Dubai Financial Market (DFM) starts issuing Multiple Investors Numbers for These investors

Dubai Financial Market (DFM) has announced the launch of a new service to facilitate investors to issue Multiple Investors Numbers as of Tuesday 29 October 2019, in accordance with the amendment of Article 35 of the Securities Commission For the year 2001 regulating the work of the UAE stock market.

Under this decision, investors who meet the criteria and conditions set by the market can apply for an additional investor number.

The new service will enable investors to better manage their portfolios and properties by separating the investor's main number from the custodian's trading number. The new service also allows the investor to transfer properties between more than one investor's number easily.

Maryam Fekri Executive Vice President - COO, Head of Clearing, Settlement and Depository Division, Dubai Financial Market (DFM) explained that we seek to strengthen the organizational structure in accordance with the best international practices and improve the procedures to cope with the needs of the huge and diverse market base of 844 thousand investors.

The CEO added that the new service is available to two categories of investors. The first category is an existing local custodian who wishes to separate assets using one or more investor numbers under the custody of the local custodian. The second category is existing investors who have a lead investor number and wish to use the services of a local custodian.

She pointed out that this measure will not affect the trading activity of investors who have more than one trading account where all the numbers of the investor is linked to the main figure and considered as a single number.

The corporate profits will be disbursed to each investor number linked to a local custodian who manages the investor or direct investor number according to the maturity of the securities listed under the investor's number for the action performed by the listed company.

The percentage distribution of the procedures related to the distribution of bonus shares shall be calculated based on the balances available in each account for each investor number and added accordingly for purposes such as holding general assemblies and facilitating voting processes during which each number for the same investor shall be recorded separately in the share register of the listed companies.