We noticed you're blocking ads.

Keep supporting great journalism by turning off your ad blocker.

Questions about why you are seeing this? Contact us

Font Size

- Aa +

Wed 11 Jun 2014 02:16 PM

Font Size

- Aa +

Qatar bourse mulls foreign brokerage firms

Move by the Qatar Stock Exchange is part of the broader strategies to help enhance liquidity - report

Qatar bourse mulls foreign brokerage firms
Qatar stock exchange, Qataris

Qatar may soon allow foreign stock brokerages to operate in the Gulf state with its local bourse contemplating “remote membership”, Gulf Times has reported.

It reported that the move by the Qatar Stock Exchange (QSE) is part of the broader strategies to help enhance the liquidity in the market.

The bourse, which has recently been upgraded to “emerging” market by the global index compiler Morgan Stanley Composite Index (MSCI), said it found “growth opportunities in remote membership”.

The remote membership is likely to be rolled out in the third phase of development, according to sources quoted by the English daily.

At present, the QSE has 11 brokerage companies, which include four subsidiaries of local commercial banks.

The conventional brokerage outfits are the Group Securities, Dlala Brokerage, Dlala Islamic, Qatar Securities Company, Islamic Brokerage, International Financial Securities and Gulf Investment Group.

The four banking brokerage subsidiaries are QNB Financial Services, Commercial Bank Investment Services, Ahli Brokerage Company and Al Rayan Financial Brokerage.

Remote members are foreign brokers based abroad and the move to allow them could enhance liquidity in the market.

QSE CEO Rashid bin Ali al Mansoori recently said at the Arab Federation of Exchanges (AFE) Equities Summit that “the road does not end here. We have a long way to go”, Gulf Times reported,

Stressing that QSE has identified a number of other areas that will allow it to capitalise on the emerging market classification, he said “initiatives like expansion of securities lending and borrowing, margin trading, omnibus accounts, risk management and the introduction of a CCP will add further confidence to the robustness of the market infrastructure”.

Arabian Business: why we're going behind a paywall

For all the latest market news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
Real news, real analysis and real insight have real value – especially at a time like this. Unlimited access ArabianBusiness.com can be unlocked for as little as $4.75 per month. Click here for more details.