Author Archives: merchant-bank

  • The Fundamentals of Factor Investing: An Application to Fixed Income

    The concept of investing broadly covers the purchase or creation of assets with the use of funds or capital in order to obtain a return on the investment, also known as capital gain. It entails the purchase of a financial product with an expectation of favourable future returns. Investment assets comprising equities, fixed income instruments, …

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  • FX policy déjà vu

    Last week, in a surprise announcement, the CBN governor halted the sale of the apex bank’s FX to Bureau De Change (BDC) operators. The statement, and reasons given for the action, gave us a feeling of déjà vu – the CBN did this in 2016. So, we took a trip down memory lane and explored …

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  • Who moved my cheese? An exposition into the changing dynamics of the traditional business environment

    The book – Who moved my cheese by Dr. Spenser Johnson – is both a literal masterpiece and is indisputably relevant in modern leadership and business strategy. It is a tale of four characters who lived in a maze and their love for cheese. The lessons hidden in the stories have resonated in corporate board …

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  • MPC likely to hold rates

    The monetary policy committee (MPC) meets today and tomorrow. At its last meeting held in May, the committee was faced with two broad options: address the high inflationary pressure or pursue measures to support the economic recovery. See more details below. FX Last week, the exchange rate at the Investors and Exporters Window (I&E Window) …

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  • Coronation Merchant Bank to host a webinar on Capital mobilization through the Private Markets

    Lagos, Nigeria Nigeria’s leading financial institution, Coronation Merchant Bank, is set to hold the July edition of its Interactive Session themed “Capital mobilization through the Private Markets” on July 26, 2021. Delivering the keynote address will be Bola Onadele Koko, the Chief Executive Officer of FMDQ Group. The session will also include a panel discussion …

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  • Inflation on the downtrend

    Last week, the National Bureau of Statistics (NBS) Consumer Price Index (CPI) report for June 2021 showed a moderate decline in the headline inflation to 17.75% from 17.93% recorded in May 2021. We attribute the slowdown to the effect of the high base from the previous year. The trend over the last three months suggests …

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  • Nigeria’s Oil Conundrum

    As oil demand is expected to grow strongly in the summer months, the OPEC+ alliance is still unable to reach an agreement on oil supply going forward with mixed results for the Nigerian economy. This month, the Senate passed the Petroleum Industry Bill (PIB); it is expected to create efficient and effective governing institutions with …

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  • CBN funding the government

    In times of recession, and of a budget shortfall, it is only normal to expect a central bank to lend money to its government.  However, in Nigeria, it appears to have become a habit.  And the stock of debt is mounting.  See details below. FX Last week, the exchange rate at the Investors and Exporters …

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  • Leveraging Risk Intelligence as a new Competitive Tool

    The business environment has witnessed a major shift heightened by the COVID-19 pandemic which has compelled organizations to be more dependent on technology. With most businesses moving to the cloud and going digital, risk management approaches cannot remain the same. The question becomes, what is the role of risk intelligence in the emerging and dynamic …

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  • Nigerian Banks: Resilience built in

    Coronation Research, today releases its report on Nigerian Banks “Nigerian Banks, Resilience Built In”. The report shows that Nigerian banks’ earnings have been remarkably resilient over the interest rate cycle, their profitability is improving over time and their stock values are remarkably cheap compared to Ghanaian and Kenyan bank stocks. Our 10-year study of Nigerian banks shows …

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  • Featured
Year Ahead-Re-risking the financial system

Year Ahead 2020: Re-risking the financial system

Oil prices: In a global oil market threatened with over-supply, it appears that OPEC, and its ally Russia, are doing a good job of limiting production.