Total number of registered mutual funds in Nigeria rose from 76 in 2019 with net asset value (NAV) of N600 billion in 2019 to 102 mutual funds with NAV of N1.43 trillion by February 19, 2021.

A breakdown showed that 56 of the registered mutual funds are listed on the Nigerian Stock Exchange (NSE) with NAV of over N1.24 trillion, representing 88.3 per cent of total NAV.

Divisional Head, Listings Business, Nigerian Stock Exchange (NSE), Mr. Olumide Bolumole, said the fact that the NSE accounts for more than three-quarters of the registered mutual funds confirms NSE as the preferred listing destination for mutual funds.

He said the Exchange will continue to strategically position itself to support the growth of fund managers and other stakeholders.

He spoke during NSE’s digital closing gong ceremony to commemorate the election of Mrs. Tope Omojokun as the President, Fund Managers Association of Nigeria (FMAN) .
He commended FMAN for its continuous collaboration in ensuring increased efficiency and investor participation in the mutual funds market.

Bolumole noted that last year, the Exchange admitted two mutual funds; N500 million ARM Fixed Income Fund and $1 million ARM Eurobond Fund on its memorandum listing platform.

He pointed out that the Exchange has also achieved all round increased efficiency in terms of competitive pricing structures, improved turnaround time and enhanced customer experience, which make market participants to continue to look forward to more listings in the coming months.

Omojokun explained FMAN was established to promote the operations of fund managers registered with the Securities and Exchange Commission (SEC) and its objectives include self-regulation and supervision of its members; the enforcement of global best practices in its members’ operations, and most importantly, the education of the public on investments.

According to her, working with the NSE has brought about the trading of listed funds on the Exchange while arrangements underway towards the display of mutual funds prices on the ticker tape of the NSE.

“Furthermore, we are collaborating with the X-Academy to train our members and the public on adopting best investment practices and we look forward to other avenues to work together for the development of the capital market,” Omojokun said.