Saturday, November 23, 2024
33.3 C
Lagos

NSE’s New Equities Market Structure Set for July 2

The Nigerian Stock Exchange (The NSE) is pleased to announce that it has reviewed its Equities Market Structure, which shall become effective on Monday, July 2, 2018.

The new Market Structure will create a level playing field for all market participants and enable investors deploy broader trading strategies, enjoy best execution and benefit from enhanced market depth.

The changes to the Market Structure include:

  • Opening and Closing Auctions to be followed by Imbalance Sessions (where bids exceed offers, and vice versa). These Imbalance Sessions allow market participants enter Imbalance Orders to address imbalances from the auction sessions.
  • Expansion of participants in the auction period to enhance fairness and competitiveness of the price setting mechanism.
  • Introduction of the size test condition in price determination during the auction period; as it currently applies during the continuous trading session.
  • Changes to the market price volatility mechanism such that daily Limit up Limit down (LULD) price band is now based on a single reference price (i.e., the previous day’s close) to allow for a symmetric up and down limit of 10% throughout the trading day.

Commenting on the new equities market structure, the Chief Executive Officer of the NSE, Mr. Oscar N. Onyema, said: “The review of the equities Market Structure was carried out to support our hybrid market model which offers the benefits of best execution and tighter spreads to investors. Moreover, it provides potential for cheaper cost of capital to issuers in our market. This Market Structure is in line with our 2018 to 2021 corporate strategy aimed at boosting retail investor participation.”

Mr. Oscar Onyema CEO NSE
Mr. Oscar Onyema
CEO
NSE

Other information relating to the NSE market model can be found in the NSE Equities Trading Manual which will be made available on the NSE website from July 2, 2018.

The NSE remains committed to maintaining a platform that engenders a fair and efficient market in line with global standards.

spot_img
spot_img
spot_img

Hot this week

NASENI Holds Retreat to Align Goals of its Development Institutes

In order to achieve greater cohesion amongst its Development...

Roland Okoro Unveils AM JOURNAL at WAICA Confab in Accra, Ghana

From Left: Eddie Efekoha, Past President of WAICA; Roland...

Fidelity Bank Earmarks N159m for Customers in GAIM 6 Promo

L – R: Mr. Osita Ede, Divisional Head, Product...

NAICOM: ‘Insurance Sector Facing Challenge of Corporate Governance, Low Compliance Culture’

REMARKS BY THE COMMISSIONER FOR INSURANCE, MR. OLUSEGUN AYO...

Topics

ADB, Partners Mobilise $3OOm for Women

Three women each with a large basket full of...

Polaris Bank: Exclusive Banking Product, Partnership Excites Customers

One of Nigeria's leading retail banks, Polaris Bank has...

SAFER LAGOS INSURANCE: Lagos Partners NIA on Insurance of Public Buildings

KEYNOTE ADDRESS OF THE DIRECTOR GENERAL/CEO OF THE LAGOS...

Cash Flow: 5 Top Tips To Keep The Cash Flowing

By Magnus Nmonwu, Regional Director, Sage West Africa Cash flow...

Commonwealth Candidate, Masambu, Elected DG of ITSO

Patrick Masambu, a Uganda citizen and former chairman of...

GSM@20: NCC Lists Next Frontiers for Industry Growth, NCC Reaps Award

As stakeholders in Nigeria commemorate 20 years of telecoms...

MPC Meeting: Policy Parameters Remain Unchanged

Cordros Capital says in line with its expectation, the...

Pope to Davos: Don’t Forget The Poor!

In a message read by Cardinal Peter Turkson, President...
spot_img

Related Articles

Popular Categories

spot_imgspot_img