Funds under the management of Licensed Fund Managers in Ghana

Courtesy: SEC GHANA
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Market Watch for the day - Trades on the Ghana Stock Exchange.

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Bloomberg fired Ghana Stock Exchange (GSE)? What happened?

What has happened to the relationship between Ghana Stock Exchange (GSE) and Bloomberg?
On 2nd March 2010, Ghana Stock Exchange announced its relationship with Bloomberg and issued a Press Release stating that “GSE data is now available worldwide on Bloomberg ”.

According to Mr. Kofi Yamoah, Managing Director of the Ghana Stock Exchange, “this new development is in line with the GSE’s vision of reaching out to investors globally and ensuring

Which brokerage firm is the best? What fees do they charge? What do they offer? #AskPEAGAMA

Photo credit: Databank

Below are my responses to an investor's questions about brokerage firms in Ghana. 

"Dear Edem,

My name is James Kofi Bond, a Ghanaian currently living in the US. I came across your blog a couple of days ago and have been reading your articles.

I am writing to you because I have been thinking of investing in some equities on the Ghana Stock Exchange (GSE) and was wondering if you could recommend some brokerage firms back home that cater for an investor resident abroad. In addition, would you be kind enough to share your experiences/reviews using some of the brokerages in Ghana. Are you satisfied with services you receive or have received have you had any major issues? Were there any surprises once you started using their services, or did everything go smoothly as you expected?

Below are guidelines I would like to consider before I make any commitment and I would appreciate it if you could offer your thoughts on each of the guidelines. Feel free to add to the list if I miss anything.

1. What is the name of the firms that you would recommend? Are they full-service brokers or discount brokers?

Ans: I would recommend Databank Brokerage, CAL Brokers and Ecobank Capital simply because I have experience with them and likes what I get from them. And Yes, I they are full-service brokers. 

2. What documents are required to open an account? Should the documents be notarized?

Ghana Stock Exchange (GSE): Market update for Friday, 11.05.12

Friday GSE Market Update:


Let's look at what happened in the market today. The market closed on a bad note recording losses in four equities. The GSE-Composite Index closed the week at 1,050.34 points from 1,053.65 points. 

GOIL dominated trading for the third time in five successive sessions, the sixth in ten sessions, with 67.79% of the 0.4million shares traded and 58.86% of the GHS0.20million realized.

The corresponding year-to-date change for the exchange is 8.39%. The GSE financial stock benchmark fell 0.99 points to close trading for the week at 908.34 points.

Trade volume and value increased by 51.75% and 93.65% respectively, when compared with the previous session as reported by CAL Brokers.

Aluworks Ltd (ALW), Guinness Ghana Brewery Ltd (GGBL) and Ghana Oil Company Ltd (GOIL) gained a pesewa each to close at GHS0.07, GHS1.76 and GHS0.41 respectively. 

Meanwhile losses were recorded in four equities, PZ Cussons Ghana Ltd (PZC), Tullow Oil (TLW), Total Petroleum (TOTAL) and HFC Bank (HFC).

Analysts predict similar trend in stock prices for next week.

CAL Brokers still recommends Benso Oil Palm Plantation (BOPP) and Enterprise Group Ltd (EGL) for the fourth successive week.

Courtesy: Ghana Stock Exchange & CAL Brokers

Looking at the GH 2012 Budget, the Bond way.

The 2012 Budget with the theme “Infrastructural Development for Accelerated Growth and Job Creation” was described by the Majority in Parliament as the best ever but the Minority said it was a repetition of the past budget. The Minister for Finance and Economic Planning, Dr. Kwabena Duffuor outlined in his speech, the plans for the Bond Market and that was what caught my attention.

Over the years, the capital market has been growing slowly and highly dominated by activities in the stock market. The bond market on the other hand is dominated by the Government bonds with very few corporate bonds. In order to ensure accelerated growth as predicted by the budget, the government plans to deepen the bond market. To ensure long term debt instruments, the government of Ghana would be issuing a 7-year and 10-year fixed rate bond next year. In addition, the government will set up a National Bond Market Committee in 2012 to undertake the tasks. Dr. Kwabena Duffour mentioned that, this Committee would be tasked to first of all, identify the constraints in the development of corporate bond market. Moreover, it would study and recommend legal, institutional and process changes needed to accelerate the development of a corporate bond market.

 The Minister further outlined that; this committee would monitor the performance of the government bond market and to improve its effectiveness as an anchor for the corporate bond market. In regards of deepening the bond market, this committee would finally assist the private sector to access the bond market by proposing appropriate financial/technical assistance mechanisms.

This move by the Government for the 2012 fiscal year is good for the bond market and the capital market as a whole.

We hope to see it manifest. Else......................