Nigeria: More brokers, issuing houses join NASD OTC
Last week, the over-the-counter (OTC) trading platform for securities of unlisted companies in Nigeria NASD Plc licensed six more financial institutions that will facilitate trading in the market.Last week, the over-the-counter (OTC) trading platform for securities of unlisted companies in Nigeria NASD Plc licensed six more financial institutions that will facilitate trading in the market.
In its weekly report obtained by THISDAY, NASD stated that “participating institutions are stockbroking firms and issuing houses who have applied for licence to trade or introduce securities on the OTC market. These firms have undertaken to always operate in the best interest of their client and abide by the rules of the NASD OTC market."
The six companies are: Capital Trust Brokers Limited (Broker/Dealer), Futureview Securities Limited (broker/dealer); Pilot Securities Limited (broker/dealer); Tiddo Securities Limited (broker/dealer); Traders Trust & Investment Company Limited (broker/dealer); and Stanbic IBTC Capital Limited (issuing house).
The NASD now counts 100 financial institutions, comprising 77 brokers/dealers and 23 issuing houses.
The president of the Chartered Institute of Stockbrokers (CIS), Albert Okumagba, commented that deepening the market should facilitate access to the markets to Nigerians and improve the economy, due to the importance of the OTC market in expanding the frontiers of the capital market and changing the investment landscape.
He also disclosed that CIS has already re-organised its education committee and expanded its curriculum to accommodate all securities trading styles, to include training professionals for operating on the OTC market.