ADX reduces transaction fees on trading activities by more than 22%

ADX reduces transaction fees on trading activities by more than 22%

Abu Dhabi / WAM

The Abu Dhabi Securities Exchange (ADX) announced on Saturday that it is reducing overall trading activity fees on all exchange transactions starting from February 14 as part of its "ADX One“ strategy to double the market capitalisation of companies listed on the exchange in the next three years. The new pricing structure will be the second time the exchange has reduced its charges in the past two years to enhance market liquidity further. Trading commission on ADX was reduced in June 2019 as part of Abu Dhabi's Ghadan 2021 plan of lowering the cost of doing business in the Emirate. Under the new initiative, fees of all transactions that occur on ADX are to be reduced by more than 22 percent to 0.175 percent from 0.225 percent, effective from February 14. As part of the new fee structure, ADX has created an incentive plan, applied on an annual basis, for brokerage firms who generate AED20 million worth of trading commission. Firms that fulfill the annual incentive requirement will be exempt from paying any trading commission to ADX for the year in which the threshold is met. The new initiative favours investors seeking to broaden and diversify their