Dubai Financial Market (DFM) announced today that its licensed brokers and custodians are fully ready to employ the newly introduced settlement mechanism called "Delivery versus Payment
The PoC helped demonstrate how Delivery versus Payment
(DVP) trade settlement can be completed using tokenized assets held on the Quartz blockchain ledger.
Old Notes accepted for purchase will be settled on a delivery versus payment
basis with the Billing and Delivering Bank on the Tender Offer Settlement Date in accordance with customary brokerage practices for corporate fixed income securities (i.e., a "desk to desk" or "broker to broker" trade).
"With more and more foreign investors looking to buy and sell in the UAE, clearly the newly implemented delivery versus payment
system, introduced as part of the MSCI criteria, has now been fully tested.
Recently, DFM initiated a series of initiatives as part of its drive to get by international best practices such as the forthcoming implementation of Delivery versus Payment
(DvP) and many other mechanisms that will facilitate promoting UAE markets into higher rankings internationally and ultimately reflect positively on the market, the company statement said.
Delivery versus Payment
(DvP) settlement has been fully implemented in Bond Connect.
Achievers of this year's award included teams in charge of the following projects; Delivery versus Payment
(DvP), Call Centre, Annual General Meeting (AGM) services, Margin Trading and Direct Market Access (DMA) and the Investor Relations Initiative.
Summary: Abu Dhabi Securities Exchange (ADX) has proceeded with the implementation of the enhancements to its Delivery Versus Payment
(DvP) model with the Buyer Cash Compensation (BCC).
The UAE and Qatar, both rejected twice for an upgrade, have moved to address key issues cited in MSCI's 2010 review by introducing a Delivery versus Payment
(DvP) settlement system.
The proof of concept allowed clearing and delivery versus payment
settlement immediately, demonstrating that its possible to complete post-trade settlement on a DLT platform.
He added that DFM's efforts and initiatives to further enhance its infrastructure in line with international best practices such as Delivery versus Payment
(DvP), Buyer Cash Compensation and Market Making, have been decisive in the upgrade of the UAE to Emerging Market status by international companies such as MSCI and S&P Dow Jones.
HE Essa Kazim said: "DFM's efforts and initiatives to further enhance its infrastructure in line with international best practices such as Delivery versus Payment
(DvP), Buyer Cash Compensation and Market Making have been decisive in the upgrade of the UAE to Emerging Market status by international companies such as MSCI and S&P Dow Jones.