NSE suspends 50 stockbroking firms.....

[Stockmarket_Voyeur]

An extract from the Vanguard's online paper reads

"THE Nigerian Stock Exchange (NSE) yesterday suspended indefinitely 50 stockbroking firms for unwholesome practice in the sale of 400 million shares of NASCON Plc."

The full article is here
http://www.leadershipnigeria.com/pro...969f8a5c92830e

If anyone knows the specific stockbroking firms that have been suspended, please share........

[whatsup]

Doeas anybody know if the NSE is trading today. I went to the website and there is no updates on live trading so I am not sure.

If banks are closed should the NSE have traded yesterday?

Just wanted @All opinions

* I have just checked the NSE website again and it says market open. Apologies for the error.

[Avocado]

The DG, NSE had explained that the special sale was occasioned by the limited supply of the shares and the sustained interest of investors on the company.

According to her, the additional offer would make the stock (NASCON) more liquid and also address the problem of short supply. Explaining further, she said that a core investor in NASCON agreed to off-load that quantity of shares for other investors to buy after a meeting with the management of NSE to address the problem.

Hmnn... Dangote the Father Xmas... we get that. Why can't some govt. agency accept that they allowed Dangote to save a publicly quoted company but against the rules? Will that lead to disaster??

According to her, 21 bid for between 5.1 million to 9 million but were given 200 million units each. While 26 that bid for between 9.1 million and 20 million units but was given 2.5 million units.

Madam DG couldn't have said this, or, she couldn't have meant this if she said it. 200 millionX21 equals a number greater than 400 million; the 200million is clearly 2 milion.

... she said that the notice for the special sale has been on for three weeks before Friday.

Thank God for Proshare. They knew of this thing 3 weeks in advance; some of them only informed clients in the last days, some had no decency to inform at all. Now, all NASCON shares are with the stockbroking houses, waiting to sell at any time for margins, inlcuding fees.

She warned that brokers are to buy directly for their clients through their Central Securities Clearing System (CSCS) numbers.

Apparently, many didn't!

.

[oseitutu]

Na waa o. If dem suspend 50 then how many remain? If such number of firms went wrong then definitely the laws/regulations are shaky. If Ndi no dey fear make she publish the list. Abegi, make dem go rest. 9ja na so so girigiri we sabi. Okereke-Onyiuke should resign if 50, not 10 but 50 stockbroking firms no keep to im rules. This is what happens when you bend the rules for big fish. They could have simply let the shares out gradually......say 10 million a day or in batches of 10 million each with 1% price difference each. Let us see how this one unfolds.

[richestowealth]

I'll bet my bottom dollar that Cashcraft is among them.

[c kenneths]

Originally Posted by richestowealth

I'll bet my bottom dollar that Cashcraft is among them.

Richestowealth, how are you so sure?

[eriksbmw]

@ c kenneths

I guess that's just richestowealth's 2 kobo......due to bad service I'm sure !

A lot of people are complaining about cashcraft these days.

[richestowealth]

Originally Posted by c kenneths

Richestowealth, how are you so sure?

Because they did what DG mentioned to me and other clients.

[c kenneths]

I am only trying to see if any stockbroking co. is exempt from this bad service meted out to investors, last week i had a prolonged shouting match with officials of Fidelity union securities before the simplest things could be done for me, awful.

[anekwlc]

c kenneth,
I completely agree with your comment, I am also experiencing poor services from my broking firm. With recapitalisation and continous price appreciation, the brooking houses trades more for themselves and care less for investors (customers) because they make more money from price appreciation than commission. We may probably team up one day and register a stock broking firm

[Avocado]

Originally Posted by richestowealth

I'll bet my bottom dollar that Cashcraft is among them.

They aren't, so ther goes your bottom dollar

Apparently, their rotten attitude to some of their clients doesn't carry over to the regulators. And, just so you know, Cashcraft was recently under investigation for a few days and they came out clean. They have a plus: their website.

.

[Curious]

...and how long have you been working for Cashcraft

Originally Posted by Avocado

They aren't, so ther goes your bottom dollar

Apparently, their rotten attitude to some of their clients doesn't carry over to the regulators. And, just so you know, Cashcraft was recently under investigation for a few days and they came out clean. They have a plus: their website.

.

[olusolakemmy]

nigeria is a peculiar country where funny things happen.
after suspending 50, you should mention names and conditiong required before they can start trading again.

i am dead sure, all the broking firms will be telling lies about their status, and give client other reason as to why they are unable to get their stocks purchased.

The buttom line, is that investor are at the receiving end of such purnishment.
if u try to swap your broker, it takes ages, atleast one of my friend experince it when he changed his own.

suspending 50 broking firms, means you are paralysing the activities of the capital market by 40-50%, 50 is a huge number!!!!!!!!!!!!

[alanbow]

I totally agree.

In a proper society, if you suspend 50 brokers, you will list thier names so people can make alternative arrangemnets instead of being lied to by the firms.

The impact on investors will be enormours and may even cripple short term investors. Combining this with the ongoing strike might be a blow too much for many

Swaping brokers as mentioned is painful and long. I am in the middle of the process and desperately writing people in the NSE and CSCS if there is a way to stop my move.

[olusolakemmy]

i want to assume that our leaders act on impulse without considering the consequencies.

i hope to speak with my broker first thing monday monrning, strike or no strike.

instead of swaping broer that take a long time, why not have another one, i understand you can have more thank one broker.

[oseitutu]

I am so sure we in Nigeria can do better on the stock exchange floor if there could be more transparency. Now if indeed 50 firms were suspended, then the recovery of the bear market yesterday and today may be artificial. It is unfortunate that if EFCC tries to investigate Okereke-Onyiuke,or any top official of NSE or SEC our market may scatter! So let them manage our Nigerian version of transparency joo.
Regarding changing stockbroker, If anyone wants to change broker, simply cash out. Each time you sell from your portfolio, cash out. When you have found another broker, cash in. Trying to do it the normal way, my people, will take long and the relinquishing party, that is the firm you are leaving will so delay you that .....in short no be person go tell you to coolu temper. Remember our ministries and Government parastatals when you need something to be done officially. Simply cash out gradually.
And yes, talking about our 'mature press', why has the list of suspended brokerage firms not been published?