Volume 2, Issue 16

This week on your Fortune&Class Magazine;
FIRS SEALS ADENUGA’S OIL COMPANIES OVER N89 BILLION TAX EVASION
It would sound rather ironical that the totality of the Nigerian state has been compelled to reconsider the structure of its national budget which has a built-in 500 million dollar deficit financing plan, about 30 per cent of the national budget, [...]

Investors should not pay Interest on Stock Broker’s Margin Account-Forensic Accountant

Not a few investors have come under the hammer of their stockbrokers after they were availed the opportunity of the now burdensome margin account facilities with all the overlays of a banking credit transaction. Now, a forensic accountant, Ori Adeyemo of Forensic Consulting, has taken issue against what he describes as the illegality of [...]

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CAPITAL MARKET CRASH: THE CASE AGAINST THE BANKS

I can tell you that at a point in time, it seemed as if the only preoccupation of most banks was manipulating the stock market to wring out the last hope of gains. All these contributed to defacing the market and inevitably led to the crash of the Nigerian stock market.

Vice President frustrates Transcorp’s plan to sell off NITEL’s Backbone

The nation’s Vice-President, Goodluck Jonathan has, according to sources, stopped moves by the board of directors of Trans National Corporation (Transcorp) to reduce the net worth of Nigeria Telecommunications (NITEL), the national telecommunication carrier in which Transcorp 51 per cent holdings have remained an unending hassle in the Federal Government privatization of former national assets [...]

WHEN FIRST REGISTRARS REJECTED FIRST BANK’S CONFIRMATION

But for strident protestation, the management of the Securities and Exchange Commission might have insisted on the January 2009 deadline for the dematerialization of share certificates in Nigeria. Some investors believe this is yet a tall dream for both the SEC and investors especially in consideration of the inadequacy of the Registrars.
Because of lack of [...]

The McKinsey Quarterly Special Feature

Financial crises, past and present
Past financial crises had very different effects on the real economy. Although the lessons of the past don’t give much cause for optimism, they do provide hints on how companies should prepare this time around.
By David Cogman & Richard Dobbs
Financial crises occur with surprising frequency—in every decade in the [...]

NIGERIAN ENTERPRENEURS SCARE: GOVERNMENT POLICIES THAT DESTROYED BIG-TIME BUSINESSES

Only the naïve entrepreneur in Nigeria is excited with the contemplation of floating a manufacturing concern. The wise ones, schooled in the experiences they have had to contend with in the ever changing dynamics of manufacturing and other investments tasks in the production lines have fled the scene to the shelter of trading and merchandising. [...]

FRUSTRATION SETS IN FOR COMMANDCLEM INVESTMENT SCHEME’s INVESTORS

PS: It has been brought to our notice that an aggressive advertisement of Commandclem Social Security Scheme is ongoing in popular media houses in Ogun State, Nigeria, therefore, we believe it is our duty to advise the investing public to look before they leap. Thank you.

USING EARNINGS PER SHARE EFFECTIVELY IN A RECUPERATING MARKET

A lot has been said about Earnings Per Share (EPS) but there is still more to be discussed. I have met a number of investors with total misconception of what E.P.S is and what it is not. This write-up is aimed at correcting the “absolute confidence” placed in it by some investors. No doubt, [...]

REAL ESTATE INVESTMENT MAY BE IN TROUBLE SOON – EXPERTS WARN

Many investors have taken a flight to the safety of real estate in the aftermath of the worrisome protracted correction that had turned the Nigerian stock market into the grazing ground of the bears with stock prices continuously hitting new bottoms by the day.
Analyzing the prospects of a downturn in the real estate sector, a [...]