SEC tasks operators on professionalism to attract investment

The Securities and Exchange Commission (SEC) has restated the need for capital market operators to maintain professionalism and good ethical conduct in the discharge of their duties.

The Director-General of SEC, Lamido Yuguda, who stated this during a meeting with the Chartered Institute of Stockbrokers (CIS) in Abuja, Wednesday, noted that this would make the market more transparent as well as attract investors.

Yuguda, while soliciting the support of CIS in the commission’s quest to improve professionalism and good conduct in the capital market also commended the institute for working in tandem with the commission, expressing the hope that the collaboration would continue.

“CIS has supported the SEC in our various initiatives in the past and we hope that this support will continue with the various initiatives we plan to roll out this year.

“We, therefore, urge the CIS to encourage its members to uphold the Code of Ethics of the profession and as contained in the Rules and regulations of the commission,” he said.

The SEC DG stated the importance of a harmonious working relationship between the regulator and the Self-Regulatory Organisations (CROs) adding that it would translate into a more vibrant capital market.

According to him, there is a need for both parties to work harmoniously and ensure a transparent capital market where the parties compliment and rein-enforce each other.

“With all the initiatives we are rolling out, we are all heading towards a more robust and vibrant market. Only recently, in a bid to curb poor market conduct, the SEC resolved to intensify monitoring and surveillance of the market and vowed to apply stiff sanctions to any operator who engages in unethical conduct.”

Yuguda said because market operators are the face of the market, there is a need for them to prioritise the interest of investors and demonstrate high level of integrity in conducting their activities.

In his remarks, the President of CIS, Olatunde Amolegbe commended the SEC on the various initiatives aimed at deepening and developing the market, adding that the CIS would continue to provide the necessary support in areas where it is required.

Also speaking, Past President of CIS, Ariyo Olushekun said the CIS is committed to working with the SEC to ensure improved ethical standards and weed out bad eggs in the market.

He said this would help boost confidence as well as attract more investment to the market to enable it to play the role of capital formation in the economy.