Dubai Financial Market (DFM), the UAE-based stock exchange, has announced that HSBC has become its first international General Clearing Member (GCM).
The move makes the bank’s clearing and settlement services available to its own international clients as well as other DFM members.
The GCM service on DFM’s equity market is set to commence in May and will be the first step in a wider collaboration between the two designed to enhance market connectivity for international institutional investors, according to a statement.
HSBC is also looking to provide equities futures clearing.
“The introduction of HSBC’s GCM service on DFM is a key step toward a series of enhancements to market accessibility planned as part of our growth strategy,” said Hamed Ali, CEO of DFM and Nasdaq Dubai.
“We are witnessing growing demand for direct connectivity on DFM from regional and international investors and launching this new service responds directly to that growth in market activity,” he added.
Abdulfattah Sharaf, CEO, HSBC UAE and head of international, said “The appetite of international investors for securities issued by governments and corporates in the region is large and growing and our new role as a general clearing member on the DFM will enable clients across HSBC’s global network to invest in the potential here.”
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