The Nigerian Stock Exchange (NSE) said it would reduce trade alert transaction cost by N1.24 billion from March 2014. The NSE notice was contained in a statement issued in Lagos. The statement, signed by, Mr Dante Ibidapo, NSE Senior Manager Corporate Commnication, said that the current charge of 0.06 per cent on every transactions on the NSE would be scrapped.
It said that the trade alert would be replaced with an enhanced notification system ‘X-Alert’ to be charged at a flat rate of N4 per transaction. Speaking on the development, Mr Ade Bajomo, NSE Executive Director, Market Operations and Technology, said that the enhanced X-Alert would notify the investing public whenever transactions were made on their accounts.
Bajomo said that the new product would enhance transparency and check mate unauthorised sale or purchase of securities. “The trade alert charges with the old system were some N 1.25 billion, but with the improved notification system the annual cost of the alerts would be N5.52million,” he said. Bajomo said that the transaction would be reduced by N1.24 billion per annum in the cost incurred by investors through trade alerts.
Also speaking, Mr Kyari Bukar, the Managing Director, Central Securities Clearing System (CSCS), said that the enhanced service would be delivered online real time to customers.
Bukar urged the investing public to provide their e-mail accounts and phone numbers to their brokers for effective transition. He said that the ‘X-Alert’ would reduce the time spent in confirming trades and enhance transparency between the trader and its clients.
