The Nigerian Stock Exchange has said it will discontinue the old trade notification system, Trade Alert.
A statement by the Head, Corporate
Communications, NSE, Nwando Ajene, on Monday said the Exchange would
replace the old system with a notification system known as X-Alert in
March 2014.
The statement quoted the Chief Executive
Officer, NSE, Mr. Oscar Onyema, as saying the X-Alert was an
improvement over the old system.
He explained that it would provide
investors with details of transactions on an investment account via a
text message on the recipient’s mobile phone or via an e-mail to the
recipient’s box.
He said, “The service, which will allow
the investing public to know when a transaction has been made on their
account, will be run in-house on behalf of the Exchange by the Central
Securities Clearing System with reduced cost implications to both buyers
and sellers in the Nigerian Capital Market.
“In addition to paying a lot less for
transactions, customers will have updated positions of their accounts at
any point in time as this new system offers convenient and easy
monitoring of all accounts.”
According to Onyema, the added benefits
of the new system are the effective fraud alert in case of unauthorised
transactions on account; reduction in time spent confirming trades and
an enhancement of transparency between the trader and his clients.
The NSE explained that the move was in
line with its commitment of employing 21st century technology
strategies. It added that the inauguration late 2013 of a new trading
platform, X-Gen, was also in tune with the commitment.
It added, “X-Gen is expected to open up
an unprecedented level of innovative trading capabilities for the
market, providing low latency trading, straight through processing from
broker order management systems to the Exchange and direct market access
for the buy-side and mobile access through smartphones to the retail
investors, leveraging the 120 million mobile phone penetration already
in the country.