The Nigerian equities and bonds markets showed striking concentration last week, with a handful of elite stockbroking firms controlling the vast majority of trading activity as institutional investors positioned themselves ahead of year-end dividend payouts.
Fresh figures from the Nigerian Exchange (NGX) for the week ending December 19, 2025, reveal that just ten stockbroking firms executed a staggering N612.19 billion in equity transactions—capturing 87% of the market’s total transaction value.
ABSA Securities Nigeria Limited emerged as the undisputed leader, brokering N337.31 billion in deals and single-handedly controlling more than 55% of all market activity during the five-day trading period. This dominant performance marks a significant shift in the broker rankings, particularly given that ABSA did not feature among the top performers in the first seven months of 2025.
CardinalStone Securities Limited, which had led volume trading earlier in the year, secured second place with N52.28 billion (8.55% market share)—though trailing far behind ABSA’s commanding lead. APT Securities and Funds rounded out the top three with N51.16 billion (8.37%), maintaining its reputation for handling high-liquidity trades from institutional and high-net-worth clients.
First Securities Brokers Limited claimed the fourth spot with N31.04 billion, representing 5.07% of the total market value. The remaining six firms in the top ten—including EFG Hermes Nigeria Limited (N12.62 billion), CSL Stockbrokers (N11.53 billion), and Coronation Securities (N11.24 billion)—collectively accounted for the balance of the 87% market concentration.
The concentration phenomenon proved even more pronounced in the bond segment, where the top ten stockbroking firms executed N212.82 million in transactions, accounting for a remarkable 97.74% of total bond trading value.
APT Securities and Funds Limited dominated bond trading with N54.37 million in executed deals, capturing nearly 25% of the market. SMADAC Securities Limited followed closely with N50.46 million (23.17%), while FINMAL Finance Company Limited posted N41.71 million (19.15%).
Mid-tier performers, including Equity Capital Solutions Limited (N23.41 million), Midpoint Capital Limited (N20.41 million), and Trusthouse Investments Limited (N6.87 million), provided additional liquidity depth to the bond market.
Market analysts attribute the heightened concentration to strategic positioning by institutional investors anticipating year-end dividend distributions.
“Institutional investors are positioning for year-end dividend payouts. This is expected,” explained David Adonri, CEO of Highcap Securities Limited. “Some of the heavy transactions seen during the week just ended are being reflected in the brokers’ performance report because such deals could have been routed through these firms. They leverage their connection with some institutional investors to broker large deals.”
The current market structure represents a notable evolution from mid-2025, when the top ten brokers controlled 60.28% of equity value over seven months. Chapel Hill Denham Securities Limited had led that period with N738.596 billion in trades, while CardinalStone topped volume metrics with over 20 billion units traded.
As Nigeria’s financial markets head into 2026, analysts expect the broker performance hierarchy to remain highly concentrated. The handful of firms with deep institutional relationships and robust capital bases appear positioned to maintain their dominance.
“Positioning for dividends is expected to influence liquidity flows, price discovery, and trading momentum heading into 2026 ahead of year-end dividend declarations,” Adonri noted, suggesting that familiar market makers will continue leveraging their institutional exposure to capture the lion’s share of trading activity.
The data underscores a broader trend in Nigeria’s capital markets: trading power is increasingly concentrated among a select group of well-capitalized brokers capable of handling large institutional orders, raising questions about market structure and competition as the country’s financial sector continues to evolve.
WHAT YOU SHOULD KNOW
Nigeria’s stock market is becoming increasingly dominated by a small group of elite brokers, with just 10 firms controlling 87% of equity trades and nearly 98% of bond transactions in the week ending December 19, 2025.
ABSA Securities alone commanded over half the market with N337.31 billion in deals. This concentration is driven by institutional investors positioning for year-end dividends, signaling a market where deep-pocketed firms with strong institutional connections are cementing their dominance—a trend analysts expect will intensify heading into 2026.
