Abu Dhabi Securities Exchange (ADX) and HSBC Bank Middle East are collaborating to develop digital fixed income securities, with the aim to broaden capital market use cases in the Middle East.
The collaboration will leverage ADX’s investment product knowledge and HSBC’s investment banking, capital markets and blockchain capabilities.
“We believe that digital assets will grow in significance in the future and ADX intends to be at the forefront of this innovation,” said Abdulla Salem Alnuaimi, chief executive of ADX.
“ADX and HSBC will explore a framework that enables digital assets, such as digital bonds, to be made available on HSBC Orion, the bank’s digital assets platform, and to be listed on ADX.”
Earlier this year, HSBC launched a new artificial intelligence service to enhance the way institutional investors connect to the markets globally.
Named AI Markets, the service uses natural language processing (NLP) to improve institutional engagement with markets including allowing them to generate bespoke analytics and gain access to HSBC’s cross-asset data sets.
“HSBC is digitising at scale by adopting new technologies like blockchain to enable the issuance of digital assets, hold them in custody and make them available for trading,” said Mohamed Al Marzouqi, chief executive, UAE at HSBC.
“This capability will help accelerate efficiency and drive new and innovative opportunities for investors.”