By Nkiruka Nnorom

The Nigerian Stock Exchange, NSE, has expressed optimism that its oversight function over the dealing member firms will lead to enhanced investors’ confidence and enhanced capabilities for market integrity.

Nigerian Stock Exchange

Mr. Olufemi Shobanjo Head, Broker Dealer Regulation, NSE, made this known during his presentation of a paper titled ‘ ‘Broker Oversight & Supervision System’ saying that the system would offer investors as well as other market participants access to dealing members information on a near real time basis.

The ‘Broker Oversight & Supervision System’ is geared towards the enhancement and the automation of the regulatory and oversight function of the exchange over its dealing members in the area of automated rendition of regulatory filings, analysis of various ratios of financial renditions, capital and liquidity monitoring and compliance monitoring.

The system concentrates on compliance reporting, maintenance and update of details of dealing member firms, including corporate profile, compliance history and records of approved persons, regulatory reports to the Securities and Exchange Commission (SEC) as well as complaints management and tracking resolution.

According to Shobanjo, the application would support the exchange’s strategic objective of becoming Africa’s foremost securities exchange driven by regulation, efficiency, liquidity and innovation.

He noted that the system would also allow the regulators to carry out effective regulation of the dealing member firms in line with global best practice.

Shobanjo further explained that using the application would allow the regulators to enjoy an enhanced visibility and first hand information on the regulation of dealing members, while the members of press would have quick feed to the website on current information including corporate profiles and regulatory breaches of the stock broking firms.