Risevest Engages SEC After Risk Warning

By Adedapo Adesanya

Risevest, a digital investment platform that specialises in stock trading, is engaging Nigeria’s Securities and Exchange Commission (SEC) regarding recent warnings about its cooperative subsidiary’s operations in the Nigerian capital market.

In a statement sent to customers, the platform addressed concerns about Risevest (Victoria Island) Cooperative Multipurpose Society Limited, confirming that while this entity operates under the Lagos State Cooperative Society Laws with Registration No 17080, its broader Nigerian operations are conducted through authorized channels.

“Our Nigerian operations are covered by our trusteeship with Meristem Trustees Limited, an SEC-licensed private liability company, as well as our licensed local subsidiary Chaka Technologies Limited, a digital sub-broker licensed by SEC,” the company stated.

The investment platform emphasised that these structures legally enable them to manage and invest users’ funds in both local and global investment markets.

According to Risevest, they have initiated communication with the SEC to address and resolve the concerns raised in the regulatory body’s statement.

The regulator cautioned Nigerians against engaging in investment transactions with two unregistered platforms—Risevest Cooperative Multipurpose Society Limited and Stecs Multipurpose Cooperative Society, commonly referred to as Stecs.

SEC warned that engaging with unregistered and unregulated entities in the capital market exposes investors to significant risks, including fraud and the potential loss of funds.

However, Risevest maintained that all its services continue to operate normally, assuring stakeholders of its commitment to regulatory compliance.

“We welcome and have always operated in line with the guidelines established by regulators to safeguard consumers,” the statement noted.