Investor education will deepen market participation, expand economy, says SEC

The Securities and Exchange Commission (SEC) says investor education will expand the economy and deepen market participation.

Emomotimi Agama, director-general (DG) of SEC, spoke on Wednesday at the ongoing International Organization of Securities Commissions (IOSCO) world investor week in Lagos.

The event, organised by SEC in collaboration with AFEX Commodities Exchange, was attended by stakeholders from the financial, investment, and media sectors.

Agama, represented by Bola Ajomale, the executive commissioner of operations at SEC, stressed the need to equip investors with the necessary knowledge and tools to navigate the evolving financial landscape safely.

“One of the ways by which you can protect investors is obviously by equipping them with knowledge and giving them the know-how to discern between what is a good investment and what is not a good investment,” Agama said.

“I am talking about in terms of safety, in terms of avoiding risk, in terms of avoiding a ponzi scheme, or spotting a ponzi scheme when it’s there, or spotting a scam or even just taking care of their assets.”

Agama said the SEC belongs to a global community of 115 securities exchanges across six continents, which have recognised the critical importance of educating investors.

The SEC DG said this year’s theme for world investor week (WIW) focuses on technology, digital finance, crypto assets, and sustainability.

‘DIGITAL FINANCE FOR RURAL COMMUNITIES CRUCIAL FOR NIGERIA’S GROWTH’

Agama said digital finance for rural communities is critical for Nigeria’s growth, especially in the commodities markets.

“Today, we are addressing a particularly important one again, which is digital finance for rural communities,” he said.

“It can’t be anyone other than the commodities markets. They are right there in the most rural of communities, getting their products from the farm into the markets, in fact, into the ports, into other countries,” he said.

“It is also critical that we discuss it because Mr. President has an aim to get to a $1 trillion economy. This is the way we are going to do it.

“It is by us, encouraging investors, encouraging investments, and also projecting to the world that we do have a safe, investable environment. It is only by investments that we move forward.”

Agama also pointed out the issue of financial exclusion in rural regions, noting that a significant portion of the population is either under-banked or excluded from the financial system.

In his remarks, Ayodeji Balogun, chief executive officer of AFEX Commodities Exchange, said the rise of digital finance is reshaping how the public trades, invests, and builds economic value.

Represented by Oluwafunto Olasemo, vice-president of financial market at AFEX, Balogun reaffirmed AFEX commitment to connecting rural communities and small-scale producers to broader markets, ensuring no one is left behind in the technological revolution.

The event also saw the launch of a comic book, titled ‘Tradevers’, aimed at promoting investor education.