NSE Announces New Listing And Brokerage Fees


The Nigerian Stock Exchange, NSE said it has made revisions to listing and trading fees for securities listed and traded on its Fixed Income Market.

The new fee structure will be effective from August 17, 2016, will be piloted for an initial six month period, and then evaluated to determine if it has met its objectives.

Under the revised fee structure, the NSE will no longer charge trading fees on fixed income traded on its platform. The initial flat listing application fees of 0.15% for all bond types has been replaced with variable listing application fees.

Henceforth, Corporate Bonds exclusively listed on the NSE, with existing equity listing, will attract 0.01% listing application fee. Dual listed Corporate Bonds with existing equity listing and other Corporate Bonds will attract 0.0375% listing application fees. Similarly, the listing application fees for State and Supranational Bonds has been reduced to 0.05%.

The NSE said it will also replace the fixed Brokerage Commission of 0.0005% with a negotiable rate capped at 1%. This will enable investors negotiate trading commission with brokerage firms, thus driving competition and best execution. Below is the new listing and trading fees in the NSE fixed income market.

The Executive Director, Capital Markets, NSE, Mr. Haruna Jalo-Waziri, said “The reduction in listing application fees gives issuers opportunity to raise their profile and increase visibility through listing on a globally recognized Exchange with the highest regulatory standards. The aim is to reduce issuers cost of accessing long term capital and to provide investors with diverse investment products at competitive trading fees”.

He said investment opportunities in the Nigerian capital market as huge, urging issuers to raise cheap long term capital through bond issuance for business expansion, project finance, loan refinancing etc., and investors to be more active in the bonds segment. “NSE remains committed to building an enduring marketplace and will continue to pursue initiatives that add value to issuers and investors”, he added.
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