Abu Dhabi Securities Exchange (ADX) to Launch Derivatives Market, Leveraging Nasdaq Technology

Nasdaq and ADX sign new market technology agreement
Single stock and index futures will provide investors with hedging tools

Initiative will be supported by addition of CCP clearing capability for Derivatives Contracts

NEW YORK and Abu Dhabi,
1 September2021:Today, Abu Dhabi Securities Exchange (ADX) announced that it has taken a key step towards launching a derivatives marketthis year by signing an agreement withNasdaq (Nasdaq: NDAQ) to deliver marketplace technology solutions, including matching, real-timeclearing and settlement technology.

ADXis rapidly expandingasset classes and developing new offerings for both regional and international investors. The ADX General Index (ADI) has recently reached 7700 points for the first time, supported by a series of listings and increased participation by international investors. In addition, the index has gained 52% year to date, making it one of the best performing equity indexes in the world.

The exchangeplans to launch single stock futures and index futures in the fourth quarter of this yearbefore expanding to a wider range of derivative products. The initiative will further diversify investment avenues and provide investors with hedging tools for effective risk management.

The derivatives market will be accompanied by introducing central counterparty clearing (CCP)to promote clearing efficiency, stability and confidence in the market.

H.E. Mohammed Ali Al Shorafa Al Hammadi, Chairman of ADX, commented: “ADX is on a journey to significantly enhance liquidity and expand market capitalization through our ‘ADX One’ strategy, which provides a clear road map for further development of a vibrant exchange. By deepening our capital markets and increasing the range of innovative products and services, we are supporting the UAE’s strategy for economic diversification, providing growth companies with favorable access to global capital and allowing investors to participate in the UAE’sambitions.”

Saeed Hamad Al Dhaheri, Chief Executive Officer of ADX, added: “Our commercial relationship with Nasdaq dates toADX’s establishment in 2000, andover the last two decades, we have collaboratedon a range of initiatives to ensure investors benefit fromefficient market infrastructure technology. We are confident that the launch of aderivatives market will be another important milestone, empoweringinvestors on the exchangewho wish to implementsophisticated trading strategies. Our strategy is to ensure that investors and issuers derive significant benefits of a sophisticated marketplace byinvesting further in technology, broadening our offering, and attracting a wider range of institutional investors.”

Lars Ottersgård, Executive Vice President and Head of Nasdaq Market Technology, said: “ADX continues to be an industry leader in innovating and evolving the Middle East’s capital market ecosystem.By leveraging Nasdaq’s robust and flexible technology solutions, ADX can further evolve its endeavors to expand into a leading derivatives marketplace and one of the largest multi-asset marketplaces in the Middle East. We look forward to progressing our technology partnership and supporting ADX in their growth journey.”

Nasdaq’s end-to-end market technology powers more than 2,300 companies in 50 countries,spanning the world’s financial industry, including capital markets infrastructure operators, market participants, banks, and regulators.

The ADX One strategy, launched at the start of 2021, aims to bring a broader offering of products and services to market and invest in state-of-the-art infrastructure in partnership with global market leaders. As of August2021, ADX has 78companies listed on its main and Second Market.

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About Nasdaq

Nasdaq (Nasdaq: NDAQ) is a global technology company serving the capital markets and other industries. Our diverse offering of data, analytics, software and services enables clients to optimize and execute their business vision with confidence. To learn more about the company, technology solutions and career opportunities, visit us on LinkedIn, on Twitter @Nasdaq, or at www.nasdaq.com.

About Abu Dhabi Securities Exchange

Abu Dhabi Securities Exchange (ADX) was established on November 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. On 17th March 2020, ADX was converted from a “Public Entity” to a “Public Joint Stock Company PJSC” pursuant to law No. (8) of 2020. ADX is part of ADQ, one of the region’s largest holding companies with a broad portfolio of major enterprises spanning key sectors of Abu Dhabi’s diversified economy.

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). ADX is the second largest market in the Arab region and its strategy of providing stable financial performance with diversified sources of incomes is aligned with the guiding principles of the UAE “Towards the next 50” agenda. The national plan charts out the UAE’s strategic development scheme which aims to build a sustainable, diversified and high-value added economy that positively contributes to transition to a new global sustainable development paradigm.    

Media Contacts


Ryan Wells
Mobile: +1 646 648 3887

Yan-yan Tong
Mobile: +46 (0)73 449 66 83


Abdulrahman Saleh ALKhateeb

Senior Manager of Corporate Communication & Digital Marketing, ADX

Mobile: +971 (50) 668 9733

Email: ALKhateebA@adx.ae

Tasha Young

Director, Brunswick Group

Mobile: +971 (56) 174 8207

Email: tyoung@brunswickgroup.com