The Abu Dhabi Securities Exchange (ADX) has sealed a memorandum of understanding with Dubai’s Awqaf and Minor Affairs Foundation (AMAF) that will allow investors to fund charitable causes with share donations.
Through ADX’s ‘Endowment Shares’ service, investors will be able to transfer shares for donation to AMAF’s securities account at the exchange. Dividends from the donated shares, to be transferred to AMAF’s bank account by ADX, will then be used to fund a wide range charitable causes that investors can choose from, including education, health and family support projects. Subject to approval, AMAF may also sell donated shares to support their charitable initiatives.
The MoU was signed by Ali Mohammed AlMutawa Secretary General of AMAF, and Saeed Hamad Al Dhaheri, Managing Director and Chief Executive Officer of ADX, at a signing ceremony at ADX’s headquarters. Under the MoU framework, both parties will also exchange skills and knowledge.
#AbuDhabiSecuritiesExchange, @DubaiAMAF introduce share donation facility to fund charitable causes.
Through ADX’s ‘Endowment Shares’ service, investors will be able to transfer shares for donation to AMAF’s securities account at the exchange. pic.twitter.com/BsmN3GoUFF
— سوق أبوظبي للأوراق المالية (@ADX_AE) May 26, 2022
Ali Mohammed AlMutawa, Secretary General of Awqaf and Minor Affairs Foundation, said: “We are pleased to cooperate with ADX to facilitate donations toward charitable and humanitarian causes. The agreement to enable endowment of shares is in line with our efforts to provide diverse channels for investors to support charitable endowments.”
AlMutawa added: “The income from the donated financial shares will be invested in various projects supporting education, health, scientific research, medical treatments, empowering orphans, people of determination and other legitimate endowment banks. Our foundation’s strategy is to support charitable causes by building effective partnerships with various entities.”
Saeed Hamad Al Dhaheri, Managing Director and Chief Executive Officer of the Abu Dhabi Securities Exchange said: “The partnership between ADX and AMAF will provide a new channel through which charitable donations can be made and reflects our keenness to collaborate with a wide range of local and regional entities for the greater good. Helping establish the ‘Endowment of Shares’ with AMAF also reflects our commitment to corporate social responsibility and providing investors with innovative products and services.
The MoU is the latest in a series of partnership agreements signed by ADX as part of its ‘ADX One’ strategy announced at the beginning of 2021. The strategy includes 22 initiatives to reinforce corporate governance and meet the needs of issuers and investors locally and regionally.