Insurance companies at the
The stocks trading at par value as at Friday last week consisted of
The poor performance of insurance stocks on the floor of the
About 71.43 per cent of the stocks in the sector were trading at nominal value of 50 kobo, while the remaining 28.57 per cent trade as penny stocks.
As at Friday last week, only eight insurance stocks traded above par value. They were
That was why investors/shareholders were finding it difficult to invest in the sector, he added.
"No shareholders will invest in stock that will not bring returns, we make our money from share price appreciation and dividend payout but insurance stocks are not doing well in this regards. There is no way I will put my money on the stocks that will not meet up with my expectations."
Similarly, National Chairman of
"Investors neglect insurance stocks because the companies in the sub-sector have been unable to reward the investors who invested in them well enough.
"Their inability to meet investors' expectations is due to the fact that most of them do not have businesses to generate enough profit that could be used to pay either dividends or bonuses to shareholders."
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