ADX and Deutsche Bank Sign Custody Agreement

Abu Dhabi Securities Exchange (ADX) and Deutsche Bank have signed a custody agreement whereby Deutsche Bank will provide custody of ADX-listed shares to institutional investor clients. This will encourage and facilitate further international investment in Abu Dhabi that will lead to a broadening of the Exchange’s international investor base. Commenting on the agreement, Tom Healy, chief executive of ADX explained that this would be of particular interest and benefit to foreign investors, saying: “Abu Dhabi is a rapidly growing economy and ADX is responding to investor demands to diversify the services on offer. Currently, 12% of listed ADX stock is owned by foreign investors and while the execution of trade takes place through brokers, a custodian performs key functions such as opening cash and securities accounts, settlement of trades, collection of dividends and safeguarding clients’ assets. This custody agreement is a further step in providing high quality custodial service and easier access to Abu Dhabi’s capital market.” Henry Azzam, Deutsche Bank’s chief executive officer for the Middle East and North Africa also emphasised the significance of the agreement for the bank’s Global Transaction Banking business in the Gulf region.

Comments are closed.