FMDQ Begins Market Training On Derivatives For Stakeholders

As part of its determination to enhance understanding the derivatives market in Nigeria, the management of FMDQ Securities Exchange PLC, at the weekend continued its Derivatives Market Development Project which began in 2018, with Series II, involving training sessions for critical stakeholders.
The training session, which is part of its learning and development initiatives began with investment market journalists under the aegis of the Capital Markets Correspondents Association of Nigeria (CAMCAN), in a bid to enhance the education and capacity building of market stakeholders on the workings of the derivatives market.
Weekend’s two-day training session, the exchange explained, is part of a strategic partnership to boost “the reportage of FMDQ Exchange markets,” and ensure adequate understanding and proper reportage of the market.
From providing a holistic understanding of Exchange-traded derivatives and associated products, resource persons also took participants through discussions on how the pioneer product championed by the Central Bank of Nigeria (CBN), in partnership with FMDQ Exchange, the Naira-settled OTC FX Futures product works.
“Participants were exposed to various concepts to aid their appreciation of the derivatives market and also build their capacity for onward communication and reporting purposes,” the statement added.
Other stakeholder categories, including financial market Regulators, FMDQ Exchange Dealing Member (banks), corporate treasurers of non-bank financial institutions, amongst others, have also been scheduled to undergo requisite training in this regard. This will ensure that all participants are knowledgeable and ready to use the offerings of the derivatives market to improve business planning and appropriately manage foreign exchange exposures, using hedging products available in the FMDQ Exchange derivatives market.
The trainings are also aimed at helping participants maximise the potential of these markets towards positively impacting development of the Nigerian financial markets and will set the tone for and facilitate the launch of a standardized derivatives market.
The statement said the FMDQ Academy seeks to address financial markets capacity building requirements for participants and other stakeholders in the FMDQ Exchange markets.
“FMDQ Exchange and its subsidiaries, FMDQ Clear Limited and FMDQ Depository Limited, in availing the market with an end-to-end platform to list, trade, clear and settle financial market transactions, shall continue to foster economically impacting initiatives, in order to deliver on the mandate of making the Nigerian financial markets globally competitive, operationally excellent, liquid and diverse,” the statement continued.