Barring unforeseen circumstances, there are strong indications that Association of Securities Dealing Houses of Nigeria (ASHON) has stepped up an arrangement to ensure that its members trade on all the securities exchanges in Nigeria in line with the new name of the professional trade group.
ASHON, the umbrella body for all Securities Dealing Houses in Nigeria was formerly known as Association of Stockbroking Houses of Nigeria until last year, when the trade group swiftly and creatively changed its name to reflect the enlarged functions of its members without prejudice to the existing acronym. As part of its brand positioning, the Association also changed its logo and launched it with fanfare to reflect an array of its members’ functions.
This is consistent with the Bill that will recognize Stockbrokers as Securities Dealers as against the current narrow perspective of their roles being limited to dealing in equities only.
Informed sources explained at the weekend explained that the report of a Technical Committee, set up by ASHON to harmonize the relationship between its members with FMDQ Plc, NASD Plc and Lagos Commodities and Futures Exchange (LCFE) was ready for discussion by the Council, whenever the members meet.
“ ASHON is proactive. Recall how it swiftly changed its name to reflect the enlarged roles of Stockbrokers as part of the expectations from the anticipated endorsement of the Securities Bill. It achieved this without losing the initial acronym. This was followed by setting up of a Technical Committee to fashion out modalities that will enable our members trade seamlessly on all the securities platforms in Nigeria. The Nigerian Stock Exchange has been the only platform over the years but we now have FMDQ, NASD and LCFE is ready for full blown operation. The Committee’s report will be reviewed by the Council and appropriate decision shall be taken “, said a source who pleaded anonymity at the weekend.
Market watchers have observed that Stockbrokers are not so active in trading fixed income securities on the FMDQ whereas the financial instrument was the hub of transaction on The Exchange in the past. “ Stockbrokers slept and bankers have taken over their job before the day break. I think ASHON is ready to reverse the trend. ”, said a Custom Street analyst.
With the impending demutualization of The Nigerian Stock Exchange and increasing level of uncertainties in the system, ASHON’s Chairman, Onyenwechukwu Ezeagu had consistently maintained that his members would remain innovative as part of the strategies to sustain their operations.
“ We are reviewing our business model to accommodate the new normal. We have constituted a committee to advise our Council on the effect of the pandemic and part of their terms of reference is to chart a way forward for our business, therefore, it will not be right to preempt the work of the committee at this time.
“ The pandemic has come to recalibrate the world and redefine humanity. It is important that we all learn to readjust to the dictates of the times; Stay safe by following the directives of the experts.Keep hope alive and do not give in to fear. Help one another and look out for one’s neighbor. Change the way we live, work and play to conform to the realities of the pandemic. Collaboration rather than competition should help all to overcome the new normal.”, said Ezeagu
Only recently, the Association’s Spokesperson, Ify Ejezie said that ASHON’s Committee on COVID-19 had submitted its report on how the members can operate seamlessly irrespective of the impacts of the pandemic on the operating environment.