DFM and DME explore opportunities for diversified financial products – News

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The DME Oman marker price is used by the national oil companies of Oman, Dubai, Saudi Arabia, Kuwait and Bahrain to price more than 5.5 million barrels per day of crude oil from the Middle -East.



Published: Tue, March 29, 2022, 5:33 PM

Last update: Tue, March 29, 2022, 5:35 PM

Dubai Financial Market (DFM) and Dubai Mercantile Exchange (DME) have signed a collaboration agreement that creates a broad framework for extensive collaboration to diversify investment opportunities by jointly exploring financial products that cater to DFM’s large and diverse investor base which exceeds 852,000 investors.

The new initiative stems from the commitment of the two stock exchanges to jointly implement Dubai’s strategy to develop financial markets and stock exchanges through various synchronized efforts.

The agreement was signed by Hamed Ali, CEO of DFM and Nasdaq Dubai, and Raid Al Salami, Managing Director of DME, in the presence of Ahmad Sharaf, Chairman of DME, during the “Derivatives Day in Dubai”, the forum organized by the Dubai International Financial Center (DIFC) in partnership with DME and CME Group, the world’s leading and most diversified derivatives market.

Hamed Ali, CEO of DFM and Nasdaq Dubai, said: “As part of DFM’s efforts to diversify asset classes and product offerings, we are delighted to sign this agreement with DME to offer new investment opportunities to our investors, especially retail investors. The agreement underscores the commitment of both exchanges to identify synergies and potential opportunities, which will ultimately strengthen Dubai’s position as a capital markets hub, in line with the leaders’ vision and strategic development plan. financial markets in Dubai.

As the first initiative under the agreement, the two exchanges plan to establish a task force, in line with Dubai’s strategy to further develop financial markets. Collaboration with DME will enable DFM to develop investment opportunities related to the GCC crude oil industry and provide retail investors with the opportunity to be directly involved in the largest and most relevant asset class. of the region. DFM plans to launch a new retail product derived from Oman Crude Oil Futures, DME’s flagship contract that offers investors a unique opportunity to access this important asset class.

Since its launch in 2007, DME has traded approximately 18 billion barrels of Oman crude oil and is considered home to the most transparent sour crude benchmark in the Middle East and Asia.

The DME Oman marker price is used by the national oil companies of Oman, Dubai, Saudi Arabia, Kuwait and Bahrain to price more than 5.5 million barrels per day of crude oil from the Middle -East.

Raid Al Salami, Managing Director of DME, said: “We are pleased to sign this collaboration agreement. We believe this partnership between DFM and DME highlights regional strengths and innovative opportunities to explore in Dubai. We are committed to providing the market with new investment solutions and supporting Dubai’s growth as a leading financial center globally. [email protected]

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