Who Does What in the Market: GSE, SEC, Brokers and the CSD

The four players

• The Ghana Stock Exchange (GSE) runs the marketplace: the trading system, the listing rules, and the publication of prices and market data.

• The Securities and Exchange Commission (SEC Ghana) is the capital-market regulator. It operates under the Securities Industry Act, 2016 (Act 929), as amended by Act 1062 of 2021. It licenses and supervises stockbrokers, fund managers and investment advisers, and it is responsible for investor protection.

• Licensed Dealing Members (LDMs), or stockbrokers, are brokerage firms licensed by the SEC and admitted as GSE Licensed Dealing Members. Retail investors reach the market through an LDM.

• The Central Securities Depository (CSD) Ghana Ltd records securities ownership electronically. Your broker or another accredited depository participant handles account services.

How a new share reaches you versus how an ordinary trade works

Two different flows are easy to confuse:

1. New issue (primary market): the issuer or a selling shareholder makes an offer, you are allotted shares, and the depository records them.

2. Ordinary trade (secondary market): you instruct your broker to buy, the exchange matches your order with a seller's order from the seller's broker, and the CSD settles cash and securities between the participants.

Two records, one relationship

When you invest you effectively have two records: a brokerage account, where your cash sits and your orders are placed, and a depository record of the securities you own. Ask your broker for your account identifier, and verify your holdings against the depository record rather than relying on a single statement. If your broker uses a custodian or nominee structure, ask how your beneficial ownership is recorded.

Why the licence matters, and its limits

Before you open an account, confirm the firm's licence with the SEC rather than relying on adverts. A licence is an important safeguard, but it does not guarantee returns or prevent every loss. On 8 November 2019 the SEC revoked the licences of 53 fund management companies, and later appeals produced differing outcomes. That was a fund-management event, not a statement about every stockbroker, but it shows why checks should be ongoing and records should be kept.

A new rule worth knowing: online platforms

On 23 June 2026 the SEC issued a directive covering platforms that perform SEC-licensed activities and platforms that act as digital intermediaries. Its exclusions are specific, and research or portfolio tracking is not a blanket exemption. The stated compliance deadline of 31 August 2026 has passed, and the SEC reserves interpretation to itself. Before funding any app or platform, confirm the operator's and the platform's applicable approval with the SEC.

The short version: the GSE runs the market, the SEC regulates it, an LDM places your order, and the CSD records who owns what.

Next in the series: Part 5, How to Buy Your First Ghanaian Stock.

This article is for education only. It is not personalised investment advice, and it is not financial, tax or legal advice. Investing involves risk, including the possible loss of money, and past performance does not guarantee future results. Rules, charges and data change, so confirm current details with the Ghana Stock Exchange, the Securities and Exchange Commission (Ghana), the Central Securities Depository (Ghana) and your own licensed broker before acting. GSE Monitor is a market-information and portfolio-tracking product, and buying or selling shares still requires an account with a licensed broker.