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<!--Generated by Squarespace Site Server v5.11.81 (http://www.squarespace.com/) on Thu, 23 Feb 2012 15:38:43 GMT--><rss xmlns:content="http://purl.org/rss/1.0/modules/content/" xmlns:wfw="http://wellformedweb.org/CommentAPI/" xmlns:itunes="http://www.itunes.com/dtds/podcast-1.0.dtd" xmlns:dc="http://purl.org/dc/elements/1.1/" version="2.0"><channel><title>MONGRAN DIALOGUE - CONTENT</title><link>http://www.mongranfinancials.com/dialogue/</link><description></description><lastBuildDate>Mon, 20 Feb 2012 02:45:35 +0000</lastBuildDate><copyright>MonGran Financials Inc</copyright><language>en-US</language><generator>Squarespace Site Server v5.11.81 (http://www.squarespace.com/)</generator><item><title>MISSING THE BOAT - THE DILEMMA OF THE INVESTOR</title><category>STRATEGIES</category><dc:creator>Ade Alao</dc:creator><pubDate>Wed, 26 Jan 2011 00:15:11 +0000</pubDate><link>http://www.mongranfinancials.com/dialogue/2011/1/25/missing-the-boat-the-dilemma-of-the-investor.html</link><guid isPermaLink="false">501103:9066515:10224722</guid><description><![CDATA[Basic human logic, called common sense, rationalizes that when stock market prices are moving up and booming that you jump in, buy and ride the market. On the contrary, when the market is failing you jump out of the boat as fast as you can.]]></description><enclosure url="http://www.mongranfinancials.com/dialogue/2011/1/25/missing-the-boat-the-dilemma-of-the-investor.html" type="text/html"/><wfw:commentRss>http://www.mongranfinancials.com/dialogue/rss-comments-entry-10224722.xml</wfw:commentRss></item><item><title>WHAT'S YOUR DNA - INVESTOR</title><category>STRATEGIES</category><dc:creator>Ade Alao</dc:creator><pubDate>Tue, 25 Jan 2011 21:10:00 +0000</pubDate><link>http://www.mongranfinancials.com/dialogue/2011/1/25/whats-your-dna-investor.html</link><guid isPermaLink="false">501103:9066515:10223086</guid><description><![CDATA[<p><span class="Apple-style-span" style="color: #150603; font-family: Arial,Helvetica,Geneva,sans-serif; font-size: 11px; line-height: 20px; text-align: left;">
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<p style="margin-bottom: 1em; margin-top: 0em;">What type of Investor are you? Do you consider yourself a "VALUE Investor" or a &ldquo;GROWTH Investor"? Starting with a simple definition, Value Investing, a strategy, gurus like Warren Buffet and Benjamin Graham lived by, entails finding a way to assess a stocks long-term value other than focusing on recent shifts in market price. Value Investing focuses primarily on numbers...or in other words, fundamentals i.e. earnings, sales, debt, cash flows, which usually provides a clear indication of the strength and performance of a company.<br />GROWTH investing, a strategy, people like Martin Zweig focused primarily upon, involves assessing stocks that demonstrate both with historical growth and are equally positioned for future rapid growth.<br />Both strategies have proven successful over the years within developed countries...As an investor in the Nigerian Capital Market, what would you consider your strategy to be?</p>
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<div class="signature" style="margin-top: 0.5em; text-align: right;">December 26, 2010 |<span class="Apple-converted-space">&nbsp;</span><a style="font-family: Arial,Helvetica,Geneva,sans-serif; text-align: left; text-decoration: none; padding-left: 5px; padding-bottom: 0px; margin-left: 0px; margin-bottom: 9px; color: #350808; border-color: #3a1010;" title="Unregistered Commenter" href="http://www.mongranfinancials.com/contributor/11989845"><img class="inline-icon" style="border-width: 0px; border-style: none; margin-right: 6px; vertical-align: middle; height: 16px; width: 16px;" title="Unregistered Commenter" src="http://www.mongranfinancials.com/universal/images/core-resources/icons/dark/user-unregistered.png" alt="Unregistered Commenter" />Olumuyiwa A Alao</a></div>
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<p style="margin-bottom: 1em; margin-top: 0em;">I think the best strategy to use in the Nigerian context is value investing. Though,once in a while one might venture into using growth strategy but your homework has to be done very well and also a minimal capital should be invested.</p>
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<div class="signature" style="margin-top: 0.5em; text-align: right;">December 27, 2010 |<span class="Apple-converted-space">&nbsp;</span><a style="font-family: Arial,Helvetica,Geneva,sans-serif; text-align: left; text-decoration: none; padding-left: 5px; padding-bottom: 0px; margin-left: 0px; margin-bottom: 9px; color: #350808; border-color: #3a1010;" title="Unregistered Commenter" href="http://www.mongranfinancials.com/contributor/11994791"><img class="inline-icon" style="border-width: 0px; border-style: none; margin-right: 6px; vertical-align: middle; height: 16px; width: 16px;" title="Unregistered Commenter" src="http://www.mongranfinancials.com/universal/images/core-resources/icons/dark/user-unregistered.png" alt="Unregistered Commenter" />Timi</a></div>
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<p style="margin-bottom: 1em; margin-top: 0em;">@Timi, Thanks for your comment. In a climate like Nigeria, where fundamentals are quite questionable, how can investors successfully develop strategies based on Value Investing? Wouldn't it make sense to incorporate both in varying ratios based on the credibility and availability of financial information?</p>
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<div class="signature" style="margin-top: 0.5em; text-align: right;">December 28, 2010 |<span class="Apple-converted-space">&nbsp;</span><a style="font-family: Arial,Helvetica,Geneva,sans-serif; text-align: left; text-decoration: none; padding-left: 5px; padding-bottom: 0px; margin-left: 0px; margin-bottom: 9px; color: #350808; border-color: #3a1010;" title="Unregistered Commenter" href="http://www.mongranfinancials.com/contributor/12009263"><img class="inline-icon" style="border-width: 0px; border-style: none; margin-right: 6px; vertical-align: middle; height: 16px; width: 16px;" title="Unregistered Commenter" src="http://www.mongranfinancials.com/universal/images/core-resources/icons/dark/user-unregistered.png" alt="Unregistered Commenter" />Olumuyiwa A Alao, CEO MonGran Financials</a></div>
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<p style="margin-bottom: 1em; margin-top: 0em;">i) NSE has at best 50 stocks that have stable liquidity and anything approaching corporate governance worth investing in. Specialising in such an environment is a waste of time. Investing in african equities, you could probably just about do it. Look for the leading companies in important sectors (banking, telecoms, brewing, media, retail, etc.) that have proven that they can grow their earnings and their free cash flow (i.e. they have very little capital investment requirements - the capex bill for the consolidating Nigerian banks in the 06/07 period should have been a sure warning that these were no growth stocks) and sport very high returns on assets, within what is a challenging business environment) and who have proven their earnings are real by distributing a significant portion as dividends over time.<span class="Apple-converted-space">&nbsp;</span><br />ii) I personally dislike the terms growth or value investor (as though people looking for growth are not also looking for value and those looking for value are not looking for growth.) As both Buffet (supposedly value, though few really understand his strategy) and O'Neil (suposedly growth, but earnings quality, debt levels, and competitive advantage are as important to him as to Buffet) know that growth and value are joined at the hip. In Nigeria saying you are a growth or value investor means you don't know what your doing and probably earn a salary (as opposed to living off your investments.)<br />iii) The quality of personal ethics and integrity as is the quality of accounting and implementation of standars is quite low. As a results dividend performance (the only thing that people can't lie about) plays an extra special role in Nigeria. In addition, high inflation, unstable government policy and unstable economy make dividends more important to the investor. Possibly also the notoriously low long term perspective of Nigerians. Therefore dividend investing (which can be played for potential dividend growth or for 'value' - current yield) works better than in many markets.<br />iv) Being a monoline economy (i.e. nothing much seems to be going out or being produced apart from oil) macro economics and politics play a greater role than in other markets</p>
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<div class="signature" style="margin-top: 0.5em; text-align: right;">December 29, 2010 |<span class="Apple-converted-space">&nbsp;</span><a style="font-family: Arial,Helvetica,Geneva,sans-serif; text-align: left; text-decoration: none; padding-left: 5px; padding-bottom: 0px; margin-left: 0px; margin-bottom: 9px; color: #350808; border-color: #3a1010;" title="Unregistered Commenter" href="http://www.mongranfinancials.com/contributor/12031875"><img class="inline-icon" style="border-width: 0px; border-style: none; margin-right: 6px; vertical-align: middle; height: 16px; width: 16px;" title="Unregistered Commenter" src="http://www.mongranfinancials.com/universal/images/core-resources/icons/dark/user-unregistered.png" alt="Unregistered Commenter" />Afamii</a></div>
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</span></p>]]></description><wfw:commentRss>http://www.mongranfinancials.com/dialogue/rss-comments-entry-10223086.xml</wfw:commentRss></item><item><title>NSE - DRAFT BILL TO ESTABLISH THE ASSET MANAGEMENT COMPANY</title><category>NSE</category><category>STRATEGIES</category><dc:creator>Ade Alao</dc:creator><pubDate>Tue, 25 Jan 2011 21:07:20 +0000</pubDate><link>http://www.mongranfinancials.com/dialogue/2011/1/25/nse-draft-bill-to-establish-the-asset-management-company.html</link><guid isPermaLink="false">501103:9066515:10223072</guid><description><![CDATA[<p><span class="Apple-style-span" style="color: #150603; font-family: Arial,Helvetica,Geneva,sans-serif; font-size: 11px; line-height: 20px; text-align: left;">
<p style="margin-bottom: 1em; margin-top: 0em;">There is a draft bill under review by the House of Representatives of Nigeria, to establish "The Asset Management Company (AMC)" for the purpose of Efficiently resolving the Non-Performing Loan Assets of Banks in Nigeria and for Related Matters , 2010(SB. 359). A second reading on the floor was made by Senator Teslim K. Folarin (Senate Leader).<span class="Apple-converted-space">&nbsp;</span><br />The Asset Management Company will be 60% and 40% owned by the CBN and Ministry of Finance respectively<span class="Apple-converted-space">&nbsp;</span><br />The Nigerian SEC Director General Supports the formation of this bill. Click here to read the Memorandum presented to the House of Assembly<a style="font-family: Arial,Helvetica,Geneva,sans-serif; text-align: left; text-decoration: none; padding-left: 5px; padding-bottom: 0px; margin-left: 0px; margin-bottom: 9px; color: #350808; border-color: #3a1010;" rel="nofollow" href="http://mongran.squarespace.com/storage/articles/sec/20100129424319Memorandum-1.pdf">Memorandum</a></p>
<p style="margin-bottom: 1em; margin-top: 0em;">Are we moving in the right direction?<span class="Apple-converted-space">&nbsp;</span><br />Is the ownership structure of concern?<br />Should there be more substance to this bill?</p>
<p style="margin-bottom: 1em; margin-top: 0em;">What are your thoughts?</p>
</span></p>]]></description><wfw:commentRss>http://www.mongranfinancials.com/dialogue/rss-comments-entry-10223072.xml</wfw:commentRss></item><item><title>MARGIN LENDING - NIGERIAN CAPITAL MARKET</title><category>LENDING</category><category>NSE</category><category>STRATEGIES</category><dc:creator>Ade Alao</dc:creator><pubDate>Tue, 25 Jan 2011 21:02:20 +0000</pubDate><link>http://www.mongranfinancials.com/dialogue/2011/1/25/margin-lending-nigerian-capital-market.html</link><guid isPermaLink="false">501103:9066515:10223028</guid><description><![CDATA[<p><span class="Apple-style-span" style="color: #150603; font-family: Arial,Helvetica,Geneva,sans-serif; font-size: 11px; line-height: 20px; text-align: left;">Should the Central Bank of Nigeria, SEC and the NSE engage in Margin Lending? Has the Industry gained new perspectives about margin leading to prevent the impact margin leading had in 2007/2008.</span></p>
<p><span class="Apple-style-span" style="color: #150603; font-family: Arial,Helvetica,Geneva,sans-serif; font-size: 11px; line-height: 20px; text-align: left;"> Kindly post your comments and feedback!<br /></span></p>]]></description><wfw:commentRss>http://www.mongranfinancials.com/dialogue/rss-comments-entry-10223028.xml</wfw:commentRss></item><item><title>Market Timing – Nigerian Stock Market</title><dc:creator>Ade Alao</dc:creator><pubDate>Sun, 09 Jan 2011 07:49:57 +0000</pubDate><link>http://www.mongranfinancials.com/dialogue/2011/1/9/market-timing-nigerian-stock-market.html</link><guid isPermaLink="false">501103:9066515:9982142</guid><description><![CDATA[Is market timing a sustainable strategy within emerging economies like Nigeria? Does it work and What are the factors that impede or support this strategy?]]></description><wfw:commentRss>http://www.mongranfinancials.com/dialogue/rss-comments-entry-9982142.xml</wfw:commentRss></item></channel></rss>
