Share what impact the market downturn on the NSE has had on you as a person.

How has this development affected you? Also how much have you lost and what happens do you have to recover your money.

Share your experiences

hi,
its important to note that whatever losses you are calculating in your portfolio is simply "paper losses".until you give your broker a go ahead to sell,you have not really lost.
i would advise everyone interested in the stock market to buy and position themselves for better days ahead.but check the companies fundamentals first and not just invest in anyhow stocks or you would get anyhow results.cheers

Yes, the downturn in the stockmarket has affected me seriously. I had stock worth about N7.8Million as at Dec 2007. I gave this stock as collateral and obtained a loan of N5 million from Diamondbank PLC. From Jan 2008 till date I have paid interest worth over 1million to Diamond bank. And the stock I bought with the 5 million naira is worth just about N 2million while the stock I gave as collateral is now worth about 3.8million. The Diamondbank is on my neck to pay up the money, I am confuse I do not know what to do. Meanwhile Diamondbank charge is really weighing me down and very unreasonable. This month they will charge me N78,0000 the next month they ask me to pay N103,000.00. I am really disturbed

i pray it improves, lots of people's money are hanging in here.

eooduyebo:

Yes, the downturn in the stockmarket has affected me seriously. I had stock worth about N7.8Million as at Dec 2007. I gave this stock as collateral and obtained a loan of N5 million from Diamondbank PLC. From Jan 2008 till date I have paid interest worth over 1million to Diamond bank. And the stock I bought with the 5 million naira is worth just about N 2million while the stock I gave as collateral is now worth about 3.8million. The Diamondbank is on my neck to pay up the money, I am confuse I do not know what to do. Meanwhile Diamondbank charge is really weighing me down and very unreasonable. This month they will charge me N78,0000 the next month they ask me to pay N103,000.00. I am really disturbed

Whats ur interest rate wt diamondbank?

I lost over 50% of my money in the banking sector of the stockmarket.

Have stocks like

Oceanic bought @ N24 now N10,
Sterling at N10 turned N18 after their misconstruction now N2. 14,
Linkage at N5.4 now 63k,
FBN at N35 now N18,
PhB at N17 now N8,
Nascon at N17 now N5.7,
Fidelity @ N13 now N4.3,
Transcorpse @ N7.5 now 63k,
Diamond @ N17 now N6.5,
Standard alliance @ N4.4 now N1.7,
Zenith @ N57 (ex bonus) now N20,
UBA @ N34 (ex bonus) now N12
Japaul at N14 now N3.12

within all these lost 60.2 % of cash invested in 2008. Worse still out of cash to buy now I order to average down the cost. Had to suspend completion of personal house project since most cash are from bank overdrafts and loans of some kind.  No gut to sell at the present prices either. My people, I pray and hope that 2008 would be our worst investment and financial planning year "Aani ri iru e moo Amin"

i know a person that has a loan portfolio of 25 million, and a net worth of 50 million, right now the whle stock is worth about 15 million. imagine the loss, i heard of a person that had 550 million in the stock market, but lost more than 50% of the money, right now the guy is learning how to write cos he suffered from heart attack, just dont let the situation of the stock market get to u or u mite probably faint. just keep cool and pray it gets better.

Could it be that this is the time to buy? When prices are all depressed? Have we reached the bottom of this market?

Thank God I sold my Oceanic Bank shares when it fell to N25. I can't believe my eyes this morning Oceanic now at N10.

I had almost all my investment in stock market, and I try not to think about it much. It's really affecting me now because I also borrowed some money early last year, which I invested in stocks and I have to pay back now. It's not been easy paying with all the interest, I just can't describe what I've gone through the past four months.

presently, I'm down like 56.7%

wetin i go do? na to dey watch and pray.
starcomms, Oceanic, Linkage, Aiico, Costain, IEI and Skye don mess me up

even CICO has failed me and ive now changed tactics to holding till maybe 2020.
at least by then, the monumental losses go don reduce or varnish patapata

in a bid to wrtie off these debts in another way, i don join the ever growing legion of importers aside my 7-7 day job. As for now, I'm on holiday in the stockmarket. ill be back making buys maybe 2012.
for now, babu

I doubt the market has reached its bottom. Lower oil prices this year means there will be less money in the economy overall, and less cash for speculators to use in driving up stock prices. Global economic problems also means the institutional investors from abroad will not put in more money in the short term.

I think around August/September when oil prices should start recovering and some good news begins to emerge from the global economy, we might begin to see a general upturn.

The fact is that shares have been massively overvalued so far, they are just approaching their 'true value' right now.

Stock exchange is simply a kalakalo with legal backing.

How can you invest your money in companies you do not even understand how they operate?

To those that have lost money take heart.

To those that are being advised to even buy more do not listen to such crazy advice from people who call themselves experts and maintained that Nigeria would be insulated from the problems that started and spread the world over.

Any money spent in shares is free money for the company and the company can indeed squander the money and there is absolutely nothing you can do about it.

With a population of over 140 million Nigerians there are so many businesses we can go into from services to even product based businesses.

Good luck.

Can someone explain to me the reason behind this steep decline? I find it incomprehensible that this much funds were lost in sectors where there hasn't been much complaints about profits.A case of over valuing stock prices I think.

It is important to note that you can reduce your losses significantly by buying more. This effectively brings down the average price per unit owned.

Be informed that in Nigeria, no one knows it all. If your saving culture is investing, keep doing so and better still the prices are attractive.

With all the crashes, I have not changed my investment culture. I have always told myself not to loose the big picture because of price depletions.

@Afam. I second your kalokalo theory.Me think say na corporate guy-ing.Na levels.

Afam you are very funny. It seems you are not very exposed. Do you know that some people trained their children through school with dividends. Please do not condemn something simply because you do not understand it.

Kaestro, the prices have been over valued no doubt. But it should be expected. When something is bad or "done anyhow", on its own it will spoil. Madoff would not have been caught if his ponzi scheme did not run out of self sustaining ideas. Define your investment goals properlly, believe me you will still find a niche that suits you in the current "Hurricane NSE".

Stock exchange is simply a kalakalo with legal backing.

How can you invest your money in companies you do not even understand how they operate?

To those that have lost money take heart.

To those that are being advised to even buy more do not listen to such crazy advice from people who call themselves experts and maintained that Nigeria would be insulated from the problems that started and spread the world over.

Any money spent in shares is free money for the company and the company can indeed squander the money and there is absolutely nothing you can do about it.

With a population of over 140 million Nigerians there are so many businesses we can go into from services to even product based businesses.

Good luck.

false!!!

u sound like someone who doesnt know anything. prior to when the boom was "fantastic", i only invested money in fundamentally sound stocks like UBA, First Bank and co. I can go to bed with those kind of stocks cos the numbers they churn out quarterly are too fantastic.
Downturn or no downturn, some coys are sound and they can never be beaten!!

honestly its really pissing. From "Economy Crunch", perpetuated by the US government in other to regulate the oil prices to "Financial Crisis". Masterminded by the so called American citizen in person of Bernard Madoff. Well, its all fine and good that the almighty USA is finally at work to prove the stuff they are made up with negative on the followers. the European, Asian and many other Banks are counting their losses in the hands of "Mad-off" (simply means that the hoodlum was once figured out as a "MAD" man and was written "OFF" by the US government) while the US Government could not give analysis of one lose (they know it all). I pity my fellow Africans who has been derailed by the events so far.

As for me the problem has nothing to do with 9jia bco we don't have stand at the open market operation (OMO). therefore whatever lost i had encountered as a result of this insignificant hoodlums, as a dona-fide 9jia, i will survive, period.

inherited money, did not go on a spending jamboree like an average 24 yr old, invested it in the market and my portfolio is about 60% down,
have decided to 4get the market and the country till next year,
would try and build my career and hope to get pay rises
big lessons in life

NEVER PUT ALL or HALF YOUR EGGS IN ONE BASKET

and to think of it, i was gonna take money out last year to buy house,
how can u average down when it still goes lower ebery week??

Sorry to all those who lost in the downturn, that is why it is highly advisable to invest only an amount of money you can afford to loose, don't borrow and invest, remeber anything can happen, a smart thing to do now is, if you still have some other money you can as well afford to loose, buy now it is low or if you still sense it will will continue to go down sell , when it has reached your believed bottom line, then buy,  A good thing you can as well do is to invest in the FOREX market, the good side of forex is that you can make money when the price is rising and you can make money when the price is falling and it is far more lucrative than stocks and you are the one in control of all transactions,  Good luck to you all.

I think the problem is that our banks are not transparent,I was also wondering why most of our banks come to the market with public offers every year, not saying its bad to want to expand ooo,but I think they all have big holes to cover and instead of telling the shareholders the truth/losses they come with the story of wanting to expand.

As for me, I invested nearly my 70 percent worth on banking Uba/First bank and really confused now maybe its going to get better or worse this year or else I just sell all and manage my loss.

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tkb417:

false!!!

u sound like someone who doesnt know anything. prior to when the boom was "fantastic", i only invested money in fundamentally sound stocks like UBA, First Bank and co. I can go to bed with those kind of stocks because the numbers they churn out quarterly are too fantastic.
Downturn or no downturn, some coys are sound and they can never be beaten!!

Considering the post above one would imagine how smart the poster is but his earlier post reproduced below tells the whole story.

tkb417:

presently, I'm down like 56.7%

wetin i go do? na to dey watch and pray.
starcomms, Oceanic, Linkage, Aiico, Costain, IEI and Skye don mess me up

even CICO has failed me and ive now changed tactics to holding till maybe 2020.
at least by then, the monumental losses go don reduce or varnish patapata

in a bid to wrtie off these debts in another way, i don join the ever growing legion of importers aside my 7-7 day job. As for now, I'm on holiday in the stockmarket. ill be back making buys maybe 2012.
for now, babu

Based on this poster's comments about his losses I wonder why he qualifies to advice anyone on stocks.

Kc9ja:

Afam you are very funny. It seems you are not very exposed. Do you know that some people trained their children through school with dividends. Please do not condemn something simply because you do not understand it.

I know that some people trained their children through school with dividends. Obviously you don't understand the meaning of kalokalo otherwise you would have realized that in gambling some people make money while other lose, it is common sense, it is a fact even though people like who claim to be very exposed cannot understand such fundamental issue.

A lot of Nigerians have gotten themselves into a lot of problems due to this same stock, many are owing millions based on transactions they do not have control over and yet we still have people talking trash about stocks.

In all, keep buying.

webprof:

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@ webprof

What does this have to do with the matter at hand?Will anyone take you serious with your method of "advertisement"?

Based on this poster's comments about his losses I wonder why he qualifies to advice anyone on stocks.

advice anyone anyone to buy stocks?
show me where i did? ure just an illiterate

chapehill, BGL, Vetiva, UBA Global Assets, Rencap, Afriinvest, Wachovia, Lehman Brothers, NYSC, NSE and co don't have any wiseman like you in thier fold shey? because they all lost substanstially to what is going on presently.

If losing money on investments during a recession is foolishness, what do u call making money during a boom?
go to adult classes. (Open UNi)

is it only stocks people lose money? what about the real estate fiasco in the UK, what about the dwindling oil fortunes all over the world, what about the skyrocketing commodity prices all over the world?
i wonder for some educated illiterates o

@ TKB

wisemen still dey o!

IBTC Stanbic liquidated their holdings early on when they knew this storm was coming. Let's not compare the NSE with the NYSE - the kain wuruwuru Ndidi Okereke-Onyuike dey pull for NSE to build her mansion in Parkview cannot happen without punishment in the US.

Stockmarket became oyingbo market - a very bad development. People will be wiser now and tread carefully.

investment is like a 50-50 chance, not guaranteed, in anyway, so it's something dat everyone should be very aware of. it's all about diversifying ur portfolio, if you see dat every bank is making profit and u decide to just go for dat, then it's a pity whoever your agent is, did not do their job well, and should be fired because the first rule in investment is looking out for the client, what is in their best interest.
secondly when u actually do diverse ur portfolio (spread it all around) if oil is not doing well, gold is doing well and so in turn the money u lose from oil will not be as bad becos d return from gold will upset it, so it's a pity dat in Naija, anyone can just turn around and sell stocks to others just because, ,

as for the American market, it affects the whole world in case u don't know, becos, dey are all some worth connected, and that is where u real investment or management company should have experts to actually do research and be liable if possible.
i know here in the States, u are liable to some extent what type of stocks you sell to your customer, and i tell u, it's dat or u lose ur license.

tkb417:

advice anyone anyone to buy stocks?
show me where i did? ure just an illiterate

chapehill, BGL, Vetiva, UBA Global Assets, Rencap, Afriinvest, Wachovia, Lehman Brothers, NYSC, NSE and co don't have any wiseman like you in their fold shey? because they all lost substanstially to what is going on presently.

If losing money on investments during a recession is foolishness, what do u call making money during a boom?
go to adult classes. (Open UNi)

is it only stocks people lose money? what about the real estate fiasco in the UK, what about the dwindling oil fortunes all over the world, what about the skyrocketing commodity prices all over the world?
i wonder for some educated illiterates o

With this your latest reply it is obvious we are not on the same page. You seem not to understand the core issue I raised, sorry for expecting too much from you, my mistake.