Shares on the Nigerian Stock Exchange are expected to bottom out by June according to a report by Russian-based investment bank, Renaissance Capital.

According to the firm, foreign investors are returning to the market, especially to the banking sector.

The four Nigerian banks that are included in Renaissance's top 10 picks for the week are Access Bank, Diamond Bank, Guaranty Trust Bank and United Bank for Africa.

Although Renaissance was negative about the short term outlook of the Nigerian market at the start of 2009, the firm is currently cautiously optimistic and raising its exposure to equity.