Lagos- A securities exchange and self-regulatory firm, FMDQ OTC Plc, Lagos, says the nation’s capital market will witness a tremendous growth after the 2015 general elections.
The Managing Director of the firm, Bola Onadele-Koko, made the assertion while speaking with newsmen on Sunday in Lagos.
Onadele-Koko said that the nation’s capital market had enough liquidity capable of seeing it through any difficulties.
According to him, speculations that the trading liquidity of the Over-The-Counter (OTC) markets is weak are unfounded because the yield levels of the capital market are very attractive.
He said: “After the elections, the economy will swing on the upward trend because it has been positioned for growth due to its yield levels which are very attractive.
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“The OTC market is still very attractive and we expect this to continue. The investors in this segment will hold on because they have a lot of stake in the market.
“The liquidity of the market in spite of all odds has remained strong following the increase in the trading of forex ”.
On the JP Morgan’s negative outlook of Nigeria’s bonds, Onadele-Koko said the bonds market would soon rebound.
He said that enough evidence had been provided to JP Morgan by the regulatory bodies to ensure the Federal Government bonds return to JP Morgan’ index.
He added that the exodus of foreign investors from the nation’s bourse was not enough to envisage a perpetual lull in the capital market.
He said that the country would witness the return of more foreign investors when the economic indices would have been put in place.
Onadele-Koko said that FMDQ would provide massive price discovering in 2015 and ensure transparency in trading to enable investors see the direction of the bond market.
Besides, he said, the firm would embark on a massive investors’ education in 2015 to acquaint them on happenings in the OTC markets. (NAN)