FMDQ Group owners of Nigeria’s fixed income securities exchange FMDQ have confirmed plans to launch its equities market placing it in direct competition with the NGX.
The Chairman of FMDQ Group Plc, Dr. Jibril Aku, also revealed that the Exchange increased the holding period for long-term investors from 12 to 21 months with the introduction of long-dated FX Futures contracts.
The update was disclosed in a press release summarizing key highlights from the company’s 13th Annual General Meeting (AGM).
Dr. Aku explained that in 2024, the Exchange worked to provide greater flexibility for investors who prefer long-dated FX Futures instruments.
- Hence, FMDQ now offers a 13-month contract and holding periods of up to eight quarters for long-term investors of such contracts.
He added that the Exchange also introduced a new price discovery mechanism to improve trade execution through its proprietary trading platform, PenDealer.
On the depository side, the statement reported solid growth.
“The Qex Depository System, introduced in 2023, now serves 47 participants. Total securities lodged in the depository climbed to 150 securities valued at N1.28 trillion, up from N1.25 trillion.”
Looking ahead, FMDQ’s outgoing Chief Executive Officer, Bola Onadele Koko, confirmed plans to launch the FMDQ Equity Market and the Unsponsored Depositary Receipts Market.
“FMDQ will prioritise the activation of the FMDQ Equity Market,” he said, reaffirming the Group’s commitment to expanding its offerings and deepening Nigeria’s capital markets.
The launch will put FMDQ against the NGX which has been the sole equities market exchange for years. Attempts to launch competing exchanges have failed in the past.
For example the Abuja Stock Exchanged launched in 2001 but was closed soon after by the government.
The NGX has experienced impressive traction in 2025 with market capitalization nearing N100 trillion mark.
FMDQ fixed income exchange is the largest in Nigeria and contributed significantly to the massive growth in group revenue. For example, while FMDQ generated a revenue of N34.29 billion in 2024, NGX generated N16.8 billion.
The NGX also has a fixed income securities business but lags in comparison to the FMDQ when it comes to market capitalization.
Priorities
FMDQ Exchange said it will focus on activating the repurchase agreement market for short-term funding, as well as launching its equity market and unsponsored depositary receipts market.
- The Exchange also plans to separate FMDQ Academy into a standalone entity to strengthen its training and capacity-building efforts.
- Maintain its central counterparty (CCP) services and continue working toward wider industry recognition.
- And incorporate equity market depository services.
In the private markets segment, the Group will introduce the ARTIS DealRoom, a digital platform aimed at linking vendors with institutional investors to improve supply chain deal-making efficiency.
According to the exchange, these steps are intended to support its next phase of operations, with a focus on agility and innovation.
For 2024, the Group reported a pre-tax profit of N23.2 billion, up 66.54%, mainly due to higher treasury income.
Treasury income and other income:
FMDQ’s 2024 performance was supported mainly by a sharp increase in treasury income, which rose to N16.2 billion from N3.2 billion in 2023, and other income, which increased to N15.5 billion from N7.4 billion.
- Within the ‘other income’ category, margin management fees contributed the largest share at N10.1 billion, followed by commercial paper quotation fees of N1.6 billion, processing fees of N1.2 billion, with the balance coming from other revenue streams.
Acting Chief Executive Officer of FMDQ Group, Ms. Kaodi Ugoji, noted that these results reflect the contributions of the Group’s stakeholders, including shareholders, regulators, members, and market participants, whose collaboration supports the Nigerian financial market.
