NSE further empowers stakeholders with Investor Clinic on Dematerialisation

 

THE Nigerian Stock Exchange (NSE) in its efforts to further deepening the Nigerian Capital Market, organised an Investor Clinic to educate capital market stakeholders on ‘The role of Dematerialization, Direct Cash Settlement and E-dividend.
The Investor Clinic which took place at the Stock Exchange House, Lagos was targeted at sensitizing the investing public and brokerage community of contemporary initiatives in the market.
This edition of the NSE Investor Clinic which was sponsored by ARM Pension Fund Managers Limited and Africa Prudential Registrars Plc, shed light on the importance of dematerialisation as a necessity in the trading of shares.
Participants were also made to understand the advantages of direct cash settlement and e- dividend processing in the consolidation of returns on their equity investment as well as the overall benefits to the Nigerian Capital Market.
Speaking at the event, the Executive Director, Market Operations and Technology, NSE, Mr. Ade Bajomo, said “the NSE Investor Clinic brings to the fore the importance of dematerialisation in ensuring improved market velocity and integrity as well as the role of direct cash settlement in enhancing investor confidence by ensuring that proceeds from the sale of securities are remitted directly into investors’ accounts.
He stressed the importance of e-dividend in not only reducing the perennial issue of unclaimed dividend growth, but in ensuring that investors derive the full benefits of their investments by having their dividends paid directly into their bank accounts as soon as these are disbursed by issuers, regardless of whether these are savings or current accounts.
He added that “at The Nigerian Stock Exchange, we are committed to improving overall financial literacy and inclusion in the country, and ensuring we implement efficient processes that provide investors easy and intuitive access to grow their wealth. This commitment is expressed in the various initiatives undertaken by The Exchange. In 2016 alone, we executed over 200 free capacity building workshops, aimed at enhancing investor understanding of the workings of the capital market. The multiplier effect of these workshops are phenomenal, as over 25,000 participating investors have been equipped to make better investment decisions”.