Audio By Carbonatix
The Ghana Stock Exchange (GSE) Council is expected to take a decision on whether share prices should be quoted to four or two decimal places.
At a meeting in Accra recently, involving GSE officials and the brokers, no decision to choose one of the two options was reached. The final decision must be made before the end of June.
However, in an interview with BusinessWeek, Philip Abodoh of First Atlantic Brokerage indicated that trading to two decimal places means there would be changes in value, in which investors would lose huge sums of their investment.
He cited, as an instance, the share price of Super Paper, which trades at ยข225 and when the new cedi is introduced will become 2.25 pesewas, thus causing investors to lose the 0.25 pesewas.
He noted however, that trading to four decimal places means that the losses in old currency and the gain in new cedis will be the same, and there will not be changes in value.
According to him, trading to four decimal places in the new cedi, the Super Paper share will be quoted at 0.0225 Ghana cedis, which means that there will be no drop in any figure.
He said the final decision by the Council would erase any doubts in investorsโ mind.
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Tags:
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Latest Stories
-
Divers recover bodies of seven Chinese tourists from bottom of Lake Baikal
51 minutes -
From windstorm to resilience: How Wa school is growing climate protection
1 hour -
Reclaiming the Garden City: Dr. Kwame Adinkrah urges Kumasi to rein in billboard proliferation
2 hours -
Bursar of Ghanata SHS arrested for alleged diversion of student food supplies
2 hours -
Trump says he will increase global tariffs to 15%
2 hours -
Bogoso-Prestea mine records first gold pour after 24-month shutdown
2 hours -
GhanaโECOWAS talks end with renewed push for women and youth political inclusion
3 hours -
Interior Minister receives Hudai Foundation food donation for prison inmates during Ramadan
3 hours -
UBIDS to benefit from pre-fabricated US$6.6m 1k capacity classroom project
3 hours -
Interior Minister launches Automated Fire Safety Compliance System to enhance public safety
3 hours -
Africa must lead climate intervention conversation – Experts
3 hours -
Ghana hosts high-level ECOWAS meeting to boost women and youth political participation
4 hours -
Canada looks to trade talks after US Supreme Court tosses Trump’s tariffs
5 hours -
Ghana, Burkina Faso sign 7 cooperation agreements to deepen bilateral ties
5 hours -
Duraplast supports Accra sanitation drive with donation of 20 waste bins
5 hours
