The Managing Director/Chief Executive Officer, NASD, Mr Bola Ajomale, has said that Pension Fund Administrators will start trading on the NASD platform by next year.
Ajomale revealed this while speaking during a meeting with the Association of Securities Dealing Houses of Nigeria on partnership in the area of trading in securities and market development.
He stated that in recognition of the large size of fixed income market and its importance, the NASD was set to introduce a new commercial paper trading initiative, which was currently going through the Securities and Exchange Commission for approval.
He noted that the support of ASHON was essential to its success in the market.
He said, “Emphasis should be on growth in the business. The growth is in finding companies and bringing them to the market. There is a new portal being introduced, which has the capacity to take care of this new line of thought and it is expected to come on stream soon.
“The Portal will be introduced formally to ASHON Members. It was advised that we should encourage the members of ASHON to look at other markets like FMDQ since the wealth the traders we make will cascade to the NASD.”
Ajomale stated that the partnership between ASHON and NASD was long overdue.
According to him, the equity market is threatened and constantly dwindling due to the fact that the world is changing.
The Chairman, ASHON, Chief Onyenwechukwu Ezeagu, said the association had started engagements with all Exchanges and trade points in Nigeria in order to expand the scope of operations and the income stream of her members.
He said, “We are extending this new initiative to include other markets outside Nigeria as evident in our participation in the formation of the African Stockbrokers and Securities Dealers Association, which is part of the African Linkage Project.
“We want to formally engage the management of NASD on how we can improve and streamline our relationship through regular discussion with the utmost aim of improving the market.
“The 4th Industrial Revelation is powered by financial technology and there is a need for us to be ready for its disruptive tendencies.”
The governing Council of ASHON had recently held a closed-door meeting with the management of NASD on a range of issues, including product development, the need for more engagement of NASD with stockbrokers and other key market participants, and the involvement of stockbrokers in NASD’s committees.
Source: The Punch