About N435.41bn was withdrawn by foreign portfolio investors from the Nigerian stock market from January to July 2018.
CKN News gathered that this was due to the upcoming 2019 general election with the figure being a stark contrast toN236.32bn in the same period in 2017.
“Once there is any cause to fear, portfolio investors sell out their shares and they come back when the environment is better;
All of these create a lot of volatility in the market and may be one of the reasons why we do not have a lot of initial public offerings in the country,” the Associate Director, Capital Markets at PwC Nigeria Alice Tomdio told Punch.
According to her, more attention should be aimed at increasing the participation of domestic investors in the capital market.