By Nse Anthony-Uko
(Sundiata Finance) – The Nigerian capital market stakeholders at the weekend brainstormed on the need in deepening the stock market with retain investors especially the young ones. This was made known at the interactive session between regulators, market intermediaries and shareholder groups at a session tagged ‘Investor Clinic’ to close the 2017 edition of World Investor Week (WIW) in Lagos.
The director-general of SEC, Mr. Mounir Gwarzo, said that the World Investor Week (WIW) was a week set aside for educating investors on their rights. Gwarzo, represented by the executive director, Market Development of SEC, Mr. Eddy Rowlands said that the commission would continue to embrace initiatives that would move the market forward.
According to Rowlands, the World Week Investors is a week set aside primarily for educating investors and let the investors know what their right are. Concentrating or notifying investors what the market regulators and operators are doing in protecting their investments.
He noted that there are low participation of investors within the age of 25 years investing in the capital market, as this call for more enlightenment to the young generation. He further said that the commission had established financial inclusion programmes to increase market participation and as well boost Collective Investment Scheme among market women and men.
The chief executive officer, AFEX Commodities Exchange, Mr. Deji Balogun commended the commission for taking the capital market to the younger generation. Balogun also tasked market operators on the need for introduction of new products that would appeal to the younger generation. He said that opening of stockbroking accounts for new investors should be done through smart phones in line with present realities.
Also, the registrar/chief executive officer of the Institute of Capital Market Registrars, Dr. David Ogogo, said that the issue of the unclaimed dividends would soon be an issue of the past, saying that registrars would continue to work with market regulators and operators to ensure effective implementation of the 10-year capital market Masterplan.
Speaking the mind of the shareholders, the founder of Independent Shareholders Association of Nigeria (ISAN), Mr. Sunny Nwosu said that there was need for friendly policies and regulation by the capital market regulators. Nwosu said lack of proper compensation to investors that lost their funds during the market meltdown contributed to poor investor confidence in the market, whereas brokers were given forbearance package.
He also frowned at the commission’s move to invest the unclaimed dividend funds into special funds, saying that shareholders were not in support of the initiative. Nwosu said that the proposed issuance of electronic annual report should not be made mandatory, but optional. He said the law stipulated that annual reports must be posted to shareholders 21 days before the annual general meeting.