Nigeria’s equities market recorded heightened concentration in trading activity as ten stockbroking firms controlled 87 per cent of total transactions mid-December.
Fresh data from the Nigerian Exchange (NGX) showed that the firms executed transactions valued at ₦612.19 billion during the week ended Friday, December 19, 2025.
The development coincided with renewed investor confidence, driven by ongoing economic reforms that pushed the NGX All-Share Index beyond 151,000 points.
ABSA Securities Leads by Wide Margin
ABSA Securities Nigeria Limited dominated the market, executing ₦337.31 billion worth of trades within the five-day trading period.
The figure represented just over 55 per cent of total equity transactions, placing the firm far ahead of its peers.
CardinalStone Securities Limited ranked second with ₦52.28 billion, accounting for 8.55 per cent of the market.
APT, First Securities Strengthen Top-Tier Control
APT Securities and Funds Limited followed closely, handling ₦51.16 billion or 8.37 per cent, supported largely by institutional demand.
First Securities Brokers Limited placed fourth with ₦31.04 billion, representing 5.07 per cent of the total traded value.
Together, the top four brokers accounted for more than three-quarters of all equity transactions during the period.
Other Brokers Trail with Modest Volumes
Beyond the leading quartet, EFG Hermes Nigeria Limited traded ₦12.62 billion, accounting for 2.06 per cent of market value.
CSL Stockbrokers and Coronation Securities executed ₦11.53 billion and ₦11.24 billion respectively.
Meristem Stockbrokers recorded ₦7.62 billion, while Capital Express Securities handled ₦6 billion in transactions.
PAC Securities posted trades valued at less than ₦6 billion, reflecting limited participation compared to market leaders.
Bond Market Shows Even Tighter Concentration
Market concentration proved stronger in the bond segment, where the top ten brokers controlled 97.74 per cent of total transactions.
The firms executed bond trades worth ₦212.82 million during the same trading week.
APT Securities and Funds Limited led the bond market with ₦54.37 million, representing 24.97 per cent of total value.
Mid-Tier Firms Support Bond Liquidity
SMADAC Securities Limited followed with ₦50.46 million, accounting for 23.17 per cent of bond trades.
FINMAL Finance Company Limited ranked third with ₦41.71 million, representing 19.15 per cent.
Equity Capital Solutions and Midpoint Capital contributed ₦23.41 million and ₦20.41 million respectively.
Institutional Investors Drive Market Concentration
Analysts attribute the rising dominance of a few brokers to institutional investors positioning for year-end dividend payouts.
“Institutional investors are positioning for year-end dividends. Heavy transactions are often routed through connected brokers,” said David Andonri, CEO of Highcap Securities Limited.
He noted that such firms leverage long-standing relationships to execute large, high-value deals.
Historical Trend Confirms Broker Dominance
NGX data show that broker concentration is not new, but has intensified in recent months.
During the first seven months of 2025, the top ten brokers accounted for 46.25 per cent of total trading volume.
In value terms, they executed ₦3.63 trillion, representing 60.28 per cent of market transactions for the period.
Concentration Likely to Persist
Market analysts expect the broker hierarchy to remain tightly clustered heading into 2026.
Institutional portfolio rebalancing and dividend expectations are likely to sustain liquidity through established market makers.
As Andonri observed, “Dividend positioning will continue to shape liquidity flows, price discovery, and trading momentum into the new year.”
Get real time update about this post category directly on your device, subscribe now.
