TABLE OF CONTENT
Table of content
Background of the study
Statement of the problem
Objective of the study
Scope of the study
Significance of the study
Limitation of the study
Definition of terms
Criteria for price determination (stock pricing)
Problem of Nigeria capital market
Criticisms against the Nigeria capital market
Survey of the present regulatory environment
SEC guidelines of issuing house
The role of underwriting organization in the capital market
Objective of the Nigeria stock exchange
Population of the study
Sampling method and size
Method of data collection
Method of data analysis
Historical background of Ilorin stock exchange (SEC)
Data analysis and presentation
Discussion of the finding
Summary of findings
1.1 BACKGROUND OF
importance of a capital market as a catalyst to economic growth and development
through its ability to mobilize surplus funds for investment purpose has long
been realized. It is not surprising, therefore that countries all over the
world strive to build a solid market with a variety of financial instrument and
dynamic institutions capable of enhancing the “national wealth”.
market exists to assist in the transfer of funds the excess units savers of the
“deficit” units investment decision marker. Various types of institutions
traditionally play one role or another
in the process of transfer of funds. These include the stock exchange, issuing
houses, stock brokers, share registrars, share distribution agent (e.g.
merchant banks, issue companies, pension funds etc.) the Nigeria enterprises.
Promotion bounds and the Nigeria security and exchange commission. Although all of these institutions perform
one function or over in the transfer process, they are not located in one
place. the capital market may therefore be defined as! The complex of
institutions and mechanizing through which intermediate term funds are pooled
and made available to business, government and individual instruments already
outstanding are transferred (Dougall/Guramnitz 1975).
from the many market, the money market provides intermediate and long-term
funds for individuals, business organizations, government (federal and state)
most capital markets are well regulated and facilitators are so vital that
efficiently and effectively. Referred to as market operations are issuing
houses stock brokers, registrar’s investment advisers.
intermediaries particularly banks and units trust also aid the movement of
funds on the market.
is vital for the orderly functioning of any market. Lack of regulation could
lead to general disorder, confusion, Loss of financial wealth and confidence,
which will in turn have for reaching implication in the overall economy. It is
for this among other reasons that regulatory agencies are setup to over see the
market. The two regulatory bodies in Nigeria are the securities exchange
commission (SEC) and the Nigeria stock exchange (NSE) it is important to
distinguish the two at this point. While the security exchange commission
(SEC) is a statutory body at the apex of
the capital market, the Nigeria stock exchange (NSE) is a self-regulatory
organization (SRO) under the supervision of the security exchange commission
but with delegated power is to ensure smooth operation of the market. The
exchange provides facilities for trained in secondary securities thus creating
liquidity and ensuring easy transfer of securities in the market it also makes
rules and regulations to guide the professional conduct of its member.
1.2 STATEMENT OF
years, since the inception of the Nigeria capital market, there has been a lot
of changes, growth and problem still facing the market. This study will focus
on the changes and effects on the capital market.
1.3 OBJECTIVES OF
The aim of
this research work is to:
Comparism will be made between the Nigeria capital market
and it foreign counter parts.
The distinct role of the securities exchange commission
(SEC) and the Nigeria stock exchange (NSE) could be assessed. Commission prior
to the deregulation of the capital market and what is obtained at present.
Also, since the capital market is a dynamic market of the economic, social and
political environment of the country.
The study will assess the effect of deregulation on the
market. This is been of any use?
To recommend based on the findings various method to improve
the performance of Nigeria capital market.