Data released by the Nigerian Exchange Limited showed that retail investors outperformed their institutional counterparts by 26 percent in July 2024.
Similarly, domestic investors outperformed foreign investors by 76 percent during the month under review.
According to the NGX July Domestic and Foreign Portfolio investment report, retail investors contributed 63 percent of the total N491.61 billion domestic investors’ portfolio reported in the month under review.
A breakdown of the performance showed that retail investors contributed N271.92 billion in the review period compared to N162.17 billion attributed to institutional investors in July. Institutional investors’ contribution to total market value during the month was 37 percent as against 63 percent contributed by institutional investors.
Figures showed that the total transactions at the local bourse increased significantly by 38.66 percent from N354.55 billion (about $241.06 million) in June 2024 to N491.61 billion (about $305.02 million) in July 2024.
However, the July performance when compared to a similar period of 2023 showed a 30.07 percent decrease which amounts to N702.98 billion.
Analysis of the total transactions executed between July and the prior month (June 2024) revealed that total domestic transactions increased by 59.38 percent from N272.36 billion in June 2024 to N434.09 billion in July 2024. However, total foreign transactions decreased by 30.02 percent from N82.19 billion (about $55.88 million) to N57.52 billion (about $35.69 million) between June 2024 and July 2024.
A comparison of domestic transactions in the July prior month (June 2024) revealed that retail transactions increased significantly by 138.48 percent from N114.02 billion in June 2024 to N271.92 billion in July 2024. Also, the institutional composition of the domestic market increased by 2.42 percent from N158.34 billion in June 2024 to N162.17 billion in July 2024.
The data on the historical performance of the market over the last decade revealed that over a seventeen (17) year period, domestic transactions decreased by 10.94 percent from N3.556 trillion in 2007 to N3.167 trillion in 2023; whilst foreign transactions also decreased by 33.28 percent from N616 billion to N411 billion over the same period.
Total domestic transactions accounted for about 89 percent of the total transactions carried out in 2023, whilst foreign transactions accounted for about 11 percent of the total transactions in the same period.
The transaction data for 2024 showed that total domestic transactions stood at about N2.498 trillion, whilst total foreign transactions are circa N598.00 billion.
