Abu Dhabi to Permit Short Selling in Attempt to Boost Liquidity - Bloomberg

Abu Dhabi to Permit Short Selling in Attempt to Boost Liquidity - Bloomberg:
"Abu Dhabi is poised to introduce services facilitating short-selling next year as it seeks to boost trading volume and attract foreign investors to the illiquid market.

ADX, as the local exchange is known, is conducting meetings with brokerages in the United Arab Emirates ahead of introducing a so-called technical short-selling service early in 2017, according to a statement posted on the bourse’s website on Monday. The step would make Abu Dhabi the first stock market in the six-nation Gulf Cooperation Council to permit the sale of securities owned by another investor.

Boosting liquidity in share trading is one of the biggest challenges for local regulators and stock exchanges in the Gulf. Since the start of 2015, the stocks of at least half of the 62 members comprising the ADX General Index have finished each trading session unchanged."

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