Nigeria’s Securities and Exchange Commission (SEC), at the weekend warned entities engaged in illegal fund management activities to desist forthwith or be ready to face the full wrath of the law.
Director-General of the commission, Dr. Emomotimi Agama announced this, said the commission will deploy all of its enforcement mechanisms to fish out those perpetrating illegal activities within the country’s investment climate.
Section 13(a) of the Investments and Securities Act 2007, he recalled, “states that the SEC has the power to regulate Investments and Securities business in Nigeria. So within the law, we have the powers to do so.
“What we are doing is strengthening our enforcement mechanism in collaboration with the Nigerian Police Force and the Federal Ministry of Justice. This serves as a notice to anyone not playing by the books to desist or face the law.
Agama also said this year’s World Investor Week with the theme: “Technology and digital Finance, Crypto Assets and sustainable Finance” will hold from October 7 to 14.
World Investor Week is a global initiative of the International Organisation of Securities Commissions (IOSCO) established to raise financial literacy among the general public.
Activities lined up for the week-long events include Bell Ringing Ceremonies, Panel Discussions, Investor Outreach and Clinics at the SEC Headquarters and zonal offices.
He assured that the SEC is prepared to protect investors, besides educate them, thereby boosting market confidence, while also superintending over public companies to ensure that they imbibe good corporate governance in their administration.
The aim of the world investor week, he noted, is to provide information to investors, to educate them on investing in the Nigerian capital market, and the opportunities available therein in order to democratize wealth.
According to him, “during the week-long events, we will be reaching out to everyone that is interested and needs to know some of the plans and strategies that the SEC has in place to attract more investors to the market.
“One of the major plans within the WIW is investor education. You cannot overrule the value and essence of education. A lot of people are not aware of investment opportunities or investment windows, not because they don’t want to invest, but because they just don’t know.
“So the idea of the World Investor Week is to bring to fore the opportunities that exist, rights of the investor and the dispute resolution mechanisms that are available in case they have those challenges, and also to let them understand the value of investments and preparing for the rainy day”.
Agama expressed the need for investors to be aware of priority investments, risky investments, the rewards of risky investments and the investments that are less risky.
“The point is, people have to know exactly what their appetite is. It’s not everyone that has a strong risk appetite. So you need to understand that if you do not have a strong risk appetite, there is an investment meant for you, but if you have a strong risk appetite, there is also an investment meant for you.
“Therefore, having that education and being able to reach out to an investment advisor when you are not sure is a critical part of educating you not to get burnt again. With the right education, even when you are burnt, you know you are burnt for a good reason” Agama stressed.
He said the SEC will leverage social media and other traditional media channels to reach out to the populace in a bid to further educate and enlighten them.
The DG restated plans by the Commission to establish a radio station that will disseminate information on the capital market and investment opportunities available therein to Nigerians in the grassroots.
“Besides that, we are also incorporating capital market studies into the curriculum of tertiary institutions, so that these students can be taught and nurtured from the cradle on the value of the capital market in wealth creation and economic development”, he added.
