The Abu Dhabi Global Market (ADGM) is a financial-free zone that operates as an international financial center in Abu Dhabi, UAE. In order to carry out financial activities within the ADGM, financial institutions must obtain the appropriate financial license. The ADGM Financial Services Regulatory Authority (FSRA) is responsible for issuing and regulating these licenses. Here are the different types of financial licenses available in the ADGM:
Bank License: This license allows financial institutions to carry out commercial banking activities within the ADGM. This includes accepting deposits, making loans and providing other banking services.
Insurance License: This license enables financial institutions to carry out insurance and reinsurance activities within the ADGM. This includes underwriting insurance policies, managing insurance claims, and providing insurance-related services.
Asset Management License: This license enables financial institutions to carry out asset management activities within the ADGM. This includes managing and investing client funds, providing investment advice, and offering investment products.
Capital Markets License: This license enables financial institutions to carry out capital markets activities within the ADGM. This includes offering investment products such as bonds and equities and providing investment banking services such as underwriting and trading.
Islamic Finance License: This license enables financial institutions to carry out Islamic finance activities within the ADGM. This includes offering Sharia-compliant financial products and services and adhering to Islamic finance principles and regulations.
Each type of financial license has its own set of requirements and regulations that financial institutions must comply with. The ADGM FSRA is committed to maintaining high standards of regulation and ensuring the stability and integrity of the financial sector in the ADGM.
As a risk-based regulator, the ADGM FSRA assesses firms to ensure that they adhere to the standards of conduct and business set by the FSRA following all the market regulations. Financial services entities registered in the ADGM must meet specific obligations outlined by the FSRA in addition to standard obligations required for all ADGM-registered entities.
MS is well-equipped to support firms in navigating the process of setting up a financial company in the ADGM and obtaining FSRA authorization. MS offers a full range of services to help firms meet the regulatory requirements, including:
• Outsourced Accounting and Finance Officer
• VAT advisory, registration, and implementation
•CRS/FATCA assistance and implementation
• Assistance with policies, procedures, and regulatory returns
• Economic Substance Tests
Obtaining FSRA authorization can be a confusing and challenging process, but with MS, you can ensure a smooth setup from start to finish. MS will manage your relationship with the FSRA and ADGM Authority. If you’re interested in setting up a financial company in the ADGM and obtaining FSRA authorization, feel free to contact MS for support.
Disclaimer: MS is not responsible for the approval of licenses by the authority.