SEC urges investors to secure dividends with enhanced e-portal

The Securities and Exchange Commission has encouraged investors to take advantage of the revamped e-dividend portal to mandate their accounts, emphasising the platform’s security and user-friendliness.

In a statement made available to our correspondent on Sunday, the SEC Director General, Emomotimi Agama, highlighted the portal as a secure means for investors to manage their dividends and mitigate the growing issue of unclaimed dividends.

Agama stated that the portal, accessible through the SEC’s official website or the Nigerian Interbank Settlement System platform, is fully protected against cybersecurity threats.

“If you access that portal from the SEC website, it is genuine. The only other website that is genuine is the NIBSS platform because the portal was built in conjunction with them. This is very important, considering the cybersecurity threats that exist in this space,” he noted.

He also warned against using unofficial sites, advising investors to only use the SEC’s website for accessing the e-dividend portal.

“You cannot ignore the fact that some people might attempt to clone the website, as they do with other institutions. But my advice is simple: go directly to the SEC website, which is fully protected, and access it from there,” he said.

Addressing concerns about the requirement for Bank Verification Numbers on the portal, the SEC Director General explained that the BVN remains the most reliable method for verifying investor identities in the financial sector.

“We need to verify that you are who you say you are. If the BVN provided does not match your identity, it indicates that it’s not yours. As regulators, we are focused on protecting both the investor and ourselves,” Agama said.

Agama emphasised that the purpose of investing in the capital market is to receive returns, stating, “Very recently, the Senate Committee on Capital Markets held a hearing on unclaimed dividends, and we fully participated. At the SEC, we are committed to addressing this issue, which is why we are overhauling the entire process.”

He noted that the Commission, alongside the Committee for Identity Management for the Capital Market, is leveraging technology to ensure accurate identification and streamline the dividend payment process.

“The SEC is at the forefront of reducing unclaimed dividends, with the ultimate goal of completely eliminating them. We are committed to using technology, education, and persuasion to help investors understand the processes involved in claiming dividends. Our efforts are focused on ensuring that people are properly identified and can access their dividends easily,” he added.

The statement noted that the Commission recently launched a revamped e-Dividend Mandate Management System portal as part of its efforts to address the unclaimed dividend challenge.

“The NIBSS Self Service link on the SEC website is aimed at improving investor experience and curbing the growth of unclaimed dividends in the Nigerian capital market,” it added.

PUNCH Online reported that the Securities and Exchange Commission has reiterated its commitment to resolving the lingering issue of unclaimed dividends, which currently stands at N215bn, through the deployment of advanced technology solutions and improved stakeholder engagement.