Securities & Commodities Authority (SCA)
What is the Securities and Commodities Authority (SCA)?
Guiding you through UAE SCA Authorisation
The UAE Securities and Commodities Authority (“SCA” or sometimes referred to as “ESCA”) is tasked with monitoring and regulating the UAE’s financial markets including the Dubai Financial Market (“DFM”), the Abu Dhabi Securities Exchange (“ADX”) and the Dubai Gold & Commodities Exchange (“DGCX”). Furthermore, SCA regulates all securities-related activity within the UAE excluding activity within the Dubai International Financial Centre (“DIFC”) and the Abu Dhabi Global Market (“ADGM”).
What type of SCA licence is required?
The type of SCA licence that you will require depends on the activities you wish to undertake. Permissible businesses under some of the available key licences and the mandatory positions and qualifications required for each licence are detailed in our USA SCA Authorisation guide.
Who needs SCA authorisation?
Any person or entity that wishes to carry out securities or commodities-related activities in the UAE must obtain authorisation from the SCA. This includes investment companies, brokerage firms, and other financial institutions.
What are the requirements for obtaining an SCA License?
The specific requirements for obtaining an SCA license vary depending on the type of activity and the nature of the entity. Generally, however, applicants must demonstrate that they have sufficient financial resources, a good reputation, a business plan, necessary experience and qualifications, as well as the ability to comply with relevant regulations.
How long does it take to obtain SCA authorisation?
The SCA states that it can approximately 20 business days to review and issue a decision on an application. However, this timeframe can vary depending on the complexity of the application.
How can Waystone Compliance Solutions support you with your SCA obligations?
With various government bodies involved, the process can often be a challenge, however, by utilising our reliable contacts and resources across the UAE regulatory landscape, we can project manage your SCA licensing application effectively, leaving you to manage your day-to-day business.
SCA regulations are constantly evolving, and we can provide you with ongoing support, an interpretation of the regulations, and advice on how to best update your systems and controls.
Guidance on the Investment Business Regulations of the SCA
We created our SCA Focus Series, to provide detailed guidance on the Investment Business Regulations of the Securities and Commodities Authority of the UAE, including detailed information on the various application processes. Issues will be released periodically throughout the year.
SCA Focus Series
Our SCA Focus Series will provide detailed guidance on the investment business regulations of the Securities and Commodities Authority of the UAE and detailed information on the application processes.
Issues will be released periodically throughout the year.
Distribution and Promotion of Foreign Funds in the UAE
We know that the regulatory environment concerning the distribution of units in foreign funds can seem very complex. This download provides clarification on the key aspects of the regulations. Download the first issue in our SCA Focus Series now.
In this briefing note, you will find guidance to the questions we are asked most frequently and, as most potential investors will be located ‘onshore’, we will concentrate on the requirements that apply ‘onshore’ rather than within the financial free zones of the Dubai International Financial Centre (“DIFC”) and the Abu Dhabi Global Market (“ADGM”).
More details about this download
This download includes guidance on the following questions:
- I am a fund manager established in the EU and I am looking to market my funds in the UAE. Do I need to obtain regulatory approval for my funds?
- What exactly is reverse solicitation? Do I have to provide evidence of investor approach?
- What exactly is reverse solicitation? Do I have to provide evidence of investor approach?
- Can I promote my funds to regulated financial services businesses in the UAE without first having the funds registered with the SCA?
- If I get my funds registered with the SCA will I need any more licences to be able to promote my funds freely in the UAE?egulated financial services businesses in the UAE without first having the funds registered with the SCA?
- I am a Fund Manager regulated by the Dubai Financial Services Authority (“DFSA”) and my funds are registered in the DIFC. Do I also need to register my funds with the SCA and obtain a licence under the PIRs in order to market my funds ‘onshore’?
The Process for Registering a New Fund with the SCA
We know that the regulatory environment concerning the registration of new funds can seem very complex. This download provides clarification on the key aspects of the process. Download the second issue in our SCA Focus Series now.
This briefing note sets out the steps involved in obtaining SCA registration for funds, and the fees and charges associated with that process.
More details about this download
- This download includes guidance on the following:
- Overview of fund registration process with the SCA
- General conditions for registration of a foreign investment fund for promotion in the UAE
- Special conditions with respect to public offerings of a fund
- Special conditions with respect to private offering of a fund
- Special conditions regarding the Local Promoter(s)
- Required Documents
- The cost of Registering a Fund with the SCA.
If you require guidance on the regulations of the Securities and Commodities Authority of the UAE, please contact us today.
