It was yet another show of strength among broker-dealers trading on the Nigerian Stock Exchange, as the top 10 players in the market sustained their hold on transaction activities in the 12 months of 2019.
According to data released by the bourse, the top-10 stockbrokers crossed a total of 85,533,945,140 ordinary shares, representing 53.84% of the year’s total volume; as well as N1,351,595,698,835.38, or 70.14% of total transaction value for the year.
Research by Investdata showed that transaction volume by the big 10 on the NSE dropped for the third consecutive year. It fell by 9.625bn or 10.11%, when compared to the 95.158bn shares traded by the top 10 brokers between January 2 and December 31, 2018. As a percentage of the total, the volume increased from 46.9%. At the end of trading for the year ended December 29, 2017, the top stockbrokers crossed a total of 107.042bn units or 53.24% of that year’s total.
Stanbic IBTC Stockbrokers Limited, a subsidiary of Stanbic IBTC Holdings, a member of South Africa’s Standard Bank Group, however, maintained the premier position on both the volume and value side of the table last year.
In 201 9, according to the NSE data, Stanbic IBTC Stockbrokers traded a total of 13,893,825,196 units of various listed companies, valued at N336,960,679,114.48 representing 8.75% and 17.49% of total volume and value respectively. The value of shares traded by the company dropped by N129.577bn or 27.77% last year, compared to the N466.537bn, or 19.38% of total, which was an increase from the N403.491bn, or 15.85% which also earned it the first position in 2017.
Further comparison of last year’s transaction data showed that Stanbic IBTC Stockbrokers retained the number one position in volume terms for the second year, after crossing 17.002bn units, or 8.38% of total volume in 2018; an increase from 15.375bn in 2017. The position was occupied by United Capital Securities in 2017. United Capital Securities which occupied the second position in 2018 with 14.625bn shares, or 7.21%, a significant decline from 30.392bn shares or 15.12% of total a year earlier, was pushed off the table at the end of 2019.
A further breakdown of last year’s table showed that apart from Stanbic, Rencap Securities Nigeria, EFG Hermes Nigeria, CSL Stockbrokers, Chapel Hill Denham Securities and FBN Quest Securities, appeared on both sides. Qaulinvest Capital Limited, Cardinalstone Securities, Morgan Capital Securities and Greenwich Trust, only showed up on the volume table.
Those that only booked spaces on the value table at the end of the year included Tellimer Capital, APT Securities and Funds, Coronation Securities and Meristem Stockbrokers.
Specifically, Qaulinvest was second on the year’s volume table with 12.05bn units or 7.81% of the total; followed by Rencap’s 9.12bn shares, which changed hands for N239.415bn, or 12.42%, which placed it second on the value table. EFG Hermes came fourth with 8,772bn units or 5.52% of the year’s total, valued at N188.58bn, representing 9.79% and earned it third place on the table; CSL Stockbrokers was number five in terms of volume in the year under review, after it accounted for 7.807bn, worth N119.53bn, representing or 4.91%, and 6.2% which placed it fifth and fourth and in volume and value terms.
Cardinalstone Securities traded 7.539bn units or 4.75% of volume; Greenwich pooled 7.531bn shares or 4.74%; Morgan Capital, 6.837bn or 4.3%; followed by Chapel Hill’s N6.794bn or 4.28%, occupying the sixth position on the value table; while FBN Quest was number 10 in volume terms, as it traded 4.829bn shares or 3.04%, worth N72.239bn, or 3.75%, occupying the eighth position on the value table during the year.
On the value table also, Tellimer Capital came fifth with N103.669bn or 5.38%; APT followed Chapel Hill on the table, accounting for N77.632bn or 4.03%. Coronation Securities’ transactions for the year were worth N66.481bn or 3.45%; while Meristem Stockbrokers completed the table with N63.999bn or 3.32% of the year’s total transaction value.
In 2018, CSL Stockbrokers retained third position with 14.281bn units or 7.04%; as against 12.87bn units or 6.4%; CardinalStone Securities Limited traded 10.824bn units or 5.34%; up from 5.695bn units or 2.83% in 2017; Rencap Securities, 9.143bn shares, or 4.51%; which was slightly lower than 9.695bn units, or 4.82%, which ranked it fourth.
Apel Asset Limited, which was unranked in 2017, followed, trading 6.231bn shares, or 3.07%; ahead of Morgan Capital Securities Limited exchanged 6.154bn units on behalf of clients, representing 3.03%; just as EFCP followed with 5.924bn shares, or 2.92%; FBNQuest Securities, 5.881bn units, or 2.9%, as against 5.662bn or 2.82% in 2017; and Meristem Stockbrokers, 5.079bn or 2.5%, down from the 6.978bn units or 3.47%.
In terms of transaction value, during 12-month ended December 31, 2018, the top-10 stockbrokers accounted for N1.633tr, representing 67.89% of total for the period, which was less than the N1.915tr, or 75.23% of total recorded in the corresponding period of 2017.
In 2018, Rencap Securities came third in value terms with N290.447bn, or 12.07%, an improvement from its fourth position in 2017 when it recorded N234.642bn, or 9.22%. CSL Strockbrokers retained its third position with N238.865bn, representing 9.92% of total, compared to N312.789bn, or 12.29% in 2017; EFCP placed fourth with N218.841bn, or 9.09%, improving from eighth in 2017 when it crossed shares valued at N84.392bn, or 3.32%. FBNQuest Securities followed with N123.793bn, or 5.14%, as against its sixth place in 2017 when it crossed shares worth N89.159bn; Chapelhill Denham Securities ranked sixth position with N85.471bn, or 3.55%, up from its 10th position in 2017 after it helped clients to cross shares valued at N66.876bn. Cardinalstone traded N57.656bn worth shares, or 2.4%; Cordros Securities was next with N55.266bn or 2.3%, compared to N218.409bn, or 8.58% in prior year; United Capital was on number nine with N45.197bn, or 2.16%, same position as in 2017 when it crossed N81.96bn or 2.63% of total value for the year; while Primera Africa Securities, N45.197bn, or 1.88%.