New FX Rolling Futures Contracts listed on the Dubai Gold and Commodities Exchange (DGCX)

Published on 14-Mar-2021

 

 

The SCA board approved the listing of new foreign currency pairs and metals as part of the DGCX’s FX Rolling Futures Contracts under a set of controls and regulatory conditions, most notably that the DGCX should carry out studies to poll market actors to determine the expected demand for these contracts and their success potential. The DGCX must also ensure that the central banks issuing the currencies associated with these contracts have no legal objections to their listing. The studies referred to should be presented to SCA’s competent department one month prior to the listing. The DGCX must also conduct studies to evaluate the performance of the regularly listed contracts to evaluate their success rate, and must promote each listed contract sufficiently in advance to attract domestic and international investors.
The SCA board also examined a study by an external consultant, proposing the provision of support to “too big to fail” companies and recommending that a specialized committee, co-chaired by the Minister of Economy, the Central Bank, the Ministry of Finance, and SCA, be formed to implement the outcomes of the study.
The board assigned the SCA management with putting forward a study on the Emiratization policy implemented in the securities sector, explaining the mechanisms used and the incentives introduced to encourage licensed companies to employ UAE nationals.