The Dubai Financial Market (DFM) has joined forces with the Swiss Exchange, SIX, in a strategic partnership designed to expand investment opportunities for companies listed on both exchanges. This collaboration, announced during the Dubai Capital Market Summit, aims to streamline the process for companies seeking dual listings, essentially allowing them to trade their shares on both the DFM and the SIX.
The agreement extends beyond just dual listings. The partnership also focuses on establishing connections between the central securities depositories of both markets, the Dubai Central Securities Depository (Dubai CSD) and SIX. This will facilitate smoother cross-border transfers of shares, enhancing accessibility for investors on both exchanges.
“This strategic partnership between DFM and SIX exemplifies our shared commitment to driving innovation and fostering growth in the global financial landscape,” said Hamed Ali, CEO of DFM and Nasdaq Dubai. “Through collaborative initiatives, we aim to unlock new opportunities, enhance market efficiency, and strengthen ties between our vibrant financial ecosystems.”
The collaboration between the DFM and SIX is expected to benefit companies in several ways. By listing on both exchanges, companies gain access to a wider pool of investors, potentially increasing their fundraising capabilities and overall market visibility. Additionally, dual listings can enhance a company’s reputation and credibility in the global financial marketplace.
Investors are also set to gain from this partnership. Increased access to a broader range of companies listed on both exchanges allows investors to diversify their portfolios and potentially tap into new investment opportunities. Streamlined cross-border share transfers further enhance investor convenience and participation.
Looking beyond dual listings and depository links, the DFM and SIX have also expressed their commitment to exploring collaborations in other areas. This includes identifying opportunities to share market data and develop new post-trade services. By working together, the two exchanges aim to create a more robust and dynamic financial ecosystem that fosters innovation and benefits all stakeholders involved.
The DFM-SIX partnership represents a significant development for both exchanges. It underscores Dubai’s growing importance as a financial hub and its commitment to fostering international collaboration. For SIX, the partnership provides a gateway to the Middle Eastern market, offering access to a new pool of potential investors and issuers. As both exchanges move forward with this collaboration, market participants can anticipate a more interconnected and efficient financial landscape.
