The National Bank of Abu Dhabi, NBAD, will operate at the Abu Dhabi Securities Exchange, ADX, as the UAE’s first market maker, ADX said in a statement yesterday.
NBAD will be the market maker for 4 companies listed on ADX; Abu Dhabi Commercial Bank, Al Dar Properties, Waha Capital, and First Gulf Bank.
Market makers are intermediaries that keep trade flowing by providing bid and offer prices in all market conditions.
In 2012, the Emirates Securities and Commodities Authority, SCA, approved market making activity and issued the first license for practicing market-making activity to NBAD in April 2014.
Speaking on the appointment, ADX Chief Executive, Rashed Al Balooshi, said, “One of the significant benefits of having a market-maker in stock exchanges is their commitment to provide bid and offer prices in all market conditions, which ensures there is always a price at which investors can buy and sell in their stocks with the involvement of a market maker.” Al Balooshi reiterated, “Having a market maker will further strengthen ADX’s unique listing and trading experience where liquidity providers and market participants meet to trade in ADX listed companies in an open, transparent and fair marketplace.”
Source : WAM News Agency for United Arab Emirates
