The Nigerian Exchange Limited (NGX), in its bid to improve investors’ confidence in the market, commenced a strong campaign against market infraction by its Trading License Holders by introducing a Trading License Holders’ compliance report, BrokerTraX. With the BrokerTraX, investors can now make more informed decisions about where to invest by viewing names of Trading License Holder Firms that have been found liable for contravening market rules. The goal is to reduce contravention of market rules to its barest minimum in line with the deliberate and sustained effort to restore confidence.
With NGX’s zero-tolerance policy on regulatory infractions, there has been an increase in compliance by Trading License Holders.
| Item | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Average Compliance (Rendition of regulatory returns) | 55% | 75% | 94% | 76% | 96% | 76% | 79% | 85% | 86% | 85% | 89% | 90% | 86% |
| Enforcement Actions Carried Out | 257 | 436 | 424 | 557 | 608 | 328 | 267 | 171 | 167 | 82 | 148 | 139 | 208 |
| Number of Rules Breached | 9 | 11 | 20 | 25 | 19 | 11 | 11 | 17 | 18 | 14 | 19 | 8 | 11 |
