Rev. Daniel Ogbarmey Tetteh, Director General of the commission, has disclosed that the Securities and Exchange Commission (SEC) is embarking on a digitisation programme to strengthen its surveillance role of the capital market.

The digitization programme dubbed, ‘Interim regulatory compliance portal (IRCP),’ Rev Tetteh explained that it would allow market operators to submit returns online.

Rev. Tetteh noted that the long-term vision is to employ the regulatory compliance portal (RCP), as happens in other markets to get into the systems of market operators to pick information at different times.

“If we are submitting information, whether it is online or not, we can still whitewash or doctor it a bit. So, we are exploring the option of being able to get into systems and pick information.”
Rev. Daniel Ogbarmey Tetteh

Rev. Tetteh, while speaking on the topic, “Restoring Investor Confidence in the Ghanaian Economy – The Role of SEC”, admitted that the market could have some implications in terms of capability and capacity if the technology is put in place.

“But because we are now at the stage of digitising our operations and looking at implementing the IRCP we are looking at all the options.

“We have the interim solution now but going a step further with the main RCP or how we can get in and pick up information. We are looking at how to strengthen our surveillance of the market – both the SEC and the market operators.”
Rev. Daniel Ogbarmey Tetteh

Rev. Tetteh noted that through SEC’s popular programme, ‘Time with the SEC,’ the commission embarked on a roadshow to Takoradi in the Western Region last year. As such, he disclosed that this year, there are plans to at least, to hold it in the regional capitals to be able to engage different pockets of the investing public to let them understand more about the financial sector.

“Aside from that, we are also looking at some regional offices as currently SEC is just here in Accra. We have a plan to at least set up two more. We are looking at where it will be best to set up a regional office. I am not saying that we will be in all the regional capitals but we looking at some regional offices so that we can cover the wider population.”
Rev. Daniel Ogbarmey Tetteh

Contribution of Pension Funds in Developing and Sustaining a Robust Financial System

Speaking on the ‘Contribution of Pension Funds in Developing and Sustaining a Robust Financial System, the Chief Investment Officer of Axis Pensions Trust, Nana Wiafe Boamah, said research showed a significant impact of pension funds on capital market development, with the result driven by countries with high financial development.

Nana Wiafe Boamah averred that for countries with low financial development, pension funds did not show a significant impact.

“Pension fund will not have the needed impact if the financial system is underdeveloped. If your macros are weak, pension funds will not have the needed impact on the market.”
Nana Wiafe Boamah

According to him, the country may not see a lot of traction in this direct investing space because of high threshold pension funds need to meet before investment is done.

Mr Boamah indicated that broker dealers needed to be more aggressive in pitching stocks while trustees and fund managers execute to the later, the new investment guideline.

“The Ghana Stock Exchange and Regulators should introduce policies to improve the market breadth, depth and liquidity on the exchange.”
Nana Wiafe Boamah