Capital market expert and Chief Executive Officer (CEO) of Sofunix Investment and Communications, Mr. Sola Oni, identified Finance, Health, Technology and Agriculture as sectors to watch on the Nigerian Stock Exchange (NSE) in 2020.
He said this on Thursday, 27th December, 2019 in Lagos while speaking on market outlook for 2020.
Oni was quoted as saying that the state of the economy in 2020, would have very little effect on the potential of the mentioned sectors to produce good returns on investments.
The Financial sector, he observed was known for liquidity and was fast attracting millennial customers through innovative services that thrived on technology.
Sola also noted the advances made in Biomedical Engineering and Pharmaceutical Medicine and so, predicted an increase in investment opportunities by 2020 in the Health Sector.
While still speaking on the technological trends providing opportunities for investment, noted the increasing popularity of Artificial Intelligence (AI) in the global business sphere saying;
“Also, innovative investments such as blockchains and Cryptocurrency are highly dependent on technology.Trading on the securities market is technology-driven. The sector holds potential for good returns.”,
According to him, the Nigerian Capital Market survived the tough economic climate of 2019 until the policy of the Central Bank of Nigeria (CBN) on Open Market Operations (OMO) crashed yields on fixed income securities.
He insisted that the NSE would be attracting both local and international investors by 2020, and would be driven by a mix of factors.
“The outlook for the market in 2020 is attractive. But this is contingent on fixing of Nigeria’s weak economy where the Gross Domestic Product (GDP) currently grows at 2.3 per cent while the country’s population grows at 2.6 per cent; a misnomer.”
Oni urged the Federal Government to ensure faithful execution of the 2020 budget which was approved on record time and advised government at all tiers to take advantage of the market to mobilize fund for development projects and capital investments.