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Nigeria’s Capital Market In 2015

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The Nigerian Capital
Market and its operators made efforts that would have resulted to being the best market in Africa, but for the many economic crises faced by the nation’s economy in 2015.
The capital market in retrospect was saddled with the innovations, the woes and gains which formed the basis of analysts’ judgement of how poor 2015 transaction faired.
This accounted for why the Chief Executive Officer (CEO) of Nigerian Stock Exchange, Mr Oscar Onyema urged retail investors to mitigate investment risks by diversifying portfolios across different asset classes.
Onyema also explained that the capital market was only reacting to the global economic and financial challenges within a well regulated market structure.
The experiences and qualifications of market operators and regulators had little answers to give to the foreign investors whose main concerns were their business gains, rather than the uncertainty.
This also accounted for the  flow or movement of more foreign investors out of the Nigerian capital market to other African markets, where they think the stakes are high.
Foreign outflows as at November  30, 2015 according to reports, amounted to N40.73 billion compared with N31.87 billion foreign portfolio managers invested in the same period.
The capital market remained unstable with naira exchanging for more than N230 per dollar through the better part of 2015, as the Central Bank of Nigeria’s (CBN) policies tried in vain to stabilise the naira against the dollar.
The financial market was generally stable for 2014 although noticeable  fluctuations were traced toward the end of the year. A number of policy instruments were deployed to achieve price and financial system stability in order to boost investor confidence and reduce concerns about declining foreign exchange reserves.
Some of the policy instruments deployed by CBN include, Monetary Policy Rate (MPR), Open Market Operations (OMO), Discount Window Operations, Cash Reserve Ratio (CRR) and Foreign Exchange Net Open Position (NOP) Limit.
Others are devaluation of Naira, limit on outside spending and  the excess control, checks and sledge hammer on bureau de change.
Analysts also attributed the major part of the problem to the 2015 election and change of leadership which brought serious uncertainty especially in the delay of the new president in appointing his ministers.
Investors found it difficult to predict what the economy would look like under the new administration, resulting to market watch instead of investments.
The Director General of securities and Exchange Commission (SEC), Mr Mounir Gwarzo expressed dissatisfaction with the capital market performance in 2015. He said he was unhappy the way the market was which he said was a true reflection of the nation’s economic situation.
Gwarzo said SEC is studying how government can use some fiscal policies to stabilise the market and encourage domestic investors to return to the market.
Market Statistics Of Cap /Index
The SEC DG’s feelings cannot be unconnected with the capital market performance at the end of 2015. Nigerian Stock Exchange records show that as at December 31st, 2015, the  All Share Index (ASI) droped by about 17.36 per cent to close negatively at 28,642.25 points, compared with the opening index of 34,657.15 points Also,market capitalisation  that opened trading for 2015 at N11.478 trillion, lost N1.63 trillion to close negatively on December 31 at N9.851 trillion.
Bond:
The FMDQ OTC Securities Exchange that promotes transaction in fixed income securities in Nigeria, listed N30 billion Fidelity Bank Bonds, N8 billion Nigeria Mortgage Refinance Company (NMRC) Bonds, N26.0 billion FC MB financing SPV Bonds on its platform.
Innovations
The Nigerian Stock Exchange led by Mr Oscar Onyema however  brought landmark innovations to the market during the period under review.
NSE ratified the recapitalisation, the e-dividend system and laid a foundation for de-mutualisation of the 55-year old NSE.
Approval was given for direct cash payment of the proceeds from the sale of securities into an investor’s nominated bank account.
This if well implemented would curb the excess of the stock brokers and reduce to the bearest minimum fraud in the system.
Implementation of the 10 years capital market master plan and inauguration.
SEC also commenced the revival of the National Investor Protection Fund as part of effort to boost investor confidence in the year under review. NIPF concluded a rigorous verification of investors’ claims against Mega Asset Managers Limited and recommended approval of appropriate compensation to the affected investors.
Generally, some financial experts had also expressed their opinions about the outgone year.
The Managing  Director, Flexus Solution Investment Limited, Mr Kounougna Henri said CBN should relax some of the monetary policies especially the limit put on spending and devaluation of naira which is not helping the performance of the local currency .
“When too much protocol is put on business policies, it scares investors and makes them move to alternative markets in other countries,” he said.
Chairman, Association of Issuing Houses of Nigeria (AIHN), Mr Victor Ogiemwonyi urged CBN to strive towards the reduction of the Monetary Policy Rate (MPR) to stimulate activities in the bond market.
He said that government’s borrowing rate in the capital market should drop to avoid crowding out of funds and to make the market attractive for private sector to raise funds.
To the Head, research and investment advisory at Meristem, Mr. Basheer Bashir, the current market situation provides attractive buying opportunities for discerning investors.
However, the uncertainty and instability that challenged the capital market in 2015 should not be the final judgement for the market which has the capacity to experience growth pending the ability of stakeholders in the Nigerian economy to relax the policies that have negatively affected the capital market and investors.

 

Lilian Peters

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Information Technology

On Top Of It All: 5 Practical Tips For Optimizing Your Rivian R1S Roof Rack.

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The Rivian R1S has quickly become one of the most versatile and capable electric SUVs on the market. It has gained this status because it combines powerful performance, third-row seating, and ample storage both inside and out.

One crucial element that maximizes the R1S’ utility is its roof rack system, which allows owners to securely transport various outdoor gear, whether for rugged off-road adventures or everyday errands.

However, some optimization is recommended to get the most from the roof rack.

Tip 1: Organize with separators and totes

While throwing loose items directly onto the rack works for some essential transport, a more organized approach makes contents more accessible to access and manage. Dividers allow the partitioning of the Rivian r1s roof rack surface into sections, keeping groups of things separated.

Mesh cargo organizers fitted across the bars create pockets that hold gear upright. Storage totes specially designed for roofs further contain belongings and some feature handles for easy loading and unloading.

Together, these accessories introduce a structure that makes the most available space. Padded totes protect fragile items, while transparent ones allow quick visual checks of contents. Placing bulky or lightweight things into designated areas maintains an optimized load balance.

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Tip 2: Consider a gear track system for racks

 

Roof rack gear track systems offer fully modular loading configurations, taking organization one step further. They consist of adjustable aluminum beams that mount perpendicular to the crossbars, forming a rail framework.

Besides, frequently used gear finds a dedicated slot, ready when wanted. Less often transported items remain safely stowed until the next outing requires them. This ultra-organized approach maximizes space utilization. It functions similarly to drawers in a tool chest.

With tracks installed, packing and unpacking the rack becomes intuitive. Everything finds its place, and owners know exactly where each item is located—saving valuable time when loading up.

Tip 3: Mind weight limits and balance loads appropriately

 

While the R1S roof can bear a significant payload, it is still essential owners respect the maximum capacity and distribute weight evenly. They exceed and risk reducing the mount points or affecting vehicle handling characteristics at highway speeds. The standard rack specs for a single-motor R1S allow up to 300 pounds total and 165 pounds per crossbar. 

However, dual-motor and max-pack models see increases to 330 pounds overall and 187.5 pounds per bar. Either way, these thresholds should always be maintained, as overloading could cause mounting hardware or bars to fail.

As for load balance, it is wise to position bulkier or heavier gear toward the front half of the roof and over the cabin, balanced by lighter accessories in the back. Center loads over each crossbar section.

Distributing weight evenly maintains optimum stability with minimal impact on fuel efficiency or ride dynamics. Taking the five minutes to arrange packages thoughtfully ensures security and safety over long drives.

Tip 4: Consider an extension kit for extra-long items

 

While the rack provides approximately a six-foot capacity along the roof, longer shapes like canoes, kayaks, or lumber occasionally require extra coverage. Rivian designed roof rack extension kit options for these situations.

Besides, they consist of additional bars that bolt to the outer ends of the stock crossbars, effectively doubling rack length to around 12 feet total. Extension bars feature all the same strength and attachment points as the original crossbars for a fully integrated expansion.

Also, those hauling longer cargo can now do so securely elevated off the truck bed. Extension kits maximize versatility for transporting uncommon geometries. Whether moving a sheet of plywood or a fiberglass boat, owners can safely secure unusually long loads to the R1S roof—further expanding its practical utility beyond most other vehicles.

Tip 5: Use Ratcheting Straps for Secure Loads

 

Yes, any items placed on the roof rack must be fastened down securely so they do not shift or come loose during driving. While the rack features heavy-duty mounts and crossbars to hold weight, wind resistance at highway speeds can still put stress on loose objects.

Therefore, the most effective method is to wrap ratcheting straps around the entire load, corner to corner, and ratchet them until very tight.

Furthermore, additional straps should angle diagonally over the top as a crossover reinforcement. Ratcheting straps are convenient because their mechanical lever allows extremely tight tensions to be achieved with less effort than conventional straps. This compression holds loads snuggly in place, absorbing vibration.

As an additional precaution, delicate or expensive gear should be wrapped in protective materials like foam or padded covers when using a roof rack. Taking these steps ensures loads remain stationary even over rough roads.

Conclusion

 

Applying these five simple tips—from load-securing techniques to organizational accessories and proper weight distribution—unlocks the full potential of the R1S roof rack. Owners gain a mobile, weatherproof storage system optimized for adventure, hobby, or job site needs. Following best practices maintains the rack mounting points’ structural integrity and rated load capacity over thousands of miles.

Most importantly, well-managed loads arrive safely at their destination after long highway hauls or rugged trails. The roof becomes a maximum utility zone that expands cargo practicality.

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Business

Electricity: Bands BCDE Suffer No Power

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As DisCos struggle to meet the required 20 hours power supply to “Band A” customers following shortage of gas which has hindered power generation since January, customers on Bands B, C, D, and E are left with no light, according to The Tide’s source.
The source learnt that the distribution companies were concentrating more on the Band A customers to keep their Band A feeders from being downgraded.
Band A customers enjoy a minimum of 20 hours of electricity daily.
On April 3, the Nigerian Electricity Regulatory Commission announced that subsidies would no longer be paid for the electricity consumed by Band A customers.
The electricity tariff for Band A customers was revised upward from N68 per kilowatt-hour to N255/KWh.
1 kWh is the amount of energy that could be used if a 1,000-watt appliance is kept running for an hour. For example, a 100-watt light bulb operating for 10 hours would use 1 kWh.
After the power subsidy was removed, the NERC directed the 11 DisCos to release their lists of Band A customers, who must get at least a 20-hour supply daily.
The regulator and the Minister of Power, Adebayo Adelabu, emphasised that there would be sanctions should the distribution companies fail to supply Band A customers with 20 hours of electricity.
The DisCos were also mandated to inform customers whenever they failed to meet the required minimum service level.
NERC said where a DisCo failed to deliver on the committed level of service on a Band A feeder for two consecutive days, the DisCo should, by 10 am the next day, publish on its website an explanation of the reasons for the failure and update the affected customers on the timeline for restoration of service to the committed level.
It stated that if a customer’s service level improves to at least 20 hours, they should be upgraded from lower service bands to Band A, adding that if the DisCo fails to meet the committed service level to a Band A feeder for seven consecutive days, the feeder will be downgraded to the recorded level of supply by the applicable framework.
In their efforts to meet up with the service level, the source gathered that some of the DisCos were gradually resorting to diverting the little allocation they get to the Band A customers.
This is in spite of the fact that the gas constraints that have hindered power generation since the beginning of the year have yet to be addressed.
Many communities said they could not boast 30 hours of power supply since January, a development the government blamed on the refusal of gas companies to supply gas to power-generating companies due to heavy debt.
Recall that recently, the IBEDC spokesperson, Busolami Tunwase, explained that, “One of the primary factors is the low supply of gas to generating companies, which has led to a gradual decrease in available generation on the grid.

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‘Inappropriate Insider Dealing’ Earns Julius Berger NGX Sanction

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Authorities at the Nigerian Exchange (NGX) have sanctioned Julius Berger Nigeria (JBN) Plc for engaging in inappropriate insider dealing in shares.
According to a document obtained by The Tide’s source, JBN, Nigeria’s leading construction company, was sanctioned for “insider dealing during closed period”.
Incorporated in 1970, Julius Berger, Nigeria, which was incorporated in 1970, became a publicly quoted company in 1991 and has more than 10,000 shareholders.
NGX Regulatory Company (NGX RegCo), the self regulatory organisation (SRO) that regulates activities at the NGX, stated that JBN breached certain provisions of the listing rules and was thus sanctioned accordingly.
According to NGX RegCo, JBN violated provisions on “closed period”, in breach of the construction company’s commitment to adhere to listing rules and standards.
The NGX had tightened its rules and regulations to checkmate boardroom intrigues and block information arbitrage that tend to confer advantages on companies’ directors.
The amendments expanded the scope and authority of corporate financial reporting while eliminating gaps that allowed companies to sidetrack relevant rules in stage-managing corporate compliance.
The enhanced framework provided clarity and greater disclosures on directors’ trading in shares, corporate liability for accuracy and compliance of financial statement, dissuade bogus dividend payment and other sundry boardroom’s maneuverings that tend to favour insiders.
The amendments came on the heels of noticeable increase in violations of rules on ‘closed period’, a period when directors are banned from trading in the shares of their companies.
Rule 17.17 of the NGX disallows insiders and their connected persons from trading in the shares or bonds of their companies during the ‘closed period’ or any period during which trading is restricted.
This period is mostly at a period of sensitive material information, like prior knowledge of financials, dividends or major corporate changes, which places directors and other insiders at advantage above other general and retail investors.
A review of the disclosure violations at the stock market had shown that all violations in 2021 were related to violation of Rule 17.17 on ‘closed period’.
Under the amendments, in addition to the provisions of relevant accounting standards, laws, rules and requirements regarding preparation of financial statements, companies are now required to include several specific declarations on securities transactions by directors, changes in shareholding structure, self-assessment on compliance with corporate governance standards and internal code for directors on securities transactions among others.

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