SEC plans new guidelines to help CMOs, investors digitise operations

BY GRACE AIRHULE

The Securities and Exchange Commission (SEC) plans to introduce some key roles that will enable operators and investors in the capital market to digitalise all their operations.

In a statement in Abuja on Monday, the management of SEC said the key roles will be contained in a Minimum Operating Standards for Information Technology for capital market operators (CMOs).

SEC, in the statement, said the key roles would develop a threshold for operational efficiency in the market through effective provision of information and technology (IT) in promoting businesses to get good security, confidentiality, integrity and reliability of information and technology systems.

In addition to that, it also said the guideline will protect the operators and help them harness huge benefits deducible from the adoption of technology and also maintain the attendant cyber-security threats and other risks that go alongside the use of technology.

“This will help operators harness the huge benefits derivable from the adoption of technology and also manage the attendant cyber-security threats and other risks that accompany the use of technology. It will also positively impact on the effectiveness and efficiency of the Commission to monitor and regulate all capital market operators in the market,” SEC said.

Therefore, there will be a rule that will govern the minimum operating standard in the market, which will lead to increased dependence of financial services and related businesses on technology.

Furthermore, the SEC said it will make a great impact on the effectiveness of the Commission to control all operators in the market as it stated that the provisions of the document will affect all the categories of market operators, except in some areas where reference was otherwise made to specific sections of operations by the CMOs.