The Securities and Exchange Commission (SEC) Nigeria has advised investors in the nation’s capital market to continue to uphold high ethical standards and promote new strategies to strengthen accountability amongst the market’s participants.
The Director-General of the commission, Mr. Lamido Yuguda, gave this charge during the 2022 edition of the Independent Shareholders Association of Nigeria Triennial Delegates Conference held in Lagos.
He recalled that in 2016, pursuant to Section 8(y) of the Investments and Securities Act (ISA), the Commission released a Code of Conduct for Members of Shareholders’ Associations to guide their conduct during general meetings of public companies and their relationship with public companies outside the general meetings, and for other purposes connected therewith.
According to him, the Code is still in force and is intended to ensure the highest standard of conduct among members and the companies with whom they interact as bonafide shareholders.
Yuguda said: “The Code is designed to ensure that association members uphold high ethical standards and make positive contributions in ensuring that the affairs of public companies are run in an ethical and transparent manner in compliance with the Nigerian Code of Corporate Governance and the SEC Corporate Governance Guidelines.
“I urge you to continue to abide by this Code of Conduct for Members of Shareholders’ Associations by being disciplined and ensuring good governance.
“We, therefore, urge this association to continue to improve performance of the function of monitoring of companies to contribute to their growth by reviewing Audited Reports and Accounts prior to AGMs to raise germane observations on key areas”, he added.
Also, the Director-General urged the shareholders to continue to promote their core activities with specific focus on minority shareholder protection, advancement of corporate governance and development of a deep and robust capital market.
Yuguda described the theme of the conference, which focuses on reforming the judicial system in order to stabilize and encourage the growth of the Nigerian economy, as very important and relevant to the growth and development of Nigeria.
The capital market regulator commended the shareholders for the excellent support the Commission had been receiving from the various shareholder associations in the country, especially the Independent Shareholders Association of Nigeria (ISAN).
He maintained that as regulator of this dynamic market, the commission was committed to facilitating capital raising for sustainable national development and transformation of Nigeria’s priority economic sectors, thereby sustainably contributing more to the nation’s Gross Domestic Product (GDP) growth rate
The Director-General said: “Our focus has always centered on the creation of an ecosystem whereby issuers, whether government, entrepreneurs and other businesses, can access capital efficiently. The process of raising money through the capital market plays a vital role in our economy and will help bring nascent ideas into life.”
