Abu Dhabi’s ADX cuts trading commissions by 50%; Extends trading hours

By Shilpa Annie Joseph, Official Reporter
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Abu Dhabi-based regional stock exchange, Abu Dhabi Securities Exchange (ADX) has reduced trading commissions by half and added an hour to its trading hours, with the market now operating from 10 am to 3 pm.

The decrease in trading costs, from 0.05 percent to 0.025 percent, will take effect on September 1st, and is the exchange’s second commission cut in 2021 and third in three years.

According to the statement, the decision to extend trading beyond the previous 2 pm close will take effect on October 3rd, bringing ADX in line with the working hours of many exchanges throughout the world.

The exchange’s recent measures are part of the ADX One strategy, which was unveiled at the beginning of the year in order to boost market activity and liquidity.

Saeed Hamad Al Dhaheri
Saeed Hamad Al Dhaheri

“The significant reduction in trading commissions and the extension of our operating hours align ADX with international practices and helps us to realize our ADX One strategy’s main aim of enhancing liquidity and increasing our market capitalization. The fee cuts and extensions complement our tireless efforts over the past year to bring the most sought out products and services to issuers and investors. We will continue to nurture liquidity on the exchange as we roll out the ambitious ADX One strategy announced at the beginning of the year.”

HE Mohamed Ali Al Shorafa Al Hammadi, Chairman of Abu Dhabi Securities Exchange said, “We are very pleased to have been able to answer the call by our investors, issuers, and intermediaries for lower trading commissions and longer trading hours, reflecting increased demand to trade Abu Dhabi’s publicly listed companies.”

“The ADX offers unique, high-growth investment opportunities within a strongly regulated, tax-free, and stable business environment and the extension of our opening will serve to attract increased international investment,” added Mr. Al Hammadi.

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