In the Nigerian capital market, the Securities and Exchange Commission (SEC) has implemented a risk-based management guideline.
The Risk Management Association of Nigeria (RIMAN) has also been instructed by the Commission to bring its knowledge to bear on the Commission’s exposed risk management regulations, which will help to grow the capital market.
Mr. Lamido Yuguda, Director General of the Securities and Exchange Commission, mentioned this in a virtual message at the RIMAN 20th International Conference, according to Vanguard.
READ: SEC creates Fintech division to understudy cryptocurrency investments in Nigeria
What is SEC saying
Yuguda stated that the Commission worked with capital market operators and other industry stakeholders from the start of the pandemic through the following lockdown to ensure that the market suffered minimum damage.
He said, “We have supported and acquired the emergence of various technological driven innovations around market operations and products some of which include Fintech, Digital Assets and Crowdfunding.
“To support this, we developed a regulatory framework to galvanize these activities while focusing on managing the risk inherent in the products and activities in-line with our mandate of market development and investor protection.
READ: SEC steps up fight against Ponzi schemes and illegal capital market operators
“In supporting this innovation, we hope to build a better market, attract more investors, and reduce the demographic of the average age that presently invest in our market. We also hope to include millions whom were excluded from the capital market by making it easier for them to gain access.
“To achieve this, there is a need to collaborate with an organization such as yours and we hereby invite you to contribute in whatever way you can in building the Nigerian capital market. We invite you to do more in building the risk management capacity in the capital market, to conduct studies in risk capital market processes and products and contribute your opinions and recommendations to our exposed rules.”
READ: What the SEC licenses mean for the Nigerian FinTech Space
In case you missed it
The Securities and Exchange Commission (SEC) had earlier stated that it has set up a Fintech division to study cryptocurrency investments and products in order to help it initiate policies that will help regulate the sector.
In a document submitted to the Senate Joint Committees on Finance, National Planning, Petroleum Upstream, Downstream, and Gas chaired by Senator Adeola Solomon Olamilekan the Commission reported N9 billion in deficits.
