WEMA BANK

WEMA BANK
Take control

Monday, April 27, 2015

302 capital market operators meet new capital base requirements

Nigerian-Stock-Exchange-(NS
About 302 capital market operators have so far complied with the new capital base as directed by the apex capital market regulator, Securities and Exchange Commission, SEC .
The commission had announced a new capital base for the various categories of capital market operators, in which deadline for compliance was extended from December 31, 2014 to June 30, 2015.

According to the latest data obtained from the SEC, out of 449 registered capital market operators, 302 operators have met the new capital base , representing 67 per cent compliance, while 144 operators are yet to meet the new capital requirement.
Details showed that out of 235 registered Broker/Dealer, 135 operators have met the new capital, representing 57 per cent compliance, while 98 operators are yet to comply; For Issuing Houses, out of 72 operators, 66 operators have met the new capital, representing 92 per cent compliance, while six are yet to comply; For Registrar, out of 22 operators, 15 have met the new capital base, representing 68 per cent, while seven are yet to comply; For Trustees, out of 28 operators, 12 have met the capital base, representing 43 per cent compliance; For Rating Agency, Out of five operators, three have met the capital base, representing 60 per cent, while two are yet to comply; For Fund Managers, Out of 87 operators , 71 have met the new capital base, representing 82 per cent compliance level, while 16 operators are yet to comply.
Commenting on the recapitalisation issue, the Acting Director General, SEC, Mr. Mournir Gwarzo said, the operators are all aware of the gracious extension the SEC Board granted. We set up a market Committee comprising SEC, Nigerian Stock Exchange, NSE and Central Securities Clearing System, CSCS which have been working with Trade Groups to address related issues. Based on the latest returns we have received from operators the level of compliance is encouraging although we will conduct a verification exercise at the end of this recapitalisation to confirm compliance.
Commenting on the activity of the commission in the area of strengthening and refocusing the SEC, he said “We are streamlining the operations of the Commission to focus on its core mandates as apex regulator. We believe this will make us more effective and efficient. We have worked on a new organisational structure which will be fully implemented this year.
On the empowerment of trade groups and Self Regulatory Organisations, SROs, he said “ As we focus on the big issues, we are committed to empowering Trade Groups and SROs to play more important roles in regulating their members. An example is the new Complaints Management Framework which we have released that ensures investor complaints are dealt with more swiftly starting from the operator, to the Trade Group or SRO level before reaching the SEC if still unresolved.

No comments: