FMDQ OTC Securities Exchange has formalised its partnership with the National Pension Commission through the co-signing of a Regulatory Supervision Collaboration Agreement.
According to FMDQ, the partnership is indeed a landmark achievement as it will serve to change the face of the Nigerian financial markets from the buy-side perspective towards investor protection, integrity of service, fair return on investments and ultimately the development of the nation’s economy.
Director-General of PenCom, Mrs. Chinelo Anohu-Amazu, lauded FMDQ on its positive impact and giant strides in the development of the Nigerian financial system, and noted that this Regulatory Supervision Collaboration Agreement executed with the exchange would serve to enable the realisation of PenCom’s investment objectives of safety of pension assets and maintenance of fair returns on investment.
MD/CEO FMDQ, Mr. Bola Onadele Koko said the partnership would seek to achieve, among others, the commission’s objectives (as outlined in the Pension Reform Act, 2014), through data access and visibility of its supervisees’ (Pension Fund Administrators (PFAs)) transactions on FMDQ; improved transparency of all PFAs’ transactions in the Nigerian fixed income market, as well as the money market through the applicable system(s); capacity building sessions for relevant PenCom Staff on the use of the applicable system(s); and the development of performance benchmarks for fixed income asset classes: bonds (sovereign, sub-national and corporate), money market securities (treasury bills, commercial papers etc.) and fixed deposits.
PenCom, via this Agreement, will be conferred membership of FMDQ as an Affiliate Member (Regulators), providing the commission with benefits including but not limited to data access and market visibility rights over the market activities of the Commission’s supervisees within FMDQ and access to real-time pre and post-trade prices on fixed income securities.
