Thursday 14 April 2011

Delivery payment system is no cure-all - The National

The markets welcomed a decision this week to enforce a key settlement system as a boost to the UAE's chances of earning MSCI's "emerging market" status.

But the announcement of the delivery versus payment (DvP) system is not exactly a cure-all for market woes.

DvP, where securities are delivered and cash received on the same day, will help to minimise the risks from the delivery and receipt of securities, the Emirates Securities and Commodities Authority (SCA) said this week.

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