Circular

The Securities and Exchange Commission (SEC) wishes to draw the attention of all capital market operators to the following reorganization exercise recently approved by the Commission:

1. Relocation of Inspectorate Division to the Commission’s Lagos Zonal Office (LZO).

To ensure a successful implementation of Risk Based Supervision Model and regulation of Systematically Important Financial Institutions in the capital market, the Commission has considered the need to have enhanced regulatory supervision of all registered Capital Market Operators (CMOs), which available record indicates that more than 90% of the operators are based in Lagos.  In line with this, the Inspectorate Division of the Commission’s Monitoring Department has been moved to Lagos Zonal office but some staff will be retained at the Head Office to handle some operators from the Northern Part of the country, This is aimed at ensuring that the CMOs maintain healthy financial situation and comply with Rules and Regulations guiding the conduct of their respective operations.

2. Relocation of the Registration Division to the Lagos Zonal Office (LZO).

There is no doubt that the Commission’s revamped registration process has ensured the admission of only persons with excellent credentials to the market. In a bid to leverage on this revamped process and reduce huge financial burden being borne by the CMOs on filing of registration documents or attending registration meetings in Abuja, the Commission has decided to relocate the registration division from its Head Quarters to Lagos Zonal Office but a unit to cater for operators domiciled in the northern part of the country will reside at the Head office, Abuja. This relocation would not only reduce the cost of conducting the registration exercise, but also efficiently position the Commission to remain innovative on its registration processes.

3. Merger of Fund Management Division (Investment Management Department) with the Inspectorate Division (Monitoring Department).

The Inspectorate and Fund management Divisions of the Commission perform similar functions of monitoring market operators. While the Fund Management Division monitors the activities of registered Fund Managers, the Inspectorate division supervises other categories of CMOs. To fully optimize the benefits of the Risk Based Supervisory Model, both divisions have been merged and would carry the assigned responsibilities under Inspectorate Division of Lagos Zonal Office.

All capital market operators should take note of this reorganization and has become effective on Monday January 16, 2017.

 

The SEC Lagos Zonal office address remains as follows:

3, Idejo Street, opposite ICON House

Off Adeola Odeku Street, Victoria Island ,

Lagos.

 

Signed

Management

16^th January, 2017