COVID-19 Stock Market Experiences and Local Investors’ Investment Decisions in Lagos, Nigeria: a Pilot Study

Abstract

Economic activities were yet to pick up following the devastating effects of Covid-19 pandemic on stock market in Nigeria. Major cities were on complete lockdown for months leading to another phase of stock market crisis in 2021. This study explored Covid-19 stock market experiences and local investors’ investment decisions in Lagos, Nigeria. Organic theory of Emile Durkheim was adopted as framework, whereas exploratory design was employed. The study utilized purposive and snowballing sampling techniques, using purely qualitative research instruments with a sample of thirty-six (36) interviewees. Thirty in-depth interviews (IDI) and six key informants (KII), two each were purposively selected from staff of Nigerian Exchange Ltd (NGX), Securities and Exchange Commission (SEC) and Stockbrokers from Lagos State based on their in-depth professional knowledge about stock market operations. The qualitative data were content analyzed. 55.6% were men and 58.3% were married. The result of the study showed that local investors’ Covid-19 stock market experiences have greatly affected their present investment decisions. There is need for restoration of investors’ confidence in the Nigerian stock market.