By GoddyÂ Â Egene Â
Â TheÂ Â Â THISDAY Model Portfolio (TMP) maintained its strong performance last week, rising further to 44.2 per cent as four of the constituents portfolios trended northwards.
Although theÂ Â Â equities market sustained its previous week growth to gain 0.68 per cent last week, the TMP outperformed theÂ Â Â Nigerian Stock Exchange (NSE) All-Share Index (ASI) last week. The TMP appreciated from 41.8 per cent to 44.2 per cent, TMP improved from 41.8 per cent to a new high of 42.88 per cent. Apart from Portfolio E that declined, the remaining four recorded significant growth that contributed to the jump witnessed by the TMP.
TheÂ TMP is an initiative of THISDAY Economic and Financial Intelligence Unit (TEFIU), designed to enable leading stockbrokers and investment houses in the country share their trading skills and methodologies with ordinary investors.Â Â Â The investment houses involved in the project are Afrinvest Limited, FSDH Securities Limited, Capital Assets Limited, Meristem Limited andÂ Lead Advisory Limited .
It comprises five different portfolio types constructed individually in conjunction with five leading stockbroking firms in the country with different investment objectives.
Â Each of theÂ partner stock broking housesÂ Â constructedÂ Â Â a portfolio of 10 stocks selected according to their individual best judgement and using their best and well tested stock selection and investmentÂ strategies. Each of themÂ thenÂ deployedÂ an imaginary fund of N10 million to invest on the Â 10 stocks in whatever proportions they considered best.
Looking atÂ Â Â the TMP as at the close of trading last Friday, it has grown by 44.2 per cent. This implies thatÂ Â Â the value of the N50 million imaginary fund deployed by the five firms has appreciated to N72.089 million.
However, a further breakdown of theÂ performance of individual portfolio,Â showed that PortfolioÂ Â C remained the highest gainer. It advanced to 67 per cent from 64.1 per cent the previous week.Â Â It means that the N10 million deployed by the portfolio has improved to N16.697 million as at last week.
Similarly, Portfolio D maintained its second position, having gained 65.1 per cent, upÂ from 63.5 per cent two weeks ago.Â Â This implies that theÂ N10 million deployed by the portfolio has increased fromÂ N16.359 millionÂ the previous week to N16.505 million last week.Â Â Â Portfolio BÂ rose from 51.8 per cent the previous week to 55.16 per cent last week, indicating that the N10 million deployed has grown to N15.516 million. In same vein,Â Â Â Portfolio A appreciatedÂ Â Â from 33.6Â per cent to 34.0 per cent last week.Â Â Â This implies that theÂ N10 million deployedÂ has grown toÂ N13.399Â Â million.Â Â Â On the negative side, Portfolio EÂ Â Â fell from 1.3 per cent to positive to 0.29 per cent negative. This means that theÂ N10 million deployed has reduced to N9.971 million.