The Nigerian Stock Exchange (NSE) has adopted Nasdaq’s SMARTS market surveillance technology for its compliance platform.
The surveillance, supervision and compliance technology is designed to help improve market integrity globally, and will allow NSE to better monitor for market manipulation such as spoofing and layering.
It is also intended to help NSE to grow and expend its market. The exchange already uses Nasdaq’s X-Stream platform as its trading engine.
Tinuade Awe, general counsel and head of regulation at NSE said: "This development affirms our continuous commitment to protecting investors by creating a fair and orderly market. As we introduce new asset classes to grow our market, the deployment of a robust, integrated and efficient solution to monitor the increasing complexity of trading activities is imperative.”
“Regulatory and compliance issues continue to be a primary focus in our quest to become Africa's foremost securities exchange, and we are pleased to be leveraging Nasdaq's global leadership in the development of capital market surveillance systems."
Tony Sio, head of SMARTS market surveillance at Nasdaq, said: "We are thrilled to partner with an innovative forward-looking exchange such as NSE."
He added: "NSE has a tremendous growth potential and as the volumes and products expand the sophistication and impact of manipulative practices could also increase. By detecting activities such as spoofing and layering as soon as they occur, the exchange is signalling to the market how seriously it is in promoting a fair market."
Nasdaq’s SMARTS technology is now used by 52 regulators and exchanges around the world.
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