After a period of speculation that saw fund prices soar beyond their fair value, the Nigerian Exchange-Traded Funds (ETFs) market is meeting a harsh reality check.
The Stanbic IBTC ETF 30, which recently peaked at N7,003, has plummeted 24% to N5,610, leaving late-cycle investors to face sharp double-digit losses.
“Nigerian ETFs are currently responding to the law of gravity: what goes up must surely come down. Let’s see how deep the correction will be. Still trading at a significant premium to their NAV,” Ayodeji Ebo, MD Optimus by Afrinves
