RE: “More sensitisation needed about the stock market” (The New Times, August 14).
Having assessed this opportunity of trading on Rwanda Stock Exchange in the past, I have a few observations: while it is fairly easy to locate a brokerage, the information available is limited and the sign up very manual.
As in doing business in many emerging markets, it comes down to personal initiative to clarify the terms, process and do/don’ts.
In Rwanda, the experience comes down to finding the right person and reminding them with follow-ups—instead of an expected 21st century clear online application followed by submitting documents; a process that is not institutional is not scalable.
One organisation that has taken investing to the man-in-the-street is South African EasyEquities—simple language, direct appeal, efficient engagement.
Therefore, while the exchange plays a key role in providing a platform, the regulator (just like MAS in Singapore) should mandate the education, it's the front line brokerages that must handhold the new market participants, especially to unlock the liquidity it can provide to a young market.