Wednesday, October 23, 2024
28 C
Lagos

NSE Unveils Composition of New Market Indices July 1

The Nigerian Stock Exchange (NSE) will unveil the composition of new market indices on Wednesday, July 1, 2015.

This follows the results of the bi-annual review for The NSE 30 and the five sectoral indices of The Exchange – The NSE Banking, The NSE Consumer Goods, The NSE Oil & Gas, The NSE Industrial and The NSE Insurance.

The Nigerian bourse began publishing The NSE 30 Index in February 2009 with index values available from January 1, 2007. On July 1, 2008, the NSE developed four sectoral indices with a base value of 1,000 points, designed to provide investable benchmarks to capture the performance of specific sectors.

The sectoral indices comprise of the top 10 most capitalised and liquid companies in the Banking, Insurance and Food/Beverage & Tobacco (now Consumer Goods) sectors and the top five most capitalised and liquid companies in the Oil & Gas (Petroleum Marketing) sector.

The indices, which were developed using the market capitalisation methodology, are rebalanced on a biannual basis -on the first business day in January and in July. The Stocks are selected based on their market capitalisation from the most liquid sectors.

The liquidity is based on the number of times the stock is traded during the preceding two quarters. To be included, the stock must be traded for at least 70 percent of the number of times the market opened for business.

The Exchange was not oblivious of the fact that the number of the stocks included in some of the indices may be inappropriate for optimal portfolio diversification; however, the numbers would be reviewed as sector conditions change.

The Nigerian bourse began publishing the NSE 30 Index in February 2009 with index values available from January 1, 2007.  On July 1, 2008, The NSE developed four sectoral indices and one index in 2013, with a base value of 1,000 points, designed to provide investable benchmarks to capture the performance of specific sectors.

The sectoral indices comprise the top fifteen most capitalised and liquid companies in the Insurance and Consumer Goods sectors, top ten most capitalised and liquid companies in the Banking and Industrial Goods sector and the top seven most capitalised and liquid companies in the Oil & Gas sector.

The compiler of the indices maintains the right to modify the circulated selection above in connection with any mergers, takeovers, suspension or resumption of trading or any other company structure changes during the period before the effective date of the annual review.

spot_img
spot_img
spot_img

Hot this week

Pension: New Compliance EXCO to Address Industry Challenges

The newly elected compliance executives of the pension industry...

Exploring Trust, Authenticity, Engagement in a Saturated Digital Space 

By Elvis Eromosele Humans are naturally biased. This makes changing...

PenOp Partners PenCom on Maximising Potential of RSA Fund VI, Exploring Sharia-Compliant Investment

The Pension Fund Operators Association of Nigeria (PenOp), along...

Heirs Energies Commends NUPRC at 3, Points Way Forward for Sector

Mr. Tony Elumelu, Chairman, Heirs Holdings Group has commended...

$1tn Economy: PenCom DG Seeks Commitment from Insurance, Pension Operators

Stakeholders in the nation’s insurance and pension sectors have...

Topics

Sovereign Trust Insurance Partners Igbobi College on Industry Career

Cross Section of Igbobi College Students, Teachers and Staff...

DHL Renews Sponsorship of eCommerce Africa Conference 2019

DHL Express in Sub-Saharan Africa (SSA) has announced that the...

Stanbic IBTC Pension Attributes Stable Outlook Rating to Commitment to Excellence

  Stanbic IBTC Pension Managers Limited, a subsidiary of Stanbic...

AfDB Unveils ‘New Deal for Energy in Africa’

The African Development Bank Group (AfDB) unveiled its landmark initiative to solve Africa’s huge energy deficit by 2025 at a High Level Stakeholder Consultative Meeting attended by business and political leaders at its headquarters in Abidjan. The “New Deal for Energy in Africa,” which charts the way for a transformative partnership on energy focuses on mobilising support and funding for the initiative from five key areas.

‘IFRS 9 Will Enhance Transparency of Financial Transactions in Insurance Sector’

Mr. O.S. Thomas, Deputy Commissioner (Technical), National Insurance Commission...

Standard Bank Leads in Africa with Digital Innovations

Standard Bank is on a committed journey of rapid...

Top 10 Takeaways From Protein Challenge Webinar Series 5

Protein deficiency, the state of the relative or absolute...

 SEC DG, Lamido Yuguda, Says Reforms Will Rejuvenate Nigerian Economy

President Bola Ahmed Tinubu has been commended for the...
spot_img

Related Articles

Popular Categories

spot_imgspot_img