The Securities and Exchange Commission (SEC) said on Monday November 13, 2017, that the low level of investors’ enrolment in the ongoing e-dividend policy is not a cheery news to the commission. Director General of the commission Mounir Gwarzo disclosed this to financial journalist at the post Capital Market Committee (CMC) Briefing in Lagos.
The disturbing aspect of the development was the disclosure by the Nigerian Inter Bank Settlement System Plc, (NIBSS) that the numbers of investors’ enrolment for the e-dividend program has significantly dropped from August with 50,819 investors’ enrolment to 59,204 in September and dropping to a low of 37,153 in the month of October 2017.
The drop in the e-dividend enrolment exercise led to the call by major collaborating stakeholders for a more vigorous awareness campaign. According to Samuel Oluyemi, Head Vertical Markets Group, expectation at NIBSS is to have 50,000 registration every month. The dedication of NIBSS on E-dividend mandate irreversible. Mind you, 136 stockbrokers are connected to the portal with 9 registrars.
Gwarzo appealed to the investing public to go to any bank branches in their locality and enroll, because the commission has already paid for the free services to banks. Stressing that there is no going back in the deadline of December 31, 2017. Hence after the December 2017 deadline, any investors that wants to do it in the bank will have to pay for the service.
Other issue that was discussed at the CMC, according Gwarzo, was the reports from various sub-committees which includes, the market infrastructures, liquidity, and the committee looking into the Companies and Allied Matters Act (CAMA) and the Investment and Securities Act (ISA). He said they promised to send in the full reports in four weeks’ time.
Gwarzo who used the opportunity to appraise the market performance in 2017 as he acknowledge that the last three month has been very good as figures emanating from the Nigerian Stock Exchange (NSE), Financial Market Dealers Quotation (FMDQ) and Nigerian Association of Securities Dealers (NASD) are looking up.