ADX achieves 97% compliance in disclosure of financial statements - GulfToday

ADX achieves 97% compliance in disclosure of financial statements

ADX-Stock

Screens displaying stock information are seen at the Abu Dhabi Securities Exchange. Reuters

Business Bureau, Gulf Today

Abu Dhabi Securities Exchange (ADX) announced that it has succeeded in achieving a compliance rate of 97 per cent regarding the disclosure of the 2nd quarter financial statements 2019 of its listed public joint stock companies, domestic and foreign, within the deadline of 45 days from the end of the financial period.

62 out of 64, local and foreign, public listed companies disclosed their 2nd quarter financial statements for 2019 within the 45 days period given.

It is worthy to note that the energy sector witnessed an increase in profit with 20.41 per cent, followed by the services sector with a profit increase of 18.72 per cent.

On this occasion, ADX stated that the collaboration between the Exchange and its listed companies has always proved to be a productive one.

Abu Dhabi Securities Exchange (ADX) was established on Nov.15 of the year 2000 by Local Law No.3 Of 2000, the provisions of which vest the market with a legal entity of autonomous status, independent finance and management. The Law also provides ADX with the necessary supervisory and executive powers to exercise its functions.

ADX is a market for trading securities; including shares issued by public joint stock companies, bonds issued by governments or corporations, exchange traded funds, and any other financial instruments approved by the UAE Securities and Commodities Authority (SCA).

In 2014, ADX was upgraded to ‘Emerging Market’ status by both MSCI and S&P Dow Jones. ADX was already classified as an Emerging Market by FTSE in 2009 and in 2011 by S&P and Russell Investments.

Last week a delegation from the Abu Dhabi Securities Exchange (ADX), headed by Khalifa Salem Al Mansouri, Acting Chief Executive of ADX, visited the Shanghai Stock Exchange, where they met their counterparts Feng Jiang, CEO of the Shanghai Stock Exchange, Monica Zhang, Head of Financial Institutions Group, and Daisy Soi, Managing Director of HSBC Bank in China. The delegation also met senior officials and key representatives of China’s financial markets.

The visit comes as part of the framework of strengthening the comprehensive strategic partnership between the financial markets and exploring and enhancing the partnership and cooperation opportunities for investors and businesses, as well as attracting the attention of a series of governmental and private institutions.

Bilateral meetings also took place to discuss frameworks of joint cooperation and explore opportunities to enhance bilateral work in the future for both the immediate and long terms. Khalifa Salem Al Mansouri, Acting Chief Executive of ADX said: “The visit was a great success and included a series of fruitful meetings, during which we discussed a range of regulatory issues and market practices that affect all aspects of trade exchanges.

We also agreed upon the need to encourage the flow of information and dialogue between our Exchanges.

Further, our institutions explored opportunities to benefit from new technologies and exchanged valuable experiences. “The meeting agenda included subjects including the best ways to benefit from using the latest techniques in the international financial markets, trade exchanges houses and stock trade to boost investment.

“Opportunities to find common ground for intensifying cooperation were also discussed as well as idea exchanges on the latest technologies used by the two parties in daily transactions.

Meanwhile the Abu Dhabi Securities Exchange (ADX) has issued Environmental Social & Governance (ESG) disclosure guidelines for listed companies.  The launch of this set of 31 Key Performance Indicators (KPIs) is aligned with ADX strategy which is designed to support economic growth, while providing a sustainable trading environment and encouraging the business community to adopt societal sustainability practices.

It will also raise the standard of governance, by putting into operation sustainability standards and integrating them into both ADX strategy and listed companies alike.

Khalifa Salem Al Mansouri, Acting Chief Executive of ADX said: “ADX has made a formal commitment to drive sustainability in financial markets by becoming a partner exchange of this United Nations-led ‘The Sustainable Stock Exchanges’ initiative. We have carried out this programme to support our listed issuers in their sustainability reporting journey. The ESG Disclosure Guidance represents a natural evolution of our status as a regional-leading exchange, stemming from ADX’s status as a member of the Sustainability Group in the World Federation of Exchanges.”

The newly-released standards “will enhance ADX’s competitiveness and attract more responsible investments to the Emirate”, according to ADX.