UAE – DFM Market Rules Modules RE: Short Selling

UAE – DFM Market Rules Modules RE: Short Selling

On 13 December 2023, UAE DFM issued listing and membership, trading rules.

  • UAE DFM issued listing rules module, and membership, trading, derivatives module.
  • Documents dated 2023, received from UAE DFM 13 December 13, summarized on 19 December 2023.
  • Follows UAE DFM November 2022 issued market rules modules one to four.


Module 3 Membership, Trading and Derivatives Rules

  • Contains market rules on members and main activities they may carry out on market.
  • Enumerated provisions re transfer of membership, liability on members and on market.
  • Specified requirements, documents, license for members to be satisfied by the market.
  • Trading clearing member shall appoint individuals to act as trading, operation manager.
  • Detailed provisions re membership termination and access to market trading system.
  • Obtain final approval of market as per part 5 to provide electronic trading mechanism, in addition to approval in line with part 6 to engage in proprietary trading on market.
  • Mentioned applicant requirements by market to being admitted as a liquidity provider.
  • Set the conditions for regulated short selling mechanism, allocated, omnibus accounts.
  • In addition to margin trading requirements, collateral and shari'a-compliant financing.
  • Required conditions for the applicant to act as authorised investment fund participant.