Market Report: Creating Liquidity Transparently in Lagos - October 2024

In the CEO Interactive Session and market reports presented, key metrics like total share capital, volume dematerialized, and operating brokers/firms were analyzed. Trade values, quarterly volumes, and market leaders were also highlighted, providing insights into the market's liquidity. The data showcases a trend towards transparency and efficiency in trading activities.

• Market Report
• Liquidity
• Transparency
• Lagos
• Market Leaders

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1. CEO INTERACTIVE SESSION 2 Lagos, 8 October, 2024 Creating liquidity Transparently 1

2. MARKET REPORT Creating liquidity Transparently 2

3. MARKETIN NUMBERS Admitted Securities 26 Total Share Capital 107 billion Volume dematerialised 16.33 billion Dematerialised Percent 15.20% Operating / Registered Brokers 64 / 200 Operating /Registered Firms 64 / 107 Volume of trades Q1 16 144 million Number of trades Q1 16 648 Value traded Q1 16 959 million 08/10/2024 Creating liquidity Transparently 3

4. Q1 16 TRADE METRICS Description Amount 958.66 Total Trade Value ( million) Total Trade Volume (million units) 143.98 Total Deal Count 648 Average Daily Value ( million) 1.48 Average Daily Volume (million) Average Deal Count 0.22 11 Days consecutive trade (March 2016) 60 Dematerialisation level 15.20% 08/10/2024 Creating liquidity Transparently 4

5. QUARTERLYTRADEINFORMATION 2015 TODATE 18 18 16 16 Demat Level (Bn) Demat % 14 14 12 12 10 10 8 8 6 6 4 4 2 2 0 0 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 08/10/2024 Creating liquidity Transparently 5

6. UNLISTED SECURITIES INDEX INCEPTIONTODATE 1,200.00 1,000.00 800.00 600.00 400.00 200.00 - 08/10/2024 Creating liquidity Transparently 6

7. QUARTERLYTRADE VALUES Quarterly Trade Volume Q1 '15 665,333.19 Q2 '15 Q3 '15 Q4 '15 2,377,755 Q1 '16 958,662 Series1 3,398,814.78 4,501,723.26 08/10/2024 Creating liquidity Transparently 7

8. MARKET LEADERS No of Trades Total Value Traded Rank NASD REGISTERED DEALING MEMBER 1Nigerian International Securities Limited 163 396.71 2Arthur Steven Asset Management Limited 97 210.22 3Bestworth Assets & Trust Limited 19 194.47 4Calyx Securities Limited 51 180.36 5CSL Stockbrokers Limited 26 117.00 6Eurocomm Securities Limited 61 114.93 7GTI Securities Limited 35 111.77 8Anchoria Investment & Securities Limited 124 93.30 9Cashcraft Securities Limited 39 71.14 10Equity Capital Solution Limited 87 68.24 08/10/2024 Creating liquidity Transparently 8

9. CHARACTEROF OTC SECURITIES 63% of admitted securities are profit making Expected recovery among others Wide age distribution Wide spread in levels of corporate governance Over 300 eligible securities available 08/10/2024 Creating liquidity Transparently 9

10. CURRENT ISSUES 08/10/2024 Creating liquidity Transparently 10

11. ASEA CONFERENCE 2015 EXCERPTS (1) 1. Active investors are looking for companies with growth potential in Africa. They see past macro indicators 2. We are competing for investment funds with the rest of the world. It is up to us to structure the right environment 3. Driving down markets for gain is counter intuitive. It drives down confidence 4. We must actively encourage transparency and good corporate governance 08/10/2024 Creating liquidity Transparently 11

12. ASEA CONFERENCE 2015 EXCERPTS (2) 5. The more educated all stakeholders are; the more vibrant the market 6. If we harness the power of information and technology, we create a bigger picture 7. Proprietary trading is critical in any emerging market provided operators have researched 8. Derivatives is now a catchphrase. Are we ready? 08/10/2024 Creating liquidity Transparently 12

13. MARKET EXPANSION Private Equity (1) Committees are active and working Engaged SEC in the build process Workshop and Market launch in Q2 Market Making (7) Rules now approved by SEC Rules loaded onto website Now open for registration 08/10/2024 Creating liquidity Transparently 13

14. MARKET EXPANSION Linked Notes(8) Guidelines Approved by SEC and on website Open to structure Crowd funding Rules submitted to SEC for approval May require waiver of ISA segment 08/10/2024 Creating liquidity Transparently 14

15. MARKET ENHANCEMENT ISSUES Pricing (2&3) Is the price band of 10% per day appropriate? Should minimum 50,000 units apply to all? Information is critical (4) Analyst calls poorly attended (20%) Last analyst call is a disincentive to others Analysis of top 40 only is an error 08/10/2024 Creating liquidity Transparently 15

16. FOCUSON DATAISSUE 6 Website data portal to open in Q2 Agreements being signed with Asoko, Bloomberg, Reuters NASD occupies Page 37 of Businessday 08/10/2024 Creating liquidity Transparently 16

17. MARKET ENHANCEMENT ISSUES Registered Securities List is on website Opportunity to bring 100 companies Certificates sold without effecting changes in Registrars record 08/10/2024 Creating liquidity Transparently 17

18. EXPECTATIONSFORQ2 16 Various training programs are available (5) Agusto & Co program on valuation / analysis Compliance and operations AGM of NASD 6 May 2016 Workshop on PE initiative Increase in Dematerialisation 08/10/2024 Creating liquidity Transparently 18

19. MARKET PRICING Issue Next Steps Introduction of price band (+/- 10%) Participating Institutions perspective? Introduction of minimum volume of 50,000 units across board to move price 08/10/2024 Creating liquidity Transparently 19

20. SUMMARYOF ISSUES 08/10/2024 Creating liquidity Transparently 20

21. LEGACY ISSUESON CERTIFICATES Issue Next Steps Certificates sold without effecting changes in Registrars record How long should this be accommodated? What additional documentations should be required to effect sale on platform? 08/10/2024 Creating liquidity Transparently 21

22. ABSENCEOF NASD MARKET DATAON PI WEBSITE Issue Next Steps Only few participating institutions have NASD market data on their website or affiliates itself with the market What timelines should be given for regularisation? What assistance do you require from NASD to achieve this? 08/10/2024 Creating liquidity Transparently 22

23. MARKET MAKING Issue What Next SEC approved market making initiative Application form available on NASD website Participating Institutions perspective? 08/10/2024 Creating liquidity Transparently 23

24. POOR TURNOUT DURING ANALYST CALLS Issue What Next Very low participation of member firms during Analyst calls relative to the total number of registered firms Not receiving our invitations? What can we do better to improve turnout and participation 08/10/2024 Creating liquidity Transparently 24

25. ELIGIBLE COMPANIES Issue What Next List of Eligible securities now available on NASD website Brokers to download new list Participating Institutions perspective? 08/10/2024 Creating liquidity Transparently 25

26. ADVERT ON NASD WEBSITE Issue What Next Available space for advertisement of website Interested firms should reach out to us via info@nasdng.com Available space on NASD permanent half page in Business Day newspaper Any constraints ? 08/10/2024 Creating liquidity Transparently 26

27. A.O.B Any other burning issues? 08/10/2024 Creating liquidity Transparently 27