The Securities and Exchange Commission has cautioned some fund managers to desist from holding on to client’s funds and securities.
It warned that such habit would lead to dire consequences.
The Director-General, SEC, Mr Lamido Yuguda, made this known during the post capital market committee press briefing in Lagos weekend.
Yuguda noted that holding on to clients’ funds and securities is a violation of the Commission’s Consolidated Rule 95 (1-2), noting that all funds and securities of clients being managed by their firms must be vested with the custodians.
He explained that the meeting also emphasised the increasing importance of fintech, sustainable finance, financial inclusion and non-interest finance, adding that the executive management team of the SEC reiterated its commitment to continue creating awareness, imparting knowledge and engendering public participation in these topical areas.
Speaking further on the outcome of the meeting, Yuguda said, “The market community was reminded of the annual renewal of registration of Capital Market Operators which is aimed at ensuring that only fit and proper persons operate in the Nigerian capital market.