FEAS Yearbook FEAS Yearbook 2009 | Page 24

FEDERATION OF EURO-ASIAN STOCK EXCHANGES ANNUAL REPORT APRIL 2009 ABU DHABI SECURITIES EXCHANGE The value of trading increased from US$ 47.7 billion (AED 175.3 billion) in 2007 compared to US$ 63.2 billion (AED 232.2 billion) in 2008, an increase of 32.4%. Tom Healy Chief Executive At the end of 2008 the Abu Dhabi Securities Exchange (ADX) had 65 companies listed, whereas, the number of listed companies at the end of 2007 was 64. The index decreased from 4,551.80 in 2007 to 2,390.01 in 2008. (AED 939.9 million) compared to US$ 189 million (AED 695 million) in 2007. In 2008 there were 247 trading days compared to 252 days in the previous year. The number of shares traded in 2008 decreased to 49.9 billion shares compared to 52 billion shares traded over the previous year 2007, a decrease of 4%. Moreover, the daily average of traded shares also decreased to 202 million shares compared with 206 million shares in 2007. The value of trading increased from US$ 47.7 billion (AED 175.3 billion) in 2007 compared to US$ 63.2 billion (AED 232.2 billion) in 2008, an increase of 32.4%. Moreover, the daily average value of trading in 2008 increased to US$ 255.9 million HISTORY AND DEVELOPMENT FUTURE OUTLOOK The ADX was established on 15 November 2000 by Local Law No. (3) of 2000, the provisions of which vest the Exchange with a legal entity of autonomous status, independent finance and management, and give ADX the necessary supervisory and executive powers to exercise its functions. During its brief history, ADX has put in place a highly efficient centralized market for equity trading. The figure below sets out the record of growth since ADX’s formation. In 2009 ADX will: • Increase institutional participation, • Enhance quality of market intermediation, • Strengthen the equity market, • Provide infrastructure for a domestic debt market, • Introduce new investment products, • Promote the implementation of a best practice regulatory framework, • Invest in social infrastructure, • Develop internal process and technology, and; • Develop human resources. ADX is a government agency which includes an electronic trading platform with straight- through processing to a central securities depository, providing the usual range of post-trade services for clearing, settlement and custody. Given this ADX provides a vertically integrated solution to its market. TRADING VOLUME (US$ millions) 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 01 PAGE 22 02 03 04 05 06 07 08 The number of executed trades rose to 1,126,486 trades compared to 1,102,658 trades in 2007, an increase of 2%. The market capitalization of companies listed at the ADX at the end of 2008 was US$ 69 billion AED 252.7 billion with a decrease of 43%.