Established in 1960, the Nigerian Stock Exchange is one of the relatively new stock exchanges in the world. Still, it is one of the prominent stock exchanges in Africa.
Before the Nigerian Stock Exchange was established, formal savings and deposits were relegated to the banking system. Meanwhile, major capital balances were invested on the London Stock Exchange.
The NSX was also previously called the Lagos Stock Exchange, which started operations in 1961. During that year, only 19 securities were listed for trading.
Currently, the number grew to 260 securities. It also has reverted back to using its old name, the Logos Stock Exchange, although it is still popularly known as the NSX. The stock exchange has also expanded to six branches; each branch has its own trading floor.
Most of the companies listed in the NSX have multinational or foreign affiliations. These companies vary from agricultural to services.
It was because of the several acts of legislature that the Lagos branch was established. Lagos is considered the central trading area although an exchange office was also opened in the capital of Nigeria, which is Abuja.
“Our word is our bond.” For brokers participating in the Nigerian Stock Exchange, integrity is important. Their code: “our word is our bond,” demonstrates not just wit in the use of language, but also the commitment of NSX to creating a reliable and efficient exchange market for their clients.
Due to this motto and their dedication, the NSX has grown tremendously. There are now hundreds of institutional investors and around three million individual investors using the facilities of NSX. Never in the history of the NSX has it been involved in scandals, fraud, shocks or insider dealings.
The NSX uses an Automated trading System that makes it possible to trade in a virtual environment. Business starts quite late, with the trading starting at 11 AM.
On March 2007, the NSX was recorded to have a capitalization of $125 billion. The only index the NSX has is the Nigerian Stock Exchange All Shares Index, which contains all the listings.
Your Popup Blocker Must Be Off