Business Bureau, Gulf Today

Abu Dhabi Securities Exchange (ADX) recently granted BH Mubasher Financial Services (BHM), a leading investment firm in the UAE’s financial market, a short-term margin-trading licence, making it the first financial services company in the UAE to offer the service to its clients.

ADX is keen to support business development opportunities aligned with its triple-pillared “Shape the 20s” strategy of being responsive, transformative and innovative. Responsive refers to constantly enhancing customer engagement; transformative to facilitating investments that sustain long-term sustainable business development; and innovative is about achieving the most efficient ways to reach new levels of customers’ satisfaction. The trading licence granted to BH Mubasher exemplifies ADX’s commitment to reach its objectives with the efficiency its expertise commands.

Khalifa Al Mansouri, Chief Executive of Abu Dhabi Securities Exchange (ADX), said: “BH Mubasher is recognised as one of the top ranked firms in the country’s financial markets and a pioneer in financial technology. Such an expertise prompted ADX to give BH Mubasher a short-term margin-trading license and therefore provide additional investments opportunities to corporate and individual investors. By enabling access to new and efficient services’ platforms, ADX strengthens its presence as a leading regional economic platform and concretely demonstrates the coherence of its business development strategy that aims to deepen supply and demand while diversifying operating incomes”  

From his side, Abdel Hadi Al Sa’di, Chief Executive Officer, BH Mubasher said, “It is an honour to be the first firm in the UAE to provide the service to its customers. This milestone reflects BH Mubasher’s vision in increasing the attractiveness and competitiveness through diversifying the products offered to its clients, and reinforces the company’s position as a leading financial services provider in the region. It also provides more investment opportunities for institution and high net worth clients.”

The license allows the company to provide high leverage (up to 5 times the initial placed margin amount) to its customer to buy securities listed in Abu Dhabi Stock Exchange. It is different from a normal margin trading license as the customer should sell the financed securities within a specific short period.

 “This initiative adds to our extensive portfolio of services offered to our customers and helps us add to our mission of delivering quality financial products, using cutting edge technology trading platforms.  It also helps us further bolster relations between BH Mubasher and capital markets in the UAE,” added Al Sa’di.

BH Mubasher Financial Services (earlier known as Al Safwa Mubasher Financial Services) is a listed entity on the Dubai Financial Market with a paid-up capital of AED 564 million and provides a wide range of financial services and investment products.

It may be mentioned that Abu Dhabi Securities Exchange was established on November 15, 2000 by Local Law No. (3) of 2000, the provisions of which vests the Market with a legal entity of autonomous status, independent finance and management, and gives ADX the necessary supervisory and executive powers to exercise its functions.

Moreover, ADX has the authority to establish centers and branches outside the Emirate of Abu Dhabi, and so far it has done so in Al Ain, Zayed City, Fujairah, Ras Al Khaimah and Sharjah.