There are indications that the Nigerian Stock Exchange (NSE) trading platform may have witnessed serious technical hitches as the exchange failed to release its daily trading summary at the resumption of trading on Monday and delay the release of the summary to 7 pm Tuesday.
Usually, the trading summary is released to the investing public on daily basis between 3pm and 4pm daily, except there is a technical failure that warrants the attention of the vendors of the platform.
The NSE is rolling out a new trading platform (X-Stream) to replace the existing Horizon Trading engine as part of its trading technology transformation programme, which will also introduce new products and enhanced services to the market in the coming years.
Slated to become operational in the second quarter of 2013, the trading platform is being supplied by NASDAQ OMX. The contract for the trading platform was signed by officials of the exchange and NASDAQOMX recently.
Effort to get the NSE to comment did not yield any results as the Exchange’s media representatives did not respond to our telephone calls.
Meanwhile, the NSE updated the base value of its five sectoral indices. The indices are: The Consumer Goods index, NSE-30, Banking index, The Oil and Gas index and the Insurance index. The revised base values of the indices were applied only recently, rather than the scheduled periods due to a process glitch.
Head of Market Operations of the NSE, Mr. Ikponmwosa Obaseki, said that a revised process and appropriate checks were now in place to avoid a recurrence.
Obaseki also made it clear that the revision had no effect on the All Share Index of the Nigerian Stock Exchange, which mirrors the aggregate change in value of all stocks listed on The Exchange.
The Nigerian bourse began publishing the NSE-30 Index in February 2009 with index values available from January 1, 2007. On July 1, 2008, the NSE developed four other sectoral indices with a base value of 1,000 points, designed to provide investable benchmarks to capture the performance of specific sectors.
While the revised index values have been uploaded on the NSE website, the next rebalancing of the indices, an exercise which the exchange undertakes in collaboration with global financial data giant, Bloomberg Inc., is set to take place at the end of the year.