Enhanced regulatory power
Changes bolster SEC's oversight.
Recognition of investment contracts as securities
Provides regulatory oversight and protects investors.
Recognition of virtual and digital assets as securities
Financial inclusion, Diversification and Virtual and digital assets exchanges
Introduction
The Investments and Securities Act (“ISA”) 2025 marks a significant milestone in Nigeria’s capital market regulation, coming into effect 18 years afterthe Investment and Securities Act 2007 (the “Repealed Act”).
ISA 2025 was enacted in March 2025, as a significant move to align it with global best practices, market trends, deepen the legal and regulatory framework of the Nigerian capital market, and address issues not adequately addressed in the Repealed Act.
This transformative step repeals ISA 2007, marking a new era in the governance of investment and securities in Nigeria.
To ensure market awareness, targeted awareness programs are crucial for the widespread market adoption of the ISA 2025 initiative and effective implementation.
Omobolanle Adekoya, Partner, PwC WMA Capital Markets and Accounting Advisory LeaderFor full findings, read the report below Summary of key changes and potential impact
Recognition of virtual and digital assets as securities
- Financial inclusion –Virtual and digital assets can expand Nigeria's investor base, particularly among younger generations who widely adopt these technologies. This can also create opportunities for fintech companies to engage with the capital market.
- Diversification -Virtual and digital assets introduce new investment opportunities, enabling portfolio diversification and making the capital market more appealing to investors, thus enhancing the capital market's attractiveness.
Recognition of investment contracts as securities
Recognising investment contracts as securities provides regulatory oversight, protecting investors through transparency, disclosure, and compliance.
Enhanced regulatory power
The changes are designed to bolster the SEC's oversight capacity, ensuring market stability and investor protection.
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Summary of key changes to the Investment and Securities Act 2025
