Equiti Group’s Subsidiary EGM Securities to Offer NSE Derivatives

EGM Securities is the first Kenyan broker to offer derivative contracts on the Nairobi Securities Exchange (NSE).

EGM Securities, a subsidiary of Equiti Group, announced today that the broker will offer derivative contracts on the Nairobi Securities Exchange (NSE). The new NSE derivatives will enable investors to start trading in less than 5 minutes due to an efficient onboarding process, compared to the current average processing time of 2 days.

According to the official announcement, EGM Securities will initially offer futures contracts on 6 Kenyan stocks, including British American Tobacco Kenya, KCB Group Plc, Equity Group Holdings, Safaricom Plc, East African Breweries Plc and ABSA Bank Kenya Plc.

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In addition, EGM Securities highlighted the potential benefits of trading on the NSE derivatives market. The broker mentioned that margin costs and transaction costs are lower in the NSE derivatives market compared to the cash equity equivalent.


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Samwel Kiraka (left), Geoffrey Odundo (right)

Commenting on the latest announcement, Samwel Kiraka, CEO of EGM Securities, said: “We are very pleased to deliver another innovative and world-class offering to Kenya’s financial markets that enable investors to take quick advantage of intraday trading opportunities on the NSE derivatives markets, eg buy in the morning and sell in the afternoon, across all our trading platforms, including MT4, Webtrader and Kenya’s well-known FXPesa.”

Moreover, EGM Securities is conducting educational activities across Kenya through seminars and webinars to educate Kenyan investors about the details of financial markets.

Regional Expansion

In 2018, EGM Securities became the first online trading broker in Kenya to receive a regulatory license from Capital Markets Authority. In 2019, the subsidiary of Equiti Group launched the FXPesa trading app in the country to accelerate expansion. In October 2020, EGM Securities achieved another milestone after joining NEXT as a trading member on the NSE.

“We always work to add local products to our global offering. We are democratizing trading for all, giving access to global markets such as U.S equities and Foreign Exchange (FX) as well as local stocks such as Safaricom. Kenyans deserve the ability to diversify,” Brian Myers, CEO of Equiti Capital, mentioned in the official announcement.

EGM Securities NSE

“We are proud to be an Exchange leading in innovation and one of our key priority areas for 2021 is to increase product uptake on the alternative products to our investors,” Geoffrey Odundo, Chief Executive Officer of NSE said.

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