MENA Asset Management Survey 2012 - National Bank of Abu Dhabi

United Arab Emirates
The first successful policy development initiative for the Association was coordinating the
dialogue with the Securities & Commodities Authority (SCA) and the Asset Management
industry in the UAE on Mutual Fund Regulation which was issued in February 2011. This
was soon followed by supporting market participants during the first year of
implementation of this new regulation. The Association has also initiated policy
development efforts in its own domain and advocated the need to draft an appropriate
regulatory framework to govern trade associations as the current legal framework is
more intended for charitable organisations. The new non-profit law for DIFC licensed
entities was released on December 23 rd , 2012. The member firms of the FSA have
supported the transformation of the corporate structure to comply with the new law. In
addition, the Association is preparing for a best practice initiative championing the
development of a voluntary code of conduct for independent financial advisors and
wealth managers. The Association hopes to have this endorsed by the Regulator on
completion. Several other initiatives are under development and will soon be announced
as the Association unveils its strategy for 2013.
The Association, just as any newly formed trade body, will have a challenging task
ahead of it. Entering a market which does not have a history of having trade
associations, this will impose an educational challenge for the Association on both the
market and the regulators side. The firms have traditionally relied on their individual
relationships with the regulators and Government officials, and some might resist
opening up and sharing part of the dialogue and relationship management they posses
with the regulators with a trade body. On the regulator’s side, a trade association is a
new dimension in the market and finding an effective way to conduct the policy
development work within a reasonable timeframe might seem like an ambitious task at
times. Another challenge for the Association will be developing a policy agenda which
accommodates the needs of its varied and diverse membership base.
As part of the Association’s mission to make trade associations an integral part of the
UAE’s development, the Association intends to develop a training program for interested
Emirati professionals in policy development. This should improve the standards within
the public affairs and public policy divisions within the UAE community.
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