BY BONNNY AMADI
The Securities and Exchange Commission (SEC) has approved the Nigerian Exchange Limited (NGX) Revised Pricing Methodology Framework for equities trading.
According to the approved framework by SEC, the revised framework will become effective Monday, 17 August 2026.
Our correspondent gathered that the new equities price movement methodology is designed to strengthen price discovery by ensuring that transactions of material economic value are appropriately reflected in published market prices, while maintaining safeguards against price distortion.
Under the revised framework, tiered minimum traded quantity thresholds will apply for published price movements, based on the prevailing share price of each security, as contained in the new classification.
Prevailing Share Price and |Minimum Traded Quantity for Published Price Movement in three distinct classes distinguished by equity price range and recommended volume of shares to trigger a price movement.
The classifications are, Group A N1,000.00 and above 10,000 units to trigger a price movement Group B N500.00 – N999.99 50,000 units
Group C Below N500.00 100,000 units
Prior to the commencement of the new classifications for price movement, the existing daily price movement limits remain unchanged.
The market regulators and the NGX however urge members, particularly
Trading Licence Holders to familiarize themselves with the revised thresholds and make the necessary operational adjustments ahead of the implementation date.
Meanwhile, the Association of Stock Broking Houses of Nigeria (ASHON) had also encouraged all members to ensure compliance and support a smooth transition to the new pricing methodology.
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