The Securities and Exchange Commission (SEC) has raised capital requirements for capital market operators including brokers, fund managers and digital firms.
The new capital framework replaces the SEC’s 2015 capital rulebook, which had been criticised for being outdated in a fast-evolving financial landscape.
According to a circular released by the Commission on January 16, 2026, which replaces the long-standing 2015 capital regime and sets a compliance deadline of June 30, 2027, the minimum capital requirement for brokers is now N600 million from N200 million.
Dealers will now be required to have a capital base of N1 billion, up from N100 million; and broker-dealers now require N 2 billion from N300 million.
Meanwhile, fund and portfolio managers are now subject to a tiered structure.
Managers overseeing assets above N20 billion will need N5 billion in capital, while mid-tier managers must hold N2 billion.
Private equity and venture capital firms face requirements of N500 million and N200 million, respectively.
The Commission said the new framework aims to ‘improve market resilience’, weed out undercapitalised players, and reward firms with governance depth and scale.
It further stated that any firm managing assets above N100 billion must hold at least 10 per cent of assets under management as capital.
Digital asset firms, previously operating in regulatory limbo, are now fully captured.
Exchanges and custodians must hold N2 billion each, while tokenisation platforms and intermediaries face thresholds between N500 million and N1 billion.
Even robo-advisers, considered low-risk, must now maintain N100 million in capital.
Issuing houses providing full underwriting services must now hold N7 billion in capital, while those offering advisory-only services need N2 billion.
Registrars, trustees, and underwriters face new floors of N2.5 billion, N2 billion, and N5 billion, respectively.
Even individual investment advisers—historically low-capital operations—must now meet a N10 million threshold.
Market infrastructure players have some of the highest capital obligations. Composite exchanges and central counterparties are each expected to maintain N10 billion in capital, while clearinghouses require N5 billion.
This signals the SEC’s focus on preserving the stability of systemic institutions within Nigeria’s capital market ecosystem.
The digital asset segment sees a clear shift from informal activity to formal oversight. With N2 billion required for digital exchanges and custodians, the SEC is sending a clear message: innovation will be encouraged only when backed by robust capital.
The capital rule changes are expected to accelerate a wave of consolidation, as smaller players struggle to meet the steep thresholds.
