Small Caps outperform as Nigerian Stocks trim 2020 losses to -5.8%

Small Capitalised Nigerian stocks are the best performers so far in 2020, even as the markets have rallied from the lows of March to trim losses so far this year to -5.86 percent.
Small Capitalised Stocks are defined by MoneyCentral as Stocks with Market Capitalisation of N100 billion and below.
With trading coming to a close for the Month of May, the Nigerian Stock Exchange (NSE) gained 0.40 percent Friday to close at 25,267.82pts.
A deeper dive into the components shows that the top 10 stocks with the highest year to date gains are small caps.
These include Law Union and Rock Insurance (+102%), Niemeth Pharmaceuticals (+82%), May & Baker (+75.6%), NPF Microfinance Bank (+57.39), AIICO Insurance (+45.83%), 11 Plc (+44.62%), EkoCorp (+41.1%), Cutix Plc (+40.6%), Livestock feeds (+40%) Julius Berger (+38.1%) and Glaxo Smithkline (+32.7%).
The opportunity for rotation into large capitalized stocks will emerge in the second half of the year as economic growth returns towards the end of 2020.