New Securities Industry Act will sanitise market

The Securities and Exchange Commission (SEC) says it would set very high standards for the regulation of the securities market under the recently passed Securities Industry Act 2016 (Act 929).

Mr Alexander Williams, the Acting Director General of the SEC, noted that the securities market was growing steadily and the passage of the Act would allow the Commission to more efficiently regulate the market.

He made the statement when he launched the Entrepreneur (eFund) and Wealth Funds (W-Fund), by Crystal Capital Investments Limited in Accra, on Tuesday.

He said the Commission, in the light of its mandate to promote the growth of the securities market in Ghana, welcomed the launch of collective investment schemes such as the eFund and W-Fund as they indicated innovation, product development and growth in the market.

The Collective Investment schemes market, he noted, had enjoyed steady growth over the years, from 42 licensed schemes at the end of 2014, made of 18 unit trust and 24 mutual funds, to 53 licensed schemes in 2016, offering customers access to a diverse portfolio of investments.

Mr Williams said the theme for the launch: “Building a culture of investment through right partnerships, trust and bespoke solutions”, was very apt as trust was very critical because no partnership could thrive without trust.

He also stressed the need for appropriate systems of accountability and good corporate governance in order to sustain growth and market expansion, and urged Crystal Capital limited to be committed, dedicated and to think outside the box to thrive in the competitive market.

Mr Martin Ofori, the Chief Executive Officer of Crystal Capital and Investments Limited, said a vibrant capital market was critical in helping to develop structured products, build right understanding and investment culture among the people, help mobilise investment funds and leverage it to boost the economy.