.jpg)
Abu Dhabi Securities Exchange (ADX) and international conference organiser, Kavaq, are co-hosting a conference in October on Exchange Traded Funds (ETFs).
Under the title ‘capitalising on growth, globalisation and evolution’, the conference will examine case studies of successful ETF listings, examine how investors can use them to spread risk and diversify their portfolios, and look at ETFs in the context of Islamic principles.
“It is central to our strategy and that of the Abu Dhabi Government that our capital market continues to evolve to meet the ever-growing needs of retail and institutional investors, both national and international,” said Tom Healy, Chief Executive of ADX.
“ADX has been encouraging the establishment of more collective investment schemes in the UAE and ETFs are an excellent model for this market. They offer investors a portfolio of securities that imitates the performance of a particular market or index. With just one trade, investors could have exposure to a wide variety of securities,” Mr Healy explained.
“Because there is very limited experience of ETFs locally, it is important for us to hear and learn from international experts. We can examine how others have done it, and agree on the appropriate mechanisms and regulatory infrastructure for ADX,” he continued.
The Securities and Commodities Authority (SCA) is currently working on the regulations to list ETFs in the UAE, and ADX hopes to list its first ETFs by the end of 2008. The conference will take place on 19 and 20 October, followed by two days of workshops. Further information about the conference can be found at www.etf-conference.com.
ADX serves the domestic cash equity market and has 65 listed companies with a market capitalisation of USD136 billion as end of July 2008. In 2007, the average daily trading volume increased by more than 400%, with a substantial increase in foreign net investments.
