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ADX supports market efficiency, liquidity with removal of price limits on Exchange-Traded Funds, futures contracts

ADX supports market efficiency, liquidity with removal of price limits on Exchange-Traded Funds, futures contracts (WAM)
6 July 2026 19:54

ABU DHABI (ALETIHAD)

The Abu Dhabi Securities Exchange (ADX) Group Monday announced the removal of daily price limits for Exchange Traded Funds (ETFs) and futures contracts listed on the Exchange, reinforcing its commitment to a more efficient, liquid, and investor-responsive market.

This decision will come into effect from 3 August 2026.

The initiative is designed to support more efficient price formation, more continuous liquidity provision, and smoother trading for investors. By allowing ETFs and futures prices to reflect new information in real time, ADX is reducing trading disruptions such as trading halts and pauses caused by daily bands, while strengthening quality of market price formation and efficiency.

As the most liquid ETF hub in the MENA region, ADX offers a broad and diverse range of products, including thematic and Sharia-compliant funds. The removal of price limits further enhances the advantages of the platform for investors seeking efficient investment execution and diversified exposure.

The move also supports the continued development of ADX's derivatives market.

Removing price limits gives investors greater flexibility to hedge exposures and implement investment strategies without restrictions caused by trading price limits.

The removal of price limits for ETFs and futures contracts is aligned with ADX’s broader strategy to provide investors with greater agility and modern market infrastructure that supports efficient capital allocation, enhanced liquidity, and advanced risk management.

ADX will continue to manage intraday volatility, including temporary trading pauses in exceptional circumstances to maintain an orderly market.
 

Source: WAM
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