surplus before tax grew by 5,629 percent in the same period,” the NSE said.
“This positive performance, after the significant headwinds witnessed over the past two years, affirms the resilience of our market and its potential as a catalyst of economic growth in Nigeria and the hub for Africa. Focus on executing our robust strategy of cost efficiency, products and revenue diversification, as well as innovative and improved operational delivery, underpins this strong performance, ” Oscar Onyema, NSE CEO said while commenting on the results.
“ We have deployed a new four year corporate strategy that will reposition us as a more investor friendly and customer-centric exchange hub in Africa. With this new strategy, we are poised to deliver superior performance for our multi-faceted stakeholders especially issuers and investors who continue to access our market to raise and save capital respectively, ” Abimbola Ogunbanjo, president, National Council of NSE said.
Below are the key achievements claimed by the NSE in 2017:
· Market capitalisation at N22,917,906,741,966.20 grew by 41.59% when compared to N16,185,729,639,209.90 in FY 2016
· All Share Index appreciated by 42.30% from 26,874.62 to 38,243.19
· Achieved new listings across diversified product classes – 41 Bonds, 19 equities, 5 ETFs and 15 Memorandum Listings
· Rated 3rd best performing stock exchange in 2017 by CNN, awarded CSR Company of the Year by Lagos Chamber of Commerce & Industry, named Employer of The Year by HR People’s Magazine
· In partnership with the Debt Management Office, launched FGN Savings Bond, Green Bond and Sukuk to promote financial inclusion in Nigeria
· Commissioned Tier 3 designed data centre with cloud computing capabilities
