With the value of unclaimed dividend in the nation’s capital market soaring to N190bn from N180bn recorded in 2021, despite the various efforts by the Securities and Exchange Commission (SEC) to tackle, the management of the Nigerian Exchange Limited (NGX) has suggested a combination the adoption of financial literacy and awareness.
Reacting to this development at a recent retail investors webinar themed: “How to Process Outstanding Dividend,” the Divisional Head, Capital Markets, NGX, Jude Chiemeka, lamented that some retail investors, especially those with legacy investment held on their behalf, are unaware of the backlog of unclaimed dividends that have accrued to them over many years.
He added that the webinar- held in collaboration with Futureview Asset Management Limited, is aimed at providing procedures to investors, especially the retail segment on how to process outstanding dividends and retrieve unclaimed dividends, Chiemeka said a mix of financial literacy and aggressive awareness can help to reduce unclaimed dividends in the market.
He also added that the Exchange remains committed to utilising technology to optimise intermediaries and increase access to the market for retail investors.
He said, “To this end, we have established a digital gateway to democratise access to the market, reduce friction and drive retail participation in the capital market.”
Chiemeka assured that the SEC would continue to work assiduously with stakeholders to reduce the cases of unclaimed dividends in the market to the barest minimum.