During a brainstorming session organised by Central Securities Clearing System (CSCS) Plc ahead of the launch of its T+1 Settlement Cycle, I listened to a brilliant and passionate defence of the role of registrars by Dr. Catherine Nwosu, president of the Institute of Capital Market Registrars (ICMR). Her presentation strategically highlighted their enduring importance in Nigeria’s evolving capital market. Given how often their contributions are overlooked, her intervention was both timely and necessary.
Originally established in 2004 as the Association of Capital Market Registrars, the organisation has grown into the Institute of Capital Market Registrars (ICMR). Its development owes much to pioneers such as Lola Oyebadejo, a retired banker and Bayo Olugbemi, a former president of Chartered Institute of Bankers of Nigeria (CIBN) and a fellow of Chartered Institute of Stockbrokers (CIS). The duo were the Institute’s first and second president respectively. Their visionary leadership laid the foundation for the strong professional institution that exists today.
My decision to join the Institute nearly two decades ago was driven by a deep appreciation of the value registrars bring to capital market operations. That appreciation was further strengthened through our Investor Education Programme during my time at The Nigerian Stock Exchange, now NGX . Registrars serve as custodians of investor information and have long been critical to market efficiency, though their role is often misunderstood. Even as technology transformed the market, some observers mistakenly assumed that registrars were becoming less relevant.
For years, a narrative has persisted that registrars are gradually being displaced by technological innovation. With the rise of artificial intelligence, blockchain technology, automated trading systems, and digital settlement infrastructure, some view registrars as relics of an earlier era. However, this perception ignores a fundamental reality: the Nigerian capital market still depends heavily on registrars to ensure trust, accuracy, accountability, and investor confidence.
Registrars successfully navigated some of the most challenging periods in the history of Nigeria’s capital market. During the era of manual clearing and settlement, shareholder records were maintained physically, dividend warrants processed manually, and reconciliations among market participants often took weeks. Registrars managed missing share certificates, duplicate claims, identity disputes, delayed settlements, and the growing problem of unclaimed dividends. Despite significant operational risks, they remained central to maintaining market stability and investor confidence.
These experiences helped shape registrars into one of the strongest operational pillars of the market. Having witnessed the inefficiencies of paper-based systems, they recognised early the need for automation, stronger controls, and better data management. Rather than resisting change, registrars embraced technology to improve efficiency, transparency, and investor protection.
Today, registrars operate sophisticated digital platforms supported by cloud infrastructure, cybersecurity frameworks, automated reconciliation systems, and electronic dividend-processing tools. Processes that once took weeks can now be completed within hours. Shareholder verification has become faster, dividend payments more efficient, and the administration of corporate actions more seamless. Technology has not diminished their role; it has strengthened it.
Registrars remain indispensable to the post-trade ecosystem. They maintain shareholder records, facilitate dividend payments, administer corporate actions, and coordinate activities among issuers, investors, brokers, regulators, and settlement systems. In any capital market, institutions responsible for maintaining ownership records remain essential to preserving confidence and integrity.
Their importance is further highlighted by the introduction of faster settlement cycles. With the implementation of the T+1 settlement framework by CSCS, transactions are completed the next business day, leaving little room for errors or delays. Such an environment demands real-time reconciliation, accurate shareholder verification, and seamless coordination. Faster settlement cycles therefore increase, rather than reduce, the need for the precision and control provided by registrars.
Registrars also play a significant role in promoting corporate governance and market transparency. Listed companies depend on them to maintain accurate shareholder registers, administer annual general meetings, process proxy voting, and support regulatory compliance. As investors place greater emphasis on governance standards, the registrar’s role in facilitating transparent communication between companies and shareholders becomes even more critical.
Beyond technology and systems, registrars provide expertise that cannot easily be automated. Matters such as inheritance claims, share transmission, identity verification, investor complaints, and dispute resolution require professional judgment, regulatory knowledge, and direct engagement with stakeholders. These human-centred responsibilities remain essential despite advances in technology.
Ultimately, the strength of any capital market is measured not only by innovation and speed but also by trust, accuracy, investor protection, and operational discipline. Registrars continue to uphold these principles while adapting to the realities of modern finance. Far from being a weak link, they remain among the market’s most stabilising institutions, quietly ensuring confidence and continuity behind the scenes.
The future of Nigeria’s capital market will be shaped not by technology alone but by institutions capable of balancing innovation with trust. As the profile of the ICMR continues to rise, registrars remain indispensable partners in the market’s modernisation and long-term stability. Their role is not fading; it is evolving and becoming even more vital in an increasingly sophisticated financial ecosystem.
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Sola Oni, an integrated communications strategist, Chartered Stockbroker and Commodities Broker and Capital market registrar, is the Chief Executive Officer, Sofunix Investment and Communications. You can reach him at onisola2000@yahoo.com
On ICMR, registrars and the Nigerian capital market