Bright ideas to flourish as SEC approves 11 venture capital firms

GODFREY OBIOMA Small scale entrepreneurs who need seed capital to finance their business ideas have greater chances of realizing their dreams as the Securities and Exchange Commission (SEC) approves the operation of eleven venture capital companies which are already managing N8.6-billion for their clients.

The venture capital companies include SME Managers Limited; Amalgamated Capital Fund Limited; Deap Management and Trust Limited; HNB Trustee Limited; IBTC Ventures Capital and Enterprises Capital Management Limi8ted; First Funds Limited and Intercontinental Capital Market.

According to information from the Securities and Exchange Commission (SEC), the apex capital market regulatory institution, SME Managers Limited is managing about 1.89 billion on behalf of its clients; IBTC Ventures Limited N0.57 billion; Intercontinental Capital Market Limited N1.52 billion; First Funds Limited N4.55 billion, HNB Trustees Limited N0.08 billion and Amalgamated Capital Funds N0.12 billion.

The Investment and Securities Act of 1999 empowers SEC to develop and regulate venture capital companies in the country; monitor the companies and their managers; collate and analyse returns from such firms.

The purpose of the monitoring of venture capital managers is to ensure that the 10 percent of profit before tax set aside by banks for the small and medium industry equity scheme is disbursed by their fund managers.

The inspection of these companies is also meant to collate data on the number of SMEs to ensure that the funds are disbursed to the appropriate sectors of the country.

To interact with stock experts/analyst and share your own ideas, quickly join to become member of nairakobo forum and started posting today. Registration is free.

nairakobo forum is an Investor's friend.

Once again, you are welcome to nairakobo forum..
see you there....