Manned by a highly motivated and top-notch team of trading experts, with state of the art trading technology, our securities trading group fuse the wisdom of the ages and tested tools to help you make more money in less time.
We are a leading player in the Nigerian Bonds Market. We bring to bear on our trading activities the passion for excellence demonstrated by our milestones and accolades in the market. You can be rest assured of our commitment to provide solutions that will address your interests.
THE PD/MM SYSTEM
The Primary Dealer/Market Maker system was institutionalized to revive the hitherto moribund bonds market in Nigeria. Kakawa (now FBN Merchant Bank) and fourteen other players were licensed to take up bonds at the primary market and actively trade these bonds at the secondary market. The bonds market has experienced huge success thus far and the regulators rely on FBN Merchant Bank and other players to extend the frontiers of bonds trading in Nigeria.
THE TWO-WAY QUOTE SYSTEM
The Two Way Quote System is one that requires Banks to quote bid and offer prices and to deal on either regardless of its trading position. This is accepted as best practice internationally.
The Two Way Quote System has the potential of deepening the Nigerian Money Market. Firstly, it is a transparent means of trading, as players will be forced to show margins between their bid and offer rates. This reduces the likelihood of players making undue margins and forces the market to be competitive. Secondly, it creates a vibrant and liquid secondary market as players can buy and off load at anytime.
TREASURY BILL TRADING
We specialize in Treasury Bills trading. We do this by leveraging on our institutional knowledge, client relationship, expertise in fixed income to provide our customers with premier services.
Consequent upon the need to develop the money market in order to enhance the effectiveness of its monetary policy, the Central Bank of Nigeria (CBN) appointed Kakawa (now FBN Merchant Bank) as one of 19 primary dealers/market makers for money market instruments.
The PD/MM in money market instruments was established to facilitate liquidity management, to deepen the money market and improve efficiency in trading and to create public awareness, thereby promoting the demand for these instruments.
Prior to being appointed as a PD/MM, FBN Merchant Bank has been at the fore-front of packaging Treasury Bills derivatives, one way and two-way trading in Treasury Bills. We see this development as an opportunity to deepen our market and further satisfy our esteemed customers.
We actively trade short term instruments such as bankers’ acceptances (BAs) and commercial papers (CPs) of multinationals and other quoted companies. We offer our clients the opportunity to invest in these short term instruments while providing short term funds to issuers of these instruments.
FOREIGN EXCHANGE TRADING
Our evolution into Merchant Banking expanded the scope of our product offering to include Foreign Exchange. As a result we offer a wide range of Foreign exchange products and services to our clients