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Debt securities (e.g. bonds) listed on other recognised exchanges can benefit from the advantages of an FMDQ quotations service. For a modest fee, debt securities listed on other recognised exchanges can be quoted and traded on FMDQ, availing the securities access to the full complement of an FMDQ quotation, thereby benefitting from, among others, global visibility, transparency, secondary market liquidity and effective price formation. Permitted Trading Status (PTS), which is the quotation of debt securities listed on other recognised exchanges on FMDQ’s OTC securities exchange, is granted on the basis of Rule 185 of the Securities and Exchange Commission (SEC) Rules and Regulation 2013. Pursuant to the provisions of the SEC Rule 185, the circumstance under which a debt security will be granted PTS is that the security must be registered and listed on a recognised securities exchange. As long as the security maintains its registration and listing statuses on its host securitie...

As part of its key strategic mandates to develop the market, FMDQ provides a robust platform for the quotations of Commercial Papers (CPs). Quotation of CPs on FMDQ gives issuers access to a wide range of knowledgeable and capitalised investors (qualified institutional investors & eligible individual investors) through FMDQ Members. Liquidity is enhanced through the trading of the instruments by FMDQ Dealing Members and other stakeholders such as Pension Fund Administrators (PFAs), Fund Managers etc. on FMDQ OTC securities exchange. On the other hand, investors are able to diversify their portfolios and also improve the returns on their investment. Improved liquidity serves to ensure ease of entry and exit from the CP market by these investors. Desirous of entrenching transparency and governance in the Nigerian financial market, FMDQ identified the need for a robust structure around the issuance and quotation of CPs. Consequently, FMDQ developed a process to revitalise th...

As a debt capital-focused securities exchange, FMDQ also provides a robust platform for the listing of Mutual and Exchange Traded Funds. Mutual Funds   are investment vehicles operated by money managers, which typically pools funds from investors for the purpose of investing the funds in securities such as stocks, bonds, and money market instruments. They are also classified according to the types of securities invested in. Fixed Income Mutual Funds, which are focused primarily on investments in government and corporate bonds; and Money Market Mutual Funds (or Money Market Funds) which are focused on investments in short-term debt securities such as treasury bills and commercial papers, are permitted for listing and trading on FMDQ, in line with the provisions of the FMDQ Bond Listing and Quotation Rules. Exchange Traded Funds (ETFs)   are marketable securities that track an index, a commodity, bond, or a basket of assets. Unlike mutual funds, ETFs are traded on an exc...

FMDQ OTC Securities Exchange provides an efficient platform for registration, listing, quotation and valuation of bonds. FMDQ through its trading and surveillance systems and and the publication of FMDQ Daily Quotations List has empowered the Nigerian sovereign bonds and other classes of bonds with price discovery, transparency and market integrity. Bonds listed and admitted on FMDQ are traded by its Dealing Members some of which act as primary dealers to the sovereign domestic bonds. FMDQ Dealing Members act as market makers to the Nigerian sovereign bonds and some other classes of bonds thereby providing trading liquidity to the Nigerian bond market. The OTC securities exchange is responsible for circa 100% of bonds traded in Nigeria. As part of its mandate to provide exceptional levels of information transparency, FMDQ provides continuous disclosure of relevant information on fixed income issues listed on its platform. This information includes amongst others – issue siz...

As an OTC securities exchange focused on empowering the Nigerian debt capital market, FMDQ provides an efficient platform for the quotation, valuation and trading of Nigerian Treasury Bills (NTBs). NTBs are short-term Federal Government of Nigeria (FGN) debt instruments maturing in one year or less, sold at a discount and redeemed at par. The FGN, under the authority of the Debt Management Office (DMO), issues Treasury Bills through the Central Bank of Nigeria (CBN), to provide short-term funding for the FGN budget deficit. Through its mission to be credible and innovative in support of the Nigerian economy, FMDQ provides market transparency and global visibility to the quoted NTBs through the FMDQ Bloomberg E-Bond Trading and Surveillance System, the Quotations page on its website and the publication of the FMDQ Daily Quotations List (DQL), promoting credibility for the NTBs and enhancing investor confidence in the instruments. Secondary market liquidity is e...

The OTC FX Futures market recorded a circa 25% increase in the notional amount matured in February 2017, $266.17mm, to $354.00mm, being the 9th Naira-settled OTC FX Futures contract, NGUS MAR 22 2017, which matured and settled on Wednesday, March 22, 2017, on FMDQ OTC Securities Exchange, the OTC FX Futures Exchange. The NGUS MAR 22 2017 contract which stopped trading eight (8) days earlier, was valued against the Nigerian Inter-Bank Foreign Exchange Fixing (NIFEX) Spot rate as published by FMDQ on March 22, 2017; and brings the total value of contracts so far matured on the OTC FX Futures Exchange to $2.42bn, and about $6.24bn worth of OTC FX Futures contracts traded so far. In its usual manner, the CBN refreshed the quotes for the existing 1- to 11-month contracts and introduced a new 12-month contract, NGUS MAR 28 2018, for $1.00bn at $/₦298.50. These quotes are available on FMDQ’s website. Reference: https://www.fmdqotc.com/354mm-settles-as-9th-otc-fx-futures-contr...

As part of its plan to fully resuscitate the vibrancy of the Nigerian foreign exchange (FX) market, the Central Bank of Nigeria (CBN) has continued to support the operations of the OTC FX Futures market. By offering new contracts to replace matured ones and actively refreshing its quotes on the existing contracts, in line with the FMDQ OTC Securities Exchange (“FMDQ” or the “OTC Exchange”) reference rate for foreign exchange activities in the recently introduced Investors’ & Exporters’ FX Window – the NAFEX, the apex bank again displays its determination to maintain market stability and create an environment conducive for foreign and Nigerian portfolio investors. Accordingly, having ceased trading eight (8) days in advance, the 11th OTC FX Futures contract, NGUS MAY 24 2017, with notional amount $253.61mm, matured and settled on FMDQ on Wednesday, May 24, 2017. This brings the total value of contracts so far matured on FMDQ, the OTC FX Futures Exchange, to $3.64bn, with a tot...