September 18, 2019

Just in: Domestic, FPI hit in August

…As FPI outperformed domestic portfolio by 4%

 By Peter Egwuatu

The Nigerian Stock Exchange, NSE Wednesday announced that total transactions at the nation’s bourse for both the Domestic and Foreign  Portfolio Investment, FPI  increased by 7.5 percent to N121.99 billion (about $398.0 million) in August 20191  from N113.47 billion (about $370.4 million) in July 2019.

Nigerian Stock Exchange

Nigerian Stock Exchange

The performance of the current month when compared to the performance in the same period (August2018) of the prior year revealed that total transactions decreased by 8.85%. In August 2019, the total value of transactions executed by foreign investors outperformed transactions executed by domestic investors by 4.00 %.

A further analysis of the total transactions executed between the current and prior month (July 2019) revealed that total domestic transactions increased by 5.39% from  N55.69 billion in July to N58.69 billion in August 2019.

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Similarly, total foreign transactions also increased by 10.59% from N57.78billion (about $188.6 million) to N63.90 billion (about $208.4million)between July and August 2019.

The value of domestic transactions executed by institutional investors  outperformed retail  investors by 8.00%. A comparison of domestic transactions in the current and prior month (July2019) revealed that retail transactions decreased by 5.97% from N25.44 billion in July2019 to N23.92 billion in August 2019.

However, the institutional composition  of the domestic market increased by 12.95% from N30.25 billion in July 2019 to N34.17 billion in August 2019.