Abu Dhabi Securities Exchange (ADX) held a meeting today with the custodian members to discuss the developments targeting the implementation of a new enhancement of Delivery Versus Payment (DvP) process which the Abu Dhabi exchange plans to put into operation from the trading date of May 5th, 2013.
ADX custodian members which are licensed by Emirates Securities and Commodities Authority (SCA) are HSBC, National Bank of Abu Dhabi, Standard Chartered Bank, Deutsche Bank and Citi Bank. ADX decision to meet with the custodians comes in the course of its efforts to confer with its stakeholders and to acquire their sight regarding the execution of the enhanced (DvP) model.
The meeting also comes in preparation for the upcoming MSCI review in which MSCI will revalue the UAE Markets’ current status in the frontier market segment by assessing, among other measures, economic development, trading volumes and market accessibility.
Mr. Rashed Al Baloushi, CEO of ADX, said of the meeting:” Our objective is to provide our stakeholders with in-depth information regarding the strategic future of ADX settlement process and to allow them to begin projecting development resource requirements accordingly. We continuously monitor and review our processes and make adjustments as needed in accordance to international best practices and market needs.”
Both ADX and the custodians have agreed to hold these meetings on a quarterly basis.
