The Managing Director and Chief Executive Officer of the Lagos Commodities and Futures Exchange, Akin Akeredolu-Ale, has charged commodities brokers and qualified commodities traders to deepen their understanding of product generation and packaging to strengthen Nigeria’s commodities ecosystem and position Africa for greater participation in global commodities trade.
Speaking at the 6th Induction Ceremony of the Exchange, Akeredolu-Ale described brokers as critical drivers of growth within the commodities market ecosystem, stressing that the future of the sector depends largely on their ability to develop viable products for listing on exchanges.
According to him, one of the major challenges confronting the commodities market is product generation, noting that brokers must become more deliberate in creating and packaging investment products capable of attracting both local and international participation.
“We must try as much as possible to be very attentive in learning and understanding product generation and how to properly package products for listing on the commodities exchange. The ecosystem is growing, and the pillars of that ecosystem are the brokers,” he said.
He noted that every capital raise through various market initiatives had been oversubscribed, a development he described as a clear indication of rising investor confidence and growing participation within the commodities market ecosystem. The LCFE boss also disclosed that the Director-General of the National Pension Commission had approved guidelines enabling Pension Fund Administrators to invest pension funds in commodity products, a move expected to deepen liquidity and expand the market.
