SecondSTAX, a pioneering tech firm specialising in enhancing intra-Africa capital and investment flows, has recently entered a promising collaboration with Nigerian Exchange Limited (NGX).
This joint venture has been devised in close association with Afrinvest (West Africa) Limited, a renowned capital market holding entity in Nigeria that is deeply rooted in a plethora of domains: investment banking, securities trading, asset management, trustee, consulting, and financial technology.
This strategic partnership is primed to pave the way for institutional investors from diverse African regions to directly venture into Nigeria’s thriving capital markets. One of the notable facets of this partnership is its user-friendly, cloud-based portal designed by SecondSTAX. This portal not only simplifies the investment process but also grants investors the liberty to invest in their native currencies, thereby extending a broader spectrum of assets and opportunities to a wider African populace.
Nigeria stands as Africa’s economic titan, presenting a goldmine of global investment opportunities. A testament to its financial might was observed when the Lagos stock exchange concluded 2020 with a staggering 50% gain. In the grand tapestry of African exchanges, SecondSTAX is distinguishing itself by crafting tech solutions tailored for investment firms. Their mission revolves around ensuring a frictionless flow of capital and institutional investment throughout Africa. Their modus operandi is the consolidation of both debt and equity capital markets across Africa, ensuring opportunities in pertinent markets are within everyone’s reach.
SecondSTAX’s reputation in the field is further solidified with their pre-existing associations with Nairobi Securities Exchange (NSE) and Ghana Stock Exchange (GSE), channeling investments from all over the continent.
This novel collaboration with NGX also signifies an easier pathway for Nigerian institutional investors to delve into other lucrative capital markets featured on the SecondSTAX platform. As a caveat, post the NGX launch, the services will be exclusive to Qualified Institutional Investors making a minimum trade of $10,000 (or its NGN equivalent). However, this threshold will gradually be made more inclusive with time.
The extensive benefits that accompany this partnership are manifold. For instance, Nigerians will have a broader array of investment opportunities at their fingertips, expanding their financial horizons and potentially boosting their economic growth.
SecondSTAX CEO and co-founder Eugene Tawiah commented, “Our aim is to integrate all the capital markets across Africa to enable more seamless investment flows and this partnership with the Nigerian Exchange Limited represents a major milestone on our journey. Nigeria’s capital markets are full of lucrative opportunities that have until now been out of reach to institutional investors outside the country.
“At the same time, Nigeria’s institutional investors have largely found it challenging to invest into other capital markets across the continent. This partnership addresses both problems and we are excited to see how investors take advantage of the opportunities that abound across the continent.”
Nigerian Exchange Limited CEO Temi Popoola praised SecondSTAX saying, “This closely aligns with our ongoing efforts to foster innovation and growth in our market through initiatives such as the African Exchanges Linkage Project, which aims to integrate capital markets in the continent; and our partnership with Afreximbank’s Pan African Payments Settlement System (PAPPS) to facilitate seamless cross-border transactions within the African capital markets.”
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