This archive report was first published on 1 October 2019.
NSE Stock Market Performance Declines in 2019 ¶
The Nairobi Securities Exchange (NSE) stock market performance declined between January and September 2019, with the NSE-20 Share Index, NSE-25 Share Index, and NSE All-Share Index showing a downward trend.
The NSE-20 Share Index, which consists of blue-chip companies, was around 2,900 points in May 2019 but declined to 2,400 points in September 2019, a loss of almost 17 per cent.
Investing Sh1 million in all the shares at the NSE-20 Share Index in May 2019 would have resulted in a loss of Sh172,500 over six months.
The NSE-25 Share Index, which includes 25 companies, was around 4,000 points in April 2019 but declined to 3,500 points in September 2019.
The NSE All-Share Index, which captures the performance of all companies listed at the NSE, was around 160 points in April 2019 but declined to 147 points in September 2019, a loss of 8.1 per cent.
According to the writer, who teaches at the University of Nairobi, the NSE needs additional market indicators that capture investors' confidence in the stock market, including a confidence index and a volatility index.
Published on October 1, 2019, at 4:30 PM.
