Role Of Nigeria Stock Market On The Mobilization Of Investment Capital

Over the years, there has been misconception on the roles the stock market plays in mobilization of investment capital. These misconceptions arose from the fact that once the investors invest in the stock market their money or investment will be lost and eroded due to certain factors such asunslable and unfavorable regulatory policies that most time affects investment of ■ investorsreducing investors gain or eroding their capital. The study thus examined the role of stock exchange markets towards mobilization of investment capital in Nigeria between 2000 and 2015 using ordinary least square (OLS) regression method of analysis. Pre-estimation diagnostics results showed that the variables were found stationary after first difference and they all have long-run equilibrium relationship among them. Findings from. the study revealed that market Capitalization index, a measure of the growth of the stock exchange market impacted positivelyon gross domestic investment. It showed that market Capitalization has significantly enhanced the growth of Gross domestic investment in Nigeria. More—so, total value of traded stock (TVT) has no significant impact on Gross domestic investment (GDI) in Nigeria, Total value of traded stock was found to have positively enhanced the growth of investment levels in Nigeria. the study thus suggests that there is the need to restore confidence to the market by regulatory authorities through ensuring transparency and fair-trading transaction and dealing in the stock exchange. It must also address the reported case of abuse and sharp practices by some companies in the market.