The Chief Executive Officer of the Nigerian Stock Exchange (NSE), Mr. Oscar Onyema, has said Investor Protection Fund (IPF) would commence as soon the Securities and Exchange Commission (SEC) approves the rules .
IPF was established to give investors a statutorily backed avenue for reducing the losses they suffer as a result of bankruptcy. It will also cover losses arising from insolvency, negligence or wrongdoing by dealing members.
Onyema, who said this at the NSE’s 2013 market review and outlook for 2014, added that the IPF would strengthen the confidence of domestic investors.He said that retail investors’ participation in the market as at Nov. 2013 stood at 49.06 per cent.
Onyema also said that the operations of the exchange in 2014 would focus on sustaining the market growth. He said that the NSE would also sustain the attraction of foreign investors in the Nigerian capital market.
Onyema said that the NSE would increase its investor education with other financial market regulators, to enhance financial literacy.
He said that the NSE would ensure a world class surveillance programme and enhanced government relations for the capital market and national economic development.
Onyema revealed that quoted companies and brokers were sanctioned N61.21 million and N43.5 million in 2013 for various market violations, noting that it would continue with its zero tolerance to irregularities.
Reviewing the 2013 performance, Onyema said that the market capitalisation of listed equities grew by N4.25 trillion to N13.23 trillion, against the N8.98 trillion posted in 2012.
According to him “ The value of traded equities in 2013 appreciated by 58.66 per cent to N1.04 trillion. The NSE within the period under review, recorded two listings and 19 new bond listings.