SCA awards 107 graduates of brokers professional qualification program


In a step that will help boost UAE markets performance

SCA awards 107 graduates of brokers professional qualification program


· Total value traded since beginning of the year appreciated by 342% compared to same period last year.

· 20 brokerage firms licensed to practice margin trading, while 18 have been licensed to offer financial consultancy and financial analysis services

DUBAI:The Securities and Commodities Authority (SCA) has awarded 107 financial market brokers and analysts, who passed the professional license examinations to work in the UAE equity markets. The program is being run in collaboration with the UK-based Chartered Institute of Securities and Investment (CISI).

H.E. Abdullah Al-Turifi, SCA Chief Executive Officer, distributed certificate to the graduates of the program, which was held at the SCA Training Center (SCATC). The award ceremony, which was held at the SCA’s Dubai headquarters, was attended by members of the SCATC board of trustees, representatives of CISI and a number of SCA officials.

In his opening address, Al-Turifi congratulated the graduates for successfully going the program and thanked the CISI for the continuous cooperation with SCA as strategic partner in the area of training and orientation.

He pointed out that the graduation of the yesterday’s batch takes the total of graduates of this program to 305 within a period of four years. He said the figure has very significant meaning, taking into account the number of those working in the brokerage companies, which currently stands at about 360 employees, adding that it is a major contribution to enhancing professional excellence standards and meeting the latest developments in the UAE’s financial markets.

Al-Turifi cited some of the most significant developments on the financial brokerage sector in recent time. “As you know, the SCA has started updating the regulation for brokers to issue a new regulation. It has presented the first draft of the new regulation to all partners and other financial market stakeholders for feedback and suggestions which could be inputted into the final draft, as part of the SCA’s adoption of best international practices in this regard.

On the other hand, the brokerage firms have expanded their activities which are no more limited to executing purchase/sale deals on the market. A large number of the 48 brokerage firms operating on the UAE markets have been licensed to practice other activities. Latest SCA statistics show that 20 companies have been licensed to practice margin trading, while others have been licensed to practice the activities of financial consultancy and financial analysis among the 18 companies offering that service,” he stated.

He said one of the most significant developments in the brokerage firms this year is the companies’ presenting of quarterly reports, including reports on financial adequacy, liability and segregation of accounts. “This is the first to be done in the whole of the Arab region using the XBRL standards and system, which is the most authentic and accurate system which has no data posting problem and which ensures information security and confidentiality of client’s account. The system also facilitates comparability, provides data and information for decision-makers in a form of well-organized reports and allows easy follow-up of data and statistics that helps in monitoring of brokerage firms and client follow-up,” he added.

Al-Turifi cited another positive development of interest to brokerage firms and their employees which is the upward trend in the value traded being witnessed on the UAE markets as the value traded reached more than AED275.700 billion by close of the market yesterday (Wednesday), representing an appreciation of 342.47%, compared to the same period last year. In other words, the total value traded recorded during the period this year (less than five months) surpasses the value traded recorded in any of the past five years.

For his part, Matthew Cowan, CISI Regional Head - Middle East, congratulated the graduates for their achievement. He said they have successfully passed a series of CISI exams which qualify them to be licensed by the SCA, adding that the exams are the same exams taken by thousands of others around the world.

He pointed out that CISI conducts around 40,000 exams each year of which approximately 10,000 are taken outside the United Kingdom. He said in the Middle East CISI conducts around 4,000 exams of which around 2000 are here in the UAE. “SCA are a key strategic partner of the CISI and hugely value the warmth, generosity and shared vision between the two organizations,” he added.

Addressing the graduates he said: “Your success in these exams, which is an international benchmark, means you have reached the same level of knowledge as someone in Europe or Asia. It also means that you will have a much better opportunity for employment, as you possess skills which people need.”

He urged the graduates to adopt the practice of continued learning and to uphold the ethics of the profession, which is “personal integrity” which hinges on openness, fairness and honesty, to deserve the title of “professional”.

A total of 107 completed the program this year. This include: 79 broker representatives, 19 trading managers, operations managers and internal controllers and nine (9) financial analysts.

Based on the training program which was designed according to the best international practices, the Training Center will be conducting six (6) exams in various course disciplines, including Introduction to Investment, Operation Risk, Financial Services Risk, International investment Management.

The program is targeting basically those working in the country’s brokerage companies, including broker’s representatives, trading managers, operation managers, internal controllers and financial analysts.

The program was designed as per SCA’s requirements by virtue of a memorandum of understanding signed in 2009 between the SCA and the CISI, arguably one of the world’s best in professional training of workers in the financial services industry.

The first exam of the program was conducted in October 2009 with 41 graduating in the first batch of the program in 2011, 50 graduated in 2012 as Batch 2, while Batch 3 which consists of 107graduated in 2013.

It’s worth noting here that the Training Centre, located at the Dubai headquarters of the SCA, provides the exams for free for UAE nationals working for brokerage firms or aspiring to work in that sector in the future, as well as for UAE nationals working for the SCA.

According to SCA decision in this regard, new employees of every brokerage company engaged in the categories mentioned above must have to pass the exams of the program before acquiring license to practice on UAE markets.

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