The Association of Securities Dealing Houses of Nigeria (ASHON) has re-affirmed that its members shall commence trading on the FMDQ Securities Plc any moment from now as the Relationship Committee set up by the Association’s Governing Council has submitted its final report for consideration and implementation.
Addressing ASHON’s members during the Zoom Annual General Meeting (AGM) at the weekend, the Chairman, Chief Onyenwechukwu Ezeagu confirmed that the final report of the Committee on collaboration with FMDQ had been submitted to the Governing Council.
“In our resolve to create new streams of income for our members, we intensified efforts through the FMDQ Committee to establish a trading relationship with the FMDQ. The Committee has submitted its final report and we are at the last stage of onboarding our members to trade on the FMDQ platform.”, said Ezeagu.
Corroborating him, the Association’s Public Relations Officer, Ms Ify Ejezie explained that the onboarding processes, training and fixing of applicable fees would be seamless.
ASHON has been on the vanguard of ensuring that its members take advantage of an array of business opportunities created by the emergence of more Securities Markets such as FMDQ, NASD OTC Plc and Lagos Commodities and Futures Exchange (LCFE).
The move is expected to reverse the current situation whereby Stockbrokers are not so active in trading fixed income securities on the FMDQ, whereas the financial instrument was the hub of transaction on The Nigerian Stock Exchange in the past.
The umbrella body for all Securities Dealing Houses in Nigeria was formerly known as Association of Stockbroking Houses of Nigeria until last year, when the trade group swiftly and creatively changed its name to reflect the enlarged functions of its members. This is without prejudice to the existing acronym. As part of its brand positioning, the Association also changed its logo and launched it with fanfare to reflect an array of its members’ functions.
This is consistent with the proposed Bill that will recognize Stockbrokers as Securities Dealers as against the current narrow perspective of their roles being limited to dealing in equities only.
Speaking on the demutualization of The Exchange, Ezeagu told ASHON’s mementos that the project was delayed due to the outbreak of COVID-19 pandemic but had begun to gain traction. According to him, the documents are already with the Corporate Affairs Commission (CAC) and Securities and Exchange Commission (SEC) for final approval.
He updated the members on the engagement with the regulators on some current issues of concern such Know Your Client (KYC), unclaimed dividend, identity management issues and multiple account reconciliation, among others. Ezeagu who noted that the operating environment had been tough lamented that some members deliberately renege in payment of their annual dues and urged them to accord it priority.